Principles Of Economics And Management (3140709) MCQs

MCQs of Introduction to Economics

Showing 21 to 28 out of 28 Questions
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21.
The graph for the "Low of Supply " has slop value.
(a) Positive
(b) Negative
(c) Zero
(d) Infinite
Answer:

Option (a)

22.
When the price of a product is decreased by 10%, the demand for that product will increase by 15% than what is the price elasticity of that product?
(a) 5
(b) -5
(c) 1.5
(d) 0.67
Answer:

Option (c)

23.
What do you mean by the supply of goods?
(a) Stock available for sale
(b) Total stock in the warehouse
(c) The actual production of the good
(d) Quantity of the good offered for sale at a particular price per unit of time
Answer:

Option (d)

24.
What do you mean by the demand of a commodity?
(a) A desire for the commodity
(b) Need for the commodity
(c) Quantity of the commodity demanded at a certain price during any particular period of time
(d) Quantity demanded of that commodity
Answer:

Option (c)

25.
The law of demand means?
(a) As the quantity demanded rises, the price rises
(b) As the price rises, the quantity demanded rises
(c) As the price rises, the quantity demanded falls
(d) As supply rises, the demand rises
Answer:

Option (c)

26.
Which statement is wrong for economics?
(a) It deals with unlimited Resources
(b) It deals with unlimited wants
(c) It deals with limited resources
(d) None of these
Answer:

Option (a)

27.
If the demand for a good is inelastic, an increase in its price will cause the total expenditure of the consumers of the good to________.
(a) Increase
(b) Decrease
(c) Remain the same
(d) Become zero
Answer:

Option (a)

28.
Income elasticity of demand is defined as the responsiveness of _______.
(a) Quantity demanded to a change in price
(b) Quantity demanded to a change in income
(c) Price to a change in income
(d) Income to a change in quantity demanded
Answer:

Option (b)

Showing 21 to 28 out of 28 Questions
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