Top 250+ Solved Managerial Economics 1 MCQ Questions Answer
Q. Perfect competition is characterized by
a. large number of buyers and sellers
b. homogeneous product
c. free entry and exit of firms
d. all the above
Q. The market with a single producer
a. perfect competition
b. monopolistic competition
c. oligopoly
d. monopoly
Q. Selling cost is the feature of the market form
a. monopoly
b. monopolistic competition
c. oligopoly
d. none of these
Q. The product under monopolistic competition are
a. differentiated with close substitute
b. perfect substitute
c. differentiated without close substitute
d. homogeneous
Q. In business cycle concept, the period of “long wave” is of;
a. 25 years
b. 50 years
c. 100 years
d. 200 years
Q. In economics …….. means ‘a state of rest ‘or ‘stability’
a. depression
b. equilibrium
c. maturity
d. growth
Q. Selling at a lower price in export market and at a higher price at home market is called
a. export subsidy
b. dumping
c. price cut
d. all the above
Q. A fall in the price of a commodity leads to
a. a shift in demand
b. a fall in demand
c. a rise in the consumer’s real income
d. a fall in the consumer’s real income
Q. An exceptional demand curve is one that slopes
a. upward to the left
b. downward to the right
c. horizontally
d. upward to the right
Q. Which one is not an exception to the Law of Demand?
a. normal good
b. articles of distinction
c. ignorance
d. inferior good
Q. Demand for a commodity is elastic when it has:
a. only one use
b. uses which cannot be postponed
c. many uses
d. uses very essential for the consumer
Q. When the demand curve is a rectangular hyperbola, it represents:
a. perfectly elastic demand
b. unitary elastic demand
c. perfectly inelastic demand
d. relatively elastic demand
Q. The horizontal demand curve for a commodity shows that its demand is:
a. perfectly elastic
b. highly elastic
c. perfectly inelastic
d. moderately elastic
Q. When an individual’s income falls (while everything else remains the same), his demandfor an inferior good:
a. increases
b. decrease
c. remains unchanged
d. we cannot say without additional information
Q. A fall in the price of a commodity whose demand curve is a rectangular hyperbola causestotal expenditure on the commodity to:
a. increases
b. decrease
c. remains unchanged
d. any of the above