introduction to micro economics section 5 Practice Questions Answers Test with Solutions & More Shortcuts
Introduction to Micro Economics PRACTICE TEST [8 - EXERCISES]
introduction to micro economics section 1
introduction to micro economics section 2
introduction to micro economics section 3
introduction to micro economics section 4
introduction to micro economics section 5
introduction to micro economics section 6
introduction to micro economics section 7
introduction to micro economics section 8
Question : 1 [SSC CML 2002]
It is prudent to determine the size of the output when the industry is operating in the stage of
a) negative returns
b) increasing returns
c) constant returns
d) diminishing returns
Answer »Answer: (d)
In economics, diminishing returns (also called diminishing marginal returns) is the decrease in the marginal (per-unit) output of a production process as the amount of a single factor of production is increased, while the amounts of all other factors of production stay constant.
This law plays a central role in production theory.
Question : 2 [SSC HSLDEO 2010]
The situation in which total Revenues equals total cost, is known as :
a) Perfect competition
b) Monopolistic competition
c) Equilibrium level of output
d) Break even point
Answer »Answer: (d)
In economics and cost accounting, the break-even point (BEP) is the point at which cost or expenses and revenue are equal: there is no net loss or gain, and one has "broken even.”
Question : 3 [SSC GL 2013]
In the case of an inferior good, the income elasticity of demand is :
a) Positive
b) Zero
c) Negative
d) Infinite
Answer »Answer: (c)
Negative income elasticity of demand is associated with inferior goods; an increase in income will lead to a fall in the demand and may lead to changes to more luxurious substitutes.
Positive income elasticity of demand is associated with normal goods; an increase in income will lead to a rise in demand.
Question : 4 [SSC DEO 2009]
The relationship between the value of money and the price level in an economy is
a) Stable
b) Direct
c) Inverse
d) Proportional
Answer »Answer: (c)
The basic causal relationship between the price level and the value of money is that as the price level goes up, the value of money goes down.
The "value of money" refers to what a unit of money can buy whereas the "price level" refers to the average of all of the prices of goods and services in a given economy.
Question : 5 [SSC HSLDEO 2010]
The theory of monopolistic competition has been formulated in the United States of America by
a) Joseph Schumpeter
b) Joan Robinson
c) Edward Chamberlin
d) John Bates Clark
Answer »Answer: (c)
In treatments of monopolistic competition, Edward Chamberlin and Joan Robinson are usually credited with simultaneously and independently developing the theory of monopolistic or imperfect competition.
Chamberlin published his book ‘The Theory of Monopolistic Competition’ in 1933, the same year that Joan Robinson published her book on the same topic: ‘The Economics of Imperfect Competition,’ so these two economists can be regarded as the parents of the modern study of imperfect competition.
IMPORTANT indian economy mcq EXERCISES
-
Top 500+ Micro Economics Introduction GK MCQ Quiz For SSC »
-
499+ Micro Economics Basic GK MCQ Quiz PDF For BANK Exams »
-
New Microeconomics Fundamental Concepts MCQ Quiz For UPSC »
-
499+ Micro Economics Key Concepts Basic GK MCQ Quiz PDF »
-
Top 500+ Indian Micro Economics Basic Concepts GK MCQ PDF »
-
New 500+ Macroeconomics Basic GK Questions & Answers PDF »
-
New 500+ Microeconomic Policies & Concepts Based MCQ PDF »
-
Top Microeconomics Questions And Answers MCQ PDF For IBPS »
Introduction to Micro Economics Shortcuts »
Click to Read...introduction to micro economics section 5 Online Quiz
Click to Start..Introduction to Micro Economics Shortcuts and Techniques with Examples
indian economy MCQ CATEGORIES
-
» Introduction to Indian Economy
-
» Planning, Economic Development & Five year Plans
-
» National Income & Human Development Index
-
» Agriculture Sector, Subsidy and Food Processing
-
» Industries, Manufacturing & Service Sectors
-
» Inclusive growth, Sustainable development and employment
-
» Poverty & Unemployment
-
» Introduction to Micro Economics
-
» Introduction to Macro Economics
-
» Macro fundamentals, GDP, Investment, Growth
-
» Demand & Supply, Profit Loss, Inflation & Price Index
-
» Fiscal Policy, Public Finance and Monetary Policy
-
» Money Supply, Banking and Financial Institutions
-
» Taxes Types, Methods & Budgeting Process
-
» Banking, Security Market & Insurance
RECENT BLOGS
Recently Added Subject & Categories For All Competitive Exams
Classification MCQ Test: IBPS RRB PO 2024 Scale-1 Prelims
Free 150+ Classification Verbal Reasoning Multiple choice questions and answers practice test series PDF, Free Quiz For IBPS RRB PO Officer Scale 1 Level 2024
Continue Reading »
100+ Analogy Verbal Questions Answers PDF For IBPS RRB PO
Most Important Analogy Verbal Reasoning Multiple choice questions and answers practice test series PDF & Free Quiz For IBPS RRB PO Officer Scale 1 Level 2024
Continue Reading »
IBPS RRB Clerk 2024 Seating Arrangement Questions Answers
Seating Arrangement: Verbal Reasoning Practice multiple choice questions and answers test & Quiz PDF for IBPS RRB (Assistant Multipurpose) Clerk Prelims 2024
Continue Reading »
Top Aptitude Time & Distance Questions PDF: IBPS RRB Clerk
Important Aptitude Time and Distance multiple choice questions answers practice test PDF for IBPS RRB Clerk (Office Assistant Multipurpose) Prelims 2024 Exam
Continue Reading »