| 1 |
Income elasticity of demand for normal good is always |
- A. 1
- B. more than one
- C. negative
- D. positive
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| 2 |
One of the following is not a characteristics of economic laws. |
- A. Economic laws lack exactitude
- B. Economic laws lack predictability
- C. They are not universa!
- D. They are not optional
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| 3 |
Minimum wage rate of labour is fixed by : |
- A. Government
- B. Trade unions
- C. Entrepreneurs
- D. Labourers
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| 4 |
Who was the founder of classical school of thought? |
- A. Adam Smith
- B. Marshall
- C. Keynes
- D. Maithus
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| 5 |
The supply of land is fixed whereas its Demand is increase day by day, the rent Produced in this way is: |
- A. Differential rent
- B. Scarcity rent
- C. Quasi rent
- D. Economic rent
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| 6 |
The products which are not priced in the market are called . |
- A. Economic goods
- B. Non-economic goods
- C. Merit goods
- D. Social goods
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| 7 |
In production of goods, negative returns in the short run imply that |
- A. average product is negative
- B. total product is negative
- C. marginal product is negative
- D. marginal cost is falling
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| 8 |
There are large number of seller and buyers in the market but none is able to influence market price. such a market is called |
- A. free
- B. open
- C. regular
- D. competitive
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| 9 |
A firm will be in equilibrium where. |
- A. Its total profit is high
- B. Its cot is minimum
- C. It produces at a level of output which its profit is minimum or loss in minimum
- D. None of the three
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| 10 |
If Bali burgers find that their MC of burgers is less than MR they would try to |
- A. expand business
- B. reduce business
- C. continue as before
- D. close business
|