| 1 |
If price is set above equilibrium level, there will be |
- A. surplus commodity in the market
- B. shortage of commodity in the market
- C. supply curve will shift
- D. demand curve will shift
|
| 2 |
If we know that quantities bought and sold are equal, we can conclude that |
- A. quantities demanded and supplied are also equal
- B. the market is in equilibrium
- C. there will be no tendency for a price change
- D. all of the above
|
| 3 |
When price is fixed below equilibrium level, there will be |
- A. surplus commodity in the market
- B. shortage of commodity in the market
- C. supply curve will shift
- D. demand curve will shift
|
| 4 |
When the supply curve of a product is parallel to the vertical axis, it would mean that; |
- A. Different quantities of a product are supplied at the same price.
- B. Different quantities of a product are supplied at different price.
- C. Same quantities of a product are supplied at different price.
- D. None of three
|
| 5 |
In case of a fall in supply. |
- A. Quantity supplied falls at the same price.
- B. Quantity supplied rises at the same price.
- C. Quantity supplied remain at the lower price.
- D. None of the three
|
| 6 |
When there is big change in quantity supplied resulting from a minor change inits price,its elasticity of supply will be. |
- A. Equal to unity
- B. Less than unity
- C. Equal to zero
- D. Greater than unity
|
| 7 |
In market equilibrium, supply is vertical line. The downward sloping demand curve shifts to the right. Then |
- A. price will fall
- B. price remains same
- C. price will rise
- D. quantity rises
|
| 8 |
Extension of supply will take place as a consequence of: |
- A. Change in price
- B. Change in population
- C. Change in technology
- D. Change in money supply
|
| 9 |
An increases in the price of mutton provides information which |
- A. tells consumers to buy more mutton
- B. tells consumers to buy more chicken
- C. tells producers to produce more mutton
- D. b and c of above
|
| 10 |
Market Price of Perishable |
- A. Commodities
- B. Utility
- C. Consumer
- D. None of these
|
