NAT IIM Management Science Economy Online Test for Pakistani Students

MCQ's Test For NAT II Management Science Economy

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NAT II Management Science Economy

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Question # 1

Which group of the following showed a negative growth of -58.6 percent during 2005-06?

Question # 2

Inflation on prices:

Question # 3

Which of the following is TRUE for a Giffen good?

Question # 4

To find the profit maximizing level of output, a firm finds the output level where:

Question # 5

Which ASEAN nation had the highest growth rate of 7.5 percent in 2005-06?

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NAT-II Economy Chapter 0 Important MCQ's

Sr.# Question Answer
1 In 2005-06, the percentage of total investment to GDP was:
A. 8 percent
B. 10percent
C. 15percent
D. 20percent
2 The quality of a commodity which satisfies the human wants:
A. Usefulness
B. Loss
C. Utility
D. Return
3 Which of the following large-scale items showed a negative growth of -47.97 percent during July-March 2005-06?
A. Sugar
B. Vegetable Ghee
C. Billets
D. Cement
4 Reward for capital is called:
A. Rent
B. Interest
C. Wages
D. Profit
5
A monopolistically competitive firm in short run equilibrium:
A.
Will make negative profit (lose money).
B. Will make zero profit (break-even)
C. Will make positive profit
D. Any of the given are possible.
6 The other name of law of diminishing return is:
A. Law of supply
B. Law of diminishing marginal utility
C. Law of demand
D. Law of increasing cost
7 "Government collects zero revenue if the tax rate is 0% and if the tax rate is 100%." Which of the following best describes this statement?
A. Consumption curve
B. Supply curve
C. Laffer curve
D. Investment curve
8 What is the interest rate effect that explains why the aggregate demand curve slopes downward?
A. It refers to the effect of changes in the price level on quantity of investment demanded which in turn affects interest rates
B.
It refers to the effect of interest rates on borrowing which in turn affects consumption spending.
C. It refers to the effect of changes in the price level on interest rates which in turn affects the quantity of investment demanded
D. It refers to the shifts in aggregate demand when interest rates change
9 The total cost (TC) function is given as: TC = 200 + 5Q. What is the fixed cost?
A. 5Q
B. 5
C. 5 + (200/Q)
D. 200
10 During 2005-06 maize was grown on an area of 982 thousand hectares and its production was:
A. 3.5 million tones
B. 4.2 million tones
C. 5.2 million tones
D. 6.7 million tones

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