Top 550+ Solved Economics (GK) MCQ Questions Answer
Q. Buyers and Sellers will have perfect knowledge of market conditions under -
a. Duopoly
b. Perfect competition
c. Monopolistic competition
d. Oligopoly
Q. In short run, if a competitive firm incurs losses, it will -
a. stop production.
b. continue to produce as long as it can cover its variable costs.
c. raise price of its product.
d. go far advertising campaign.
Q. If the average revenue is a horizontal straight line, marginal revenue will be -
a. U shaped
b. Kinked
c. Identical with average revenue
d. L shaped
Q. The demand of a factor of production is
a. direct
b. derived
c. neutral
d. discretion of the producer
Q. Bilateral monopoly refers to the market situation of -
a. two sellers, two buyers
b. one seller and two buyers
c. two sellers and one buyer
d. one seller and one buyer
Q. Production function refers to the functional relationship between input and
a. product
b. produce
c. output
d. service
Q. Under perfect competition, the industry does not have any excess capacity because each firm produces at the minimum point on its -
a. long-run marginal cost curve
b. long-run average cost curve
c. long-run average variable cost curve
d. long-run average revenue curve
Q. Exploitation of labour is said to exist when -
a. Wage = Marginal Revenue Product
b. Wage < Marginal Revenue Product
c. Wage > Marginal Revenue Product
d. Marginal Revenue Product =0
Q. The size of the market for a product refers to -
a. the number of people in the given area
b. the geographical area served by the proudcers
c. the volume of potential sales of the product
d. the number of potential buyers of the product
Q. Economic problem arises mainly due to
a. overpopulation
b. unemployment
c. scarcity of resources
d. lack of industries
Q. In Economics the 'Utility' and 'Usefulness' have -
a. same meaning
b. different meaning
c. opposite meaning
d. None of the above
Q. If two commodities are complements, then their crossprice elasticity is-
a. zero
b. positive
c. negative
d. imaginary number
Q. Transfer earning or alternative cost is otherwise known as -
a. Variable cost
b. Implicit cost
c. Explicit cost.
d. Opportunity cost
Q. Economic development depends on :
a. Natural resources
b. Capital formation
c. Size of the market
d. All of the above
Q. Human Development Index was developed by :
a. Amartya Sen
b. Mahbub-ul-Haq
c. Friedman
d. Montek Singh