| 1 |
One of the following is not assumption of the marginal productivity theory. |
- A. All factors of production are present substitutes of each other.
- B. Law of increasing return applies in the production process.
- C. There is perfect mobility of factor of production
- D. Units of each factors of production are identical
|
| 2 |
The necessary condition for equilibrium position of a firm is |
- A. MR > MC
- B. MC > price
- C. MC = MR
- D. MC = AC
|
| 3 |
The demand for a factor depends on its. |
- A. MRP
- B. ARP
- C. MRP = ARP
- D. MRP < ARP
|
| 4 |
The position of the firm when it is earning maximum of profit and Profit = Total Revenue - Total cost are called |
- A. Perfect competition
- B. Under perfect competition
- C. Equilibrium of firm
- D. None of these
|
| 5 |
:It is not possible to separate marginal revenue product of each factor of production:. It was said by: |
- A. Carver
- B. Hobson
- C. Hansen
- D. Hicks
|
| 6 |
With an increase in wage rate supply of labour. |
- A. Decrease
- B. Increase
- C. Remains constant
- D. None of the three
|
| 7 |
Marginal revenue of a monopolist is |
- A. equal to price
- B. greater than price
- C. less than price
- D. increases with output
|
| 8 |
In short period how many possibilities in which a firm may find itself |
- A. four
- B. five
- C. six
- D. seven
|
| 9 |
Marginal revenue is always less than price at all level of output in |
- A. perfect competition
- B. monopoly
- C. both a and b
- D. none of the above
|
| 10 |
A firm should shut down in the short run if it is not covering its |
- A. variable cost
- B. fixed cost
- C. total cost
- D. explicit cost
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