| 1 |
When MU is positive, TU |
- A. increases
- B. decreases
- C. remains constant
- D. is maximum
|
| 2 |
The good which are used to produce more goods are.`` |
- A. Social goods
- B. Capital goods
- C. Consumer goods
- D. Public goods
|
| 3 |
A consumer in equilibrium when marginal utilities are |
- A. minimum
- B. highest
- C. equal
- D. increasing
|
| 4 |
MU curve |
- A. rises left to right
- B. is always vertical
- C. falls left to right
- D. is always horizontal
|
| 5 |
Indifference curves are convex to the origin because |
- A. two goods are perfect substitutes
- B. two goods are imperfect substitutes
- C. two goods are perfect complementary goods
- D. goods area jointly demanded
|
| 6 |
Diminishing marginal utility is the basis of |
- A. law of supply
- B. law of demand
- C. laws of returns
- D. none of the above
|
| 7 |
The number of goods and services which one unit of a product can command in exchange for it is its. |
- A. Value of money
- B. Value in exchange
- C. Price
- D. Utility
|
| 8 |
When MU=0, TU is |
- A. minimum
- B. maximum
- C. increasing
- D. decreasing
|
| 9 |
A consumer's spending is restricted because of |
- A. marginal utility
- B. budget constraint
- C. demand curve
- D. unlimited wants
|
| 10 |
Shopkeepers are also producers because in goods, they produce. |
- A. Form utility
- B. Time utility
- C. Use utility
- D. Place utility
|