vu eco401 Final Term - Quiz No.17
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: A new technology which reduces costs for firms:
Shifts the supply curve to the right.
Shifts the supply curve to the left.
Reduces the equilibrium quantity.
Raises the equilibrium price.
Question 2: While moving from left to right, the typical production possibilities frontier (PPF) has:
An increasingly steep negative slope.
An decreasingly steep negative slope.
An increasingly steep positive slope.
A constant and negative slope.
Question 3: Is GDP an accurate measure of a countrys well being?
Yes, it is the best measure of national well being.
Yes, provided we use real GDP and not nominal GDP.
Uncertain, depending on whether GDP is rising or falling.
No, it is not.
Question 4: The total cost (TC) function is given as TC = 500 + 30Q. What is the average total cost?
500
30+ (500/Q)
30Q2+500Q
30
Question 5: If demand for automobiles increases and the supply curve do not shift then result will be:
No change in price and quantity of automobiles
Higher price and lower quantity of automobiles
Higher price and more quantity of automobiles
Higher price and no change in quantity of automobiles
Question 6: Which of the following is a correct statement about the substitution effect?
The substitution effect is always negative.
The substitution effect is positive for an inferior good.
The substitution effect measures how demand changes when income changes.
The substitution effect is positive for a Giffen good.
Question 7: Sugar can be produced from sugar beets. If the price of sugar beets falls, which of the following will happen?
The demand curve for sugar would shift right.
The demand curve for sugar would shift left.
The supply curve for sugar would shift right.
The supply curve for sugar would shift left.
Question 8: All the insurance companies around the globe work under the principle of:
Law of zero numbers
Law of large numbers
Law of small numbers
Law of constant numbers
Question 9: A price taker is:
A firm that accepts different prices from different customers.
A monopolistically competitive firm.
A firm that cannot influence the market price.
An oligopolistic firm.
Question 10: We can measure economic growth with the help of:
The Consumer Price Index
The Producer Price Index
Gross Domestic Product
Marginal Propensity to Consume
