Question # 1

GDP per head may be an imperfect measure of economic welfare because it excludes.

Choose an answer

The value of leisure

Externalities

Untraded goods

All of the above

Comparing a monopoly and a competitive firm the monopolist will.

Choose an answer

Produce less at a lower price

Produce more at a lower price

Produce less at a higher price

Produce less at a lower price

If the MPC is 0.5 the multiplier is

Choose an answer

2

1/2

0.2

20

LDC's often have a comparative advantage in the production of.

Choose an answer

Primary products

Intermediate products

Manufactured products

Financial services.

Floating exchange rates are __ in the short run

Choose an answer

Stable

Volatile

Predictable

Depreciating

For a competitive firm its short run supply curve is ________ and its long run supply curve is.

Choose an answer

SMC , LMC

SMC above SAVC, LMC above LAC

SMC below SAVC, LMC above LAC

SMC Below SAVC, LMC below LAC

The primary function of a bank is to.

Choose an answer

Control the money supply

Provide notes and coins for trade

Make a profit

Provide a chequeen clearing system.

Possible causes of involuntary unemployment are

Choose an answer

Minimum wage agreements

Trade unions

Scale economies

All of the abvoe

If I keep some money available in case I see a bargain this is an example of.

Choose an answer

Asset demand for money

Transactions demand for money

Token demand for money

Precautionary demand for money

In the UK under a _________ of the labour force belong to a trade union.

Choose an answer

Quarter

Third

Half

Three quarters

When investment is assumed to autonomous the slope of the AD schedule is determined by the.

Choose an answer

Marginal propensity to invest.

disposable income

Marginal propensity to consume

Average properisity to consume

Top footballers land to earn more than lecturers because.

Choose an answer

Footballers give more entertainment

Lecturers are lazy

The labour markets are imperfect

Top footballers are relatively scarce in relation to lecturers

The most important source of wage differentiate are.

Choose an answer

Reginal variation

Unionization

Relative danger

Skills

Human capital can be described as.

Choose an answer

The tools used by workers to entrances productivity

a persons inherited abilities.

The stock of expertise accumulated by a worker

Education

A good example of a public good is.

Choose an answer

Public transport

National defense

The national health service

Rail transport

The increase in total cost when one more units is produced is known as.

Choose an answer

Marginal cost

Opportunity cost

Limited cost

Average cost

An advocate of the classical model of the economy would claim that unemployment a created when the ___________ is above its equilibrium level in the.

Choose an answer

Price level, agregate economy

Tax rate, government ebudget

Wage rate, labour market

Interest rate, market for loanable funds

In the UK in recent years, union membership has ______ and days of work lost because of strikes has.

Choose an answer

Grown, declined

declined, declined

declined, grown

grown , grown

Monetarists believe that a reduction in _____ can be achieved by reducing.

Choose an answer

Unemployment, prices

Inflation, wages

Unemployment, wages

Inflation, the quantity of nominal money

Perfect price discrimination means that every customer.

Choose an answer

Buys the same amount

Pays the same price

Pays what she thinks the product is worth

Contributes the same revenue.

Starting from a balanced budget, for a given tax rate an increase in income will cause the government budget to.

Choose an answer

Move into surplus

Move into deficit

Remain unchanged

None of these

More Classes

Other Links

PPSC Economics Chapter 11 Assess Your Basics MCQs With Answers

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer