Question # 1

Equilibrium price of a product is determined by:

Choose an answer

The gomverment

An industrialist

Market competition

An agriculturist

Rickshaw has replaced tonga as local transport. As a result the tongs-drivers have become unemployed. Such unemployment is called

Choose an answer

structural

frictional

seasonal

personal

If price elasticity of demand is very low, the commodity is

Choose an answer

necessity

luxury

substitute

not available

Marginal utility of a product is the utility obtained by consuming.

Choose an answer

First unit of consummption

Each additional unit of consumption

Last unit of consumption

None of the them

Long rum is a period

Choose an answer

three years or longer

long enough to allow firms to change plant size and capacity

in which a firm need not get loans

which affects larger more than smaller firms

Price and demand are positively correlated in case of

Choose an answer

necessities

comforts

Giffen goods

Luxuries

An entrepreneur is a person who performs the dual function of risk-taking and control. This is the definition of

Choose an answer

Prof. Knight

Prof. Marshall

Prof. Robbins

Prof. Knees

Which of the following is one of the assumptions of perfect competition.

Choose an answer

few buyers and few sellers

many buyers and few sellers

many buyers and many sellers

all sellers and buyers are honest

Wealth of nations

Choose an answer

is another name for united nations

is name of a book

indicates total wealth of rich countries

contains formulas to earn wealth

Economic principle are also called

Choose an answer

economic law

economic theory

economic model

all of the above

When price is fixed below equilibrium level, there will be

Choose an answer

surplus commodity in the market

shortage of commodity in the market

supply curve will shift

demand curve will shift

If the price of a product rises, quantity demand if its substitute will.

Choose an answer

Fall

Rise

Remain unchanged

Fluctuate

If elasticity of demand is very low it shows that the commodity is

Choose an answer

a necessity

a luxury

has little importance in total budget

a and c above

Perfect competition is a situation of market, where there are very large number of firms selling the same commodity are called

Choose an answer

Revenue curve under perfect competition

Monopoly curve

Total revenue curve

None of these

Which of the following is capital

Choose an answer

tractor

TV station

tarbela dam

all of the three

How many merits of organization in text book

Choose an answer

7

8

9

10

Marginal revenue recommended by symbol

Choose an answer

MR

MC

AR

None of these

According to law of diminishing marginal utilities , a consumer maximises his total utility where.

Choose an answer

MU_a = MP_a

MU_a = AU_a

MU_a = TC_a

MU_a = P_a

Economic problems arises because of.

Choose an answer

Unlimited wants.

Scarcity of resources.

Alternative use of resources.

All of the above

When the percentage change in quantity demanded is greater than the percentage change in price, elasticity of demand for the product will be.

Choose an answer

Equal to unity

Less than unity

Greater than unity

Equal to zero

Supply of a commodity means

Choose an answer

willingness to sell a certain quantity

physical stocks available

planned production

total production in a given period

More Classes

Other Links

Economics Ics Part 1 English Medium Online Test MCQs With Answers

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer