vu eco401 Final Term - Quiz No.14
vu eco401 Economics Quiz
This quiz belongs to book/course code vu eco401 Economics of vu organization. We have 33 quizzes available related to the book/course Economics. This quiz has a total of 10 multiple choice questions (MCQs) to prepare and belongs to topic Final Term. NVAEducation wants its users to help them learn in an easy way. For that purpose, you are free to prepare online MCQs and quizzes.
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Question 1: If government imposes a price ceiling on wheat, which of the following will occur in the market for wheat?
There will be excess demand for wheat.
There will be excess supply of wheat.
The demand curve for wheat will shift leftward.
The supply curve for wheat will shift rightward.
Question 2: The price of one unit of foreign good in terms of domestic good is known as:
Inflation rate.
Real exchange rate.
Nominal exchange rate.
Discount rate.
Question 3: In the complete Keynesian cross model, the aggregate expenditures line is specified as:
AE = C + I.
AE = C + I + X.
AE = C + I + G.
AE = C + I + G + (X - M).
Question 4: If income elasticity is negative, the good is:
Normal good
A substitute good
A complementary good
inferior good
Question 5: Real Gross National Product (GNP) is best defined as:
The pound value of all final goods and services produced in the economy during a particular time period and measured in current prices.
The pound value of all goods produced for final consumption by households in a particular year and measured in constant prices.
The current pound value of all new and used goods produced and sold in the economy during a particular time period.
The market value of all final goods and services produced by the economy during a given time period, with prices held constant relative to some base period
Question 6: Disposable income is:
Total income plus transfer payments.
Total income minus saving.
Total income plus net taxes.
Total income minus net taxes .
Question 7: People who are only working part-time, but want to be working full-time, are classified officially as:
Unemployed and in the labor force.
Unemployed and out of the labor force.
Employed and out of the labor force.
Employed and in the labor force.
Question 8: The level of output produced when the labor market is in equilibrium is called:
Target output.
Product market equilibrium output.
Full-employment output.
Natural output.
Question 9: The Monetarist key to solve the inflation problem was:
Stable money supply
Stable output
Stable prices
Stable economic growth
Question 10: The law of diminishing returns assumes:
There are no fixed factors of production.
There are no variable factors of production.
Utility is maximised when marginal product falls.
Some factors of production are fixed.
