Top 150+ Solved Basics of Economics MCQ Questions Answer
Q. Change in quantity supplied of a product can result from
a. changes in own price
b. changes in cost of production
c. change in technology
d. change in price of related products
Q. At prices above the equilibrium price
a. quantity supplied exceeds quantity demanded
b. quantity demanded exceeds quantity supplied
c. there is shortage
d. all of the above is possible
Q. An increase in market demand, supply remaining the same results in
a. decrease in equilibrium price
b. decrease in equilibrium quantity
c. decrease in equilibrium price and increase in equilibrium quantity
d. both equilibrium price and quantity rises
Q. There is no distinction between firm and industry in
a. perfect competition
b. monopoly
c. monopolistic competition
d. oligopoly
Q. A fall in the market demand, supply remaining the same results in
a. increase in equilibrium price
b. increase in equilibrium quantity
c. increase in equilibrium price and decrease in equilibrium quantity
d. both equilibrium price and quantity falls
Q. The cost of next best alternative is called
a. marginal cost
b. average cost
c. opportunity cost
d. direct cost
Q. There is ------- relationship between price and quantity supplied
a. positive
b. negative
c. constant
d. inverse
Q. Supply curve represents -------- relationship between quantity andprice
a. direct
b. inverse
c. either direct or inverse
d. none of the above
Q. National Income means:
a. gnp at factor cost
b. gnp at market price
c. nnp at factor cost
d. nnp at market price
Q. The difference between GDP and NDP equals:
a. transfer payments
b. net indirect taxes
c. net factor income from abroad
d. depreciation
Q. Which of the following is true?
a. gnp + depreciation = nnp
b. gnp = gdp + net factor income from abroad
c. ndp = gnp minus net indirect taxes
d. nnp = dgp minus depreciation