Question # 1

A set containing all the elements of the universal set except those of set A is called.

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Complement of set A

Complement of universal set

Union of A and universals set

Universal set itself

A depreciation of the dollar willhave its most pronounced impact on imports if the demand for imports is.

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Constant

Inelastic

Elastic

Unitary elastic

Who said that research studies have differing degree of purity and applicability.

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Faraday

Julious Smon

Morry

Bogardus

A set totality of elements from all possible sets is called.

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Union set

Intersection set

Universal set

Unit set

An increase in the wage rate.

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Will usually lead to more people employed

Will decrease total earnings if the demand for labour is wage elastic

Is illegal in a free market

Will cause a shift in the demand for labour

The overall Budget Deficit is financed from

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External borrowing

Non bank borrowing domestically

Bank borrowing plus the above two at a and b

None of the above

If government tax function is T = 80 + .6 Y and the marginal propensity to consume is a constant 8 and increase in GNP of Rs.50 would cause consumption to.

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Increase by Rs.16

Decrease by Rs.16

Increase by Rs.40

Decrease by Rs.30

BATA's marginal utility per dollars is .8 for both shorts and running shoes,. To attain her consumer equilibrium BATA should.

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Buy an additional pair of shorts

Buy an additional pair of both items

Possibly not make any adjustment in her behavior

Sell her shorts and keep her shoes

The IS curve shifts to the left when

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Taxes increase

Government spending increase

The money supply increases

All of the above occur

Human capital can be described as.

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The tools used by workers to entrances productivity

a persons inherited abilities.

The stock of expertise accumulated by a worker

Education

The cliche that "The punishment should fit the crime " originated in the writings of.

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Plato

Thomas Aquinas

Jeremy Benithm

David hume

The main cause of different relative costs between countries are.

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Relative factors competition

Relative factor mobility

Relative factor substitution

Relative factor endowments

If the expected inflation rate is unchanged a fall in the natural rate of unemployment would.

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shift the Phillips curve to the right

Not Shift the phillips curve

Shift the Phillips curve to the left

shift the Phillips curve to the left shift the long -run Philips curve to the right

The renowned economist and Islamic scholar who applied principles of politics economics was.

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Imam Abu Haneefa

ibn e Khaldun

Imam Abu Yousaf

Abu Qasim

A welfare less occurs in monopoly where

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The price in greater than the marginal cost

The price is greater than the marginal benefit

The price is greater than the average revenue

Has the right to investigate monopolies and will assess each one on its own mertis

It is appropriate to use the supply and demand model if in a market.

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Everyone is a price taker with full information about the price and quantity of the good.

Firms sell identical products

Costs of trading are low

All of the above

The supply curve of a monopolist is always.

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More elastic

Less elastic

undefined

Steeper

When plotted with the aggregate price level on the vertical axis and output on the horizontal axis, which of the following curves slopes downward.

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SRAS

AD

LRAS

None of the above

An increase in autonomous consumer expenditure causes the equilibrium levelof aggregate output to _______ at any given interest rate and shifts the ____ curve to the

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rise ; LM ;right

rise ; IS ; right

fall ; LM, Left

rise ; IS ; Left

The school of deep ecology was founded by

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J.S.Mill

Kant

Naes

Aristotle

Exchange rate overshooting often occur because.

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Domestic prices adjust slowly to shifts in demand

Military spending increases during military's confects

Elasticities are smaller in the long run than the short run

Elasticities are smaller in the short run than the long run.

If the nominal money supply doubles while real money demand is unchanged what happens to the price level.

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The price level increases by a factor of four

The price level doubles

The price level is unchanged

The price level falls by one half.

The sign of the simple correlation coefficient is determined by

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The intercept of the least squares equation.

The slope of the least squares equation

The appropriate economic theory.

The researcher

Adam smith includes in the model of economic growth following factors of production.

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Labor only

Capital only

Labor and capital

Labor capital and land

An increase in money _______ shifts the LM curve to the _____ causing the interest rate to fall and output to rise

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demand ; right

demand ; left

supply ; right

supply ; left

Which of the following is a characteristics of monopolistic competition.

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One seller serving the entire market

When each firm sells an identical product

When firms do not compete on a product's quality price and marketing.

When firms are free to enter and exit the market

a nation with a current account deficit will be

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Lending more money to other nations

Experiencing a surplus in exports of goods and services.

Reducing its indebtedness to other nations

Going further into debt with other nations

If the demand for money increase relative to the supply of money

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Interest rates will trend upward

Interest rates will trend downward

Interest rates are not affected by increases in money demand

Interest rates will behave randomly

The expected profit from the profit distribution above is.

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40 units

60 units

100 units

20 units

The law of diminishing marginal returns to a factor of production is.

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Not applicable

Another explanation of economies of scale

A principle of scales

None of these

Leakages from the circular flow are____ and _____

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Investment savings, government expenditure

Saving , taxes net of subsidies, imports

Consumption, investment , government expenditure.

Consumption, taxes, impports

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