11th class Economics chapter 5 online mcq test with answers for ICS part 1 Economics chapter 5 (Supply)

Question # 1

The demand for a product is inelastic. In order to increase government revenue, the finance minister will :

Lower down the tax rate A
Increase the tax rate B
Not change the tax rate C
Double the tax rate D

Question # 2

What best explains a shift in market supply curve to the right?

an advertising campaign is successful in promoting the good A
a new technique makes it cheaper to produce the good B
the government introduces a tax on the good C
the price of raw materials increases D

Question # 3

Which of the following shifts supply curve of cars to the right

tax on new cars A
increase in wages of workers B
decrease in steel price C
a successful promotion campaign by sellers D

Question # 4

The method to measure the elasticity of demand by the unitary method was introduced by.

Alfred Marshall A
Robbins B
Adam Smith C
Malthus D

Question # 5

When the percentage change in quantity demanded is greater than the percentage change in price, elasticity of demand for the product will be.

Equal to unity A
Less than unity B
Greater than unity C
Equal to zero D

Question # 6

The price of a product double due to which its quantity demand falls to one half. The elasticity of demand for product will be:

Equal to unity A
Lass than unity B
Greater than unity C
Equal to zero D

Question # 7

Elasticity of a demand for product will be greater then unity if, with a fall in its price, total expenditure of consumer.

Increase A
Falls B
Remains the same C
None of the three D

Question # 8

If price changes by one % and supply changes by 2% then supply is

elastic A
inelastic B
indeterminate C
static D

Question # 9

If a change in demand is brought by a change in income, of demand will be.

Income elasticity A
Price elasticity B
Cross elasticity C
Arcelasticity D

Question # 10

Products A and B are substitutes whereas A and C are complement. With a rise in the price of product A, quantity demand of:

Product B will go up A
Product will fall B
Both the above will take place C
Nothing will take place D

Question # 11

Who present the Arc Elasticity formula for the measurement of elasticity of demand.

R.G.D Allen A
Pareto B
J.R. Hicks C
Robbins D

Question # 12

In case of perfectly elastic demand curve, the demand curve will be parallel to the.

Horizontal Axis A
Vertical Axis B
None of the above C

Question # 13

When a supply of a commodity increases without change in price it is called

fall in supply A
expansion in supply B
contraction in supply in C
rise in supply D

Question # 14

In case of perfectly elastic demand curve, the demand curve will be parallel to the :

Horizontal axis A
Vertical Axis B
None of the above C

Question # 15

With a fall in the price of a Giffen good or inferior good its quantity demand will.

Fall A
Rise B
Remain unchanged C
None of three D

Question # 16

In May 2012, firm was supplying 1000 kg of sugar at market price of Rs. 60/- per kg. During June 2012, firm's supply of sugar had decreased to 900 kg at price Rs. 40/- per kg. These changes show that supply of sugar is

Perfectly elastic A
Perfectly inelastic B
Less elastic C
More elastic D

Question # 17

If a firm makes 200 units of a good available at a price of Rs. 10 per unit, the elasticity is

0.05 A
10 B
20 C
indeterminate D

Question # 18

The method to measure the elasticity of demand is :

Percentage method A
Total outlay approach B
Geometric approch C
All the three D

Question # 19

If elasticity of supply is one, supply curve will be

horizontal A
vertical B
passing through origin C
touching x-axis D

Question # 20

Long period supply curve is

relatively flatter A
relatively steeper B
more elastic C
a and c of above D

Sr.#	Question	Answer
1	Products A and B are substitutes whereas A and C are complement. With a rise in the price of product A, quantity demand of:	A. Product B will go up B. Product will fall C. Both the above will take place D. Nothing will take place
2	The method to measure the elasticity of demand is :	A. Percentage method B. Total outlay approach C. Geometric approch D. All the three
3	The composite demand for a product is generally:	A. Elastic B. Inelastic C. Equal to unity D. Equal to zero
4	If price changes by one % and supply changes by 2% then supply is	A. elastic B. inelastic C. indeterminate D. static
5	In case of perfectly elastic demand curve, the demand curve will be parallel to the :	A. Horizontal axis B. Vertical Axis C. None of the above
6	The elasticity of demand for a product is less than unity. Therefore, with a fall in its price, total expenditure of consumer will.	A. Fall B. Rise C. Remain the same D. Fluctuate
7	With a fall in price quantity demand changes in such a way that total expenditure of the consumer remain constant, elasticity of demand will be.	A. Equal to unity B. Greater than unity C. Less than unity D. Equal to zero
8	When a supply of a commodity increases without change in price it is called	A. fall in supply B. expansion in supply C. contraction in supply in D. rise in supply
9	Long period supply curve is	A. relatively flatter B. relatively steeper C. more elastic D. a and c of above
10	The total quantity of a commodity available in or near the market which can be brought for sale at a short notice	A. Stock B. Supply C. Demand D. None of these

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Economics Ics Part 1 English Medium Chapter 5 Online Test

The demand for a product is inelastic. In order to increase government revenue, the finance minister will :

What best explains a shift in market supply curve to the right?

Which of the following shifts supply curve of cars to the right

The method to measure the elasticity of demand by the unitary method was introduced by.

When the percentage change in quantity demanded is greater than the percentage change in price, elasticity of demand for the product will be.

The price of a product double due to which its quantity demand falls to one half. The elasticity of demand for product will be:

Elasticity of a demand for product will be greater then unity if, with a fall in its price, total expenditure of consumer.

If price changes by one % and supply changes by 2% then supply is

If a change in demand is brought by a change in income, of demand will be.

Products A and B are substitutes whereas A and C are complement. With a rise in the price of product A, quantity demand of:

Who present the Arc Elasticity formula for the measurement of elasticity of demand.

In case of perfectly elastic demand curve, the demand curve will be parallel to the.

When a supply of a commodity increases without change in price it is called

In case of perfectly elastic demand curve, the demand curve will be parallel to the :

With a fall in the price of a Giffen good or inferior good its quantity demand will.

In May 2012, firm was supplying 1000 kg of sugar at market price of Rs. 60/- per kg. During June 2012, firm's supply of sugar had decreased to 900 kg at price Rs. 40/- per kg. These changes show that supply of sugar is

If a firm makes 200 units of a good available at a price of Rs. 10 per unit, the elasticity is

The method to measure the elasticity of demand is :

If elasticity of supply is one, supply curve will be

Long period supply curve is

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