| 1 |
Speed of increase in total revenue remains equal with the increase in output |
- A. Under monopoly
- B. Under oligopoly
- C. Under perfect competition
- D. Under pure competition
|
| 2 |
Usually elasticity of demand in equilibrium situation under monopoly is |
- A. Equal than unity
- B. Less than unity
- C. more than unity
- D. Zero
|
| 3 |
A monopolist controls the supply |
- A. Totally
- B. Partially
- C. More
- D. Not at all
|
| 4 |
What can a firm do in the short run |
- A. Firm can increase its plants
- B. Firm can expand its building
- C. New firm can not enter the business
- D. New firm can enter the business
|
| 5 |
Till marginal cost curve remains below the marginal revenue curve, from the economic point of view, increase in production for a firm is |
- A. Beneficial
- B. Unbeneficial
- C. May be beneficial or unbeneficial
- D. Neither beneficial nor unbeneficial
|
| 6 |
Under monopoly, number of firms is |
- A. Large
- B. Few
- C. One
- D. Two
|
| 7 |
When a firm earns abnormal profit in the short run, then its |
- A. MC=MR=AR=AC all are equal
- B. MC=MR=AR while AC is less
- C. MC=MR=AR while AC is more
- D. MC=MR=AR while AV is sometimes equal to them and sometimes less than tham
|
| 8 |
The formula of calculating total revenue is |
- A. P x Q
- B. P x AC
- C. AC x Q
- D. TC / Q
|
| 9 |
When total production is maximum, marginal product is: |
- A. Positive
- B. Negative
- C. Zero
- D. Infinite
|
| 10 |
If the equation is this, MC=MR=AR(P)<AC then the firm |
- A. Earns normal profit
- B. Earns abnormal profit
- C. Bears loss
- D. Bears abnormal loss
|
