Question # 1

Which of the following is TRUE for a Giffen good?

Its marginal utility is zero

Its demand curve is perfectly elastic

Its substitution effect is positive

Its demand curve is positively sloped

If total expenditure decrease with the rise in prices elasticity of demand will be:

Equal to unity

Less than unity

Greater than unity

Equal to zero

What was the production of wheat in million tones during 2005-06?

16.6

21.7

26.2

30.8

In 2005-06, the percentage of total investment to GDP was:

8 percent

10percent

15percent

20percent

The economy gets prosperity during:

Recession

Boom

Depression

Recovery

Marginal cost curve always intersects average cost curve at:

The maximum point

The central point

The minimum point

The vertical point

NAT II Management Science Economy MCQs With Answers