Question # 1

If supply is fixed then due to fall of demand

Choose an answer

Equilibrium price decreases

Equilibrium quantity increases

Equilibrium price increases

Equilibrium price does not change

Exceptions, or limitations of law of demand have been stated by

Choose an answer

Professor Marshall

Professor Adam Smith

Professor Benham

Professor Robbins

If quantity demand changes due to the change in income, it is called:

Choose an answer

Point Elasticity of demand

Arc Elasticity of demand

Income Elasticity of demand

Price Elasticity of demand

If the total expenditure of the consumer decreases due to decrease in price, then nature of elasticity of demand will be

Choose an answer

Equal to unity

Less than unity

More than unity

Elasticity of demand = zero

Demand for luxuries in

Choose an answer

Les elastic

More elastic

Perfectly elastic

Perfectly inelastic

If 50% change in demand in reposne of 50% change in price then:

Choose an answer

Elasticity of demand = 1

Elasticity of demand < 1

Elasticity of demand > 1

Elasticity of demand = 0

Demand for Giffen goods is:

Choose an answer

Negative

Vertical

Positive

All of them

If demand curve is parallel to x-axis, then elasticity of demand is

Choose an answer

Infinite

Zero

Equal to unity

More than unity

When supply increases due to other factors besides price, it is called

Choose an answer

Extension of supply

Contraction of supply

Rise of supply

Fall of supply

If demand does not change, then due to fall of supply

Choose an answer

Equilibrium price increases

Equilibrium price decreases

Equilibrium quantity increases

Which combination of the following is of joint demand

Choose an answer

Tea and coffee

Petrol and car

Meat and grocery

Inkpot and book

If the percentage change in supply is more than the percentage change in price, then elasticity of supply is called

Choose an answer

Equal to unity

Less than unity

More than unity

Infinite

The price at which quantity demanded and supplied are equal

Choose an answer

Equilibrium price

Reserve price

Fixed price

Variable price

If there is slight change in price and demand, it is called

Choose an answer

Arc elasticity

Point elasticity

Income elasticity

Cross elasticity

Market equilibrium is attained when there exists in the market

Choose an answer

Perfect competition

Imperfect competition

Monopoly

Large quantity of commodity comes in the market

If supply goes on increasing due to a slight increase in price, then elasticity of supply is called

Choose an answer

Zero

Infinite

Equal to unity

More than unity

More Classes

Other Links

Principles of Economics Icom Part 1 English Medium Chapter 3 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