vu eco401 Final Term - Quiz No.3
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: Zafar Iqbal stated in his opening note at University of Economics that food prices should be controlled for a comfortable living. Which category his statement falls in?
Normative
Positive
Negative
None of the given
Question 2: Falling inflation means that price level is rising at a(n):
Constant Rate.
Increasing rate.
Decreasing rate.
Fluctuating rate.
Question 3: Suppose supply of agricultural products is price inelastic and government decides to increase taxes on agricultural products. More of the tax burden in this case would fall on:
Producers
Consumers
Government
Both producers and consumers
Question 4: The total utility curve starts at the origin and reaches the peak when marginal utility is:
Zero
Maximum
Negative
Positive
Question 5: A demand curve is price elastic when
Changes in demand are proportionately greater than changes in price
Changes in demand are equal to changes in price
None of the given options
Changes in demand are proportionately smaller than changes in price
Question 6: The demand curve for chicken is downward-sloping. Suddenly the price of chicken rises from Rs.130 per kg to Rs.140 per kg. This will cause:
The demand curve for chicken to shift to the left.
The demand curve for chicken to shift to the right.
Quantity demanded of chicken to increase.
Quantity demanded of chicken to decrease.
Question 7: The slope of the saving function (or line) is the:
Average propensity to save.
Average propensity to consume.
Marginal propensity to save.
Marginal propensity to consume.
Question 8: If the cost of parts of automobiles rises, then:
The demand curve for automobiles shifts to the right.
The demand curve for automobiles shifts to the left.
The supply curve for automobiles shifts to the right.
The supply curve for automobiles shifts to the left.
Question 9: Which of the following statements describes increasing returns to scale:
Doubling the inputs used leads to double the output.
Increasing the inputs by 50% leads to a 25% increase in output.
Increasing inputs by 1/4 leads to an increase in output of 1/3.
None of the given options.
Question 10: Which of the following defines the opportunity cost?
Cost measured only in rupees
Cost of producing the goods
Cost of producing one more unit of good
Cost of next best alternative forgone
