Top 150+ Solved Managerial Economics MCQ Questions Answer
Q. Indifference curve analysis is based on the principles of
a. consumer surplus
b. diminishing marginal utility
c. diminishing marginal rate of substitution
d. none of these
Q. Macro economic theory is also known as
a. price theory
b. income theory
c. demand theory
d. none of these
Q. The study of entire economic system is called
a. macro economics
b. micro economics
c. economics
d. none of these
Q. The study of international trade and national income is part of
a. global economics
b. macro economics
c. positive economics
d. micro economics
Q. If the income elasticity of demand is that one, the good is a
a. necessity
b. luxury
c. substitute
d. complement
Q. The income elasticity of demand is negative for a
a. positive good
b. normal good
c. elastic good
d. inferior good
Q. If the price of DVRs fell and as a result the demand for VHS recorders fell we could conclude that VHS recordersDVRs are
a. normal goods
b. substitutes
c. elastic goods
d. unrelated
Q. What effect is working when the price of a good falls and consumers tend to buy it instead of other goods
a. income effect
b. substitution effect
c. price effect
d. none of these
Q. The quantity demanded of a product increases when
a. the consumers suddenly want more of the goods
b. the consumers level of income falls
c. the price of the product falls
d. more buyers of the goods enter the market
Q. Two goods that are used jointly to provide satisfaction are called
a. inferior goods
b. normal goods
c. complementary goods
d. substitute goods
Q. Demand curve slopes downwards because of
a. the law of diminishing marginal utility
b. the income effect
c. substitution effect
d. all of the above
Q. If the income and substitution effect of a price increase works in the same direction the good whose price haschanged is a
a. giffen goods
b. inferior goods
c. normal goods
d. superior
Q. Which of the following is not a survey method of demand forecasting
a. consumers interview method
b. expert opinion method
c. barometric method
d. collective opinion method