| 1 |
Perfectly inelastic supply curve is: |
- A. Parallel to vertical axis
- B. Parallel to horizontal axis
- C. Rises upward to the right
- D. Falls downward to the right
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| 2 |
A rise in supply and demand in equal proportion will result in |
- A. increase in equilibrium price and decrease in equilibrium quantity
- B. decreases in equilibrium price and increases in equilibrium quantity
- C. no change in equilibrium price and increases in equilibrium quantity
- D. increases in equilibrium price and no change in equilibrium quantity
|
| 3 |
Market Price of Perishable |
- A. Commodities
- B. Utility
- C. Consumer
- D. None of these
|
| 4 |
Market equilibrium means |
- A. number of buyers and sellers are equal
- B. demand and supply of commodity are equal
- C. no price is changing
- D. prices rise very slowly
|
| 5 |
Price of a product is determined in a free market |
- A. by demand for the product
- B. by supply of the product
- C. by both demand and supply
- D. by the government
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| 6 |
When the price of a product increase by 100 percent and as a consequence, its quantity supplied increase by 125 percent, Its elasticity of supply will be. |
- A. Less than unity
- B. Greater than unity
- C. Equal to unity
- D. Equal to zero
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| 7 |
When the supply curve of a product is parallel to the vertical axis, it would mean that; |
- A. Different quantities of a product are supplied at the same price.
- B. Different quantities of a product are supplied at different price.
- C. Same quantities of a product are supplied at different price.
- D. None of three
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| 8 |
Which one will be termed as supply of a product. |
- A. One tone potato in cold storage
- B. One ton rice offered for sale in market
- C. One ton rice brought for sale in market at a certain price.
- D. None of the three
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| 9 |
Demands and supply curves cross at |
- A. always at 60 degree
- B. at 90 degree
- C. at equal angle
- D. at any angle
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| 10 |
Ten rupees is the equilibrium price for good Z. If govt. fixes price at Rs. 5, there is |
- A. a shortage
- B. a surplus
- C. excess supply
- D. loss
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