Question # 1

Equilibrium level of national income means that point where

Choose an answer

Consumption = saving

Consumption = investment

Income = saving + investment

Saving = Investment

TU is maximum where MU of all goods is:

Choose an answer

Minimum

Maximum

Negative

Equal

When supply curve shifts leftwards or up, it is called

Choose an answer

Rise of supply

Fall of supply

Extension of supply

Contraction of supply

Elasticity of demand for durable goods is

Choose an answer

More elastic

Less elastic

Infinte

Zero

If price decreases but supply remains constant, it is called:

Choose an answer

Fall in supply

Contraction in supply

Expansion in supply

Rise in supply

With the increase of output, which cost of production increases:

Choose an answer

VC

AC

FC

MC

Average cost curve is in short run

Choose an answer

Negative sloped

U-shaped

L-shaped

Positive sloped

Demand for a commodity means

Choose an answer

Desire to purchase

Power to purchase

Price of commodity

All the three

Advantages of international trade are

Choose an answer

One

Two

Three

Many

Which laws are definite and universal

Choose an answer

Economic laws

Moral laws

State laws

Scientific laws

Non elastic demand curve is

Choose an answer

positive

negative

vertical

horizontal

A monopolist firm usually earns

Choose an answer

Normal profit

Abnormal profit

Minimum loss

Abnormal loss

When supply decreases due to fall in price, it is called:

Choose an answer

Fall in supply

Contraction in supply

Expansion in supply

Rise in supply

One of the following is invisible item of balance of payment

Choose an answer

Import of motor cars

Exports of cotton

Expenditure of passengers traveling by air

Private investment in foreign country

Fixed cost consists of:

Choose an answer

Rent

Salaries

Interest

All of them

Which economist did name economics as neutral science

Choose an answer

Pigou

Keynes

Robbins

Marshall

More Classes

Other Links

Principles of Economics Icom Part 1 English Medium Online Test 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