Q.1)-Equilibrium is a condition that can-
- Never changes
- Changes only if some outside factor changes
- Changes only if some outside factor changes
- Changes only if government policies changes
Q.2)-A firm is in equilibrium when its-
- Marginal cost equals the marginal revenue
- Total cost is maximum
- Total revenue is maximum
- Average revenue and marginal revenue are equal
Q.3)-Which of the following does not determine supply of labour?
- Size and age-structure of population
- Nature of work
- Marginal productivity of labour
- Work-leisure ratio
Q.4)-Extension or construction of quantity demanded of a commodity is a result of a change in the-
- Unit price of the commodity
- Income of the consumer
- Tastes of the consumer
- Climate of the region
Q.5)-Cross elasticity of demand between petrol and car is-
- Infinite
- Positive
- Zero
- Negaative
Q.6)- 'Law of demand' implies that when there is excess demand for a commodity, then-
- Price of the commodity falls
- Price of the commodity remains same
- Price of the commodity rises
- Puantity demanded of the commodity falls
Q.7)-The demand curve shows that price and quantity demand are-
- Directly related only
- Directly proportional and also directly related
- Inversely proportional and also inversely related
- Inversaly related only
Q.8)-Economic rent does not arise when the supply of a factor unit is-
- Perfectly inelastic
- Perfectly elastic
- Relatively elastic
- Relatively inelastic
Q.9)-A horizontal demand curve is-
- Relatively elastic
- Perfectly elastic
- Relatively elastic
- Relatively inelastic
Q.10)-Under increasing returns the supply curve is-
- positiviely sloped from left to right
- negitively sloped from left to right
- parallel to the quantity axis
- parallel to the price axis