Top 150+ Solved Micro Economics analysis MCQ Questions Answer
Q. The supply curve of the input that a firm faces under a perfectlycompetitive market is
a. downward sloping
b. horizontal supply curve
c. upward sloping
d. none of the above
Q. The supply curve of an input that a firm faces under animperfectly competitive market is
a. downward sloping
b. horizontal supply curve
c. upward sloping
d. none of the above
Q. Let labour is the only variable input, a monopsonist maximizeshis or her profit when
a. mpl = mel
b. mpl < mpl
c. mpl > mpl
d. none of the above
Q. A profit maximizing firm under a perfectly competitive marketemploys more and more variable input labour until
a. mrpl < mel = w
b. mrpl > mel = w
c. mrpl = mel = w
d. none of the above
Q. To minimize cost of production at any level of output themonopsonist should continue to substitute labour and capital until
a. mel . mpl = mek . mpk
b. mel / mpl = mek / mpk
c. mel . mpl > mek . mpk
d. mel / mpl > mek / mpk
Q. In Chamberlin and Kinked demand curve model, the oligoposist
a. recognize their interdependence
b. do not collude
c. tend to keep prices constant
d. all of the above
Q. In the case of price leadership by the dominant firm all the firms in the purely oligopolistic industry will produce their best level of output
a. always
b. never
c. some times
d. often
Q. If an oligopolist incurs losses in the short run, then in the longrun
a. the oligopolist will go out of business
b. the oligopolist will stay in business
c. the oligopolist will break-even
d. any of the above
Q. Existence of large number of buyers and sellers andhomogenous product is a feature of :
a. monopoly
b. duopoly
c. perfect competition
d. oligopoly
Q. Product differentiation is a characteristic of:
a. monopoly
b. perfect competition
c. monopolistic competition
d. oligopoly
Q. A firm under Perfect Competition is a:
a. price maker
b. price taker
c. monopolist
d. none of these
Q. Selling cost is a feature of :
a. perfect competition
b. monopoly
c. monopolistic competition
d. oligopoly
Q. When there are only two sellers, the market is called as:
a. oligopoly
b. monopsony
c. duopoly
d. bilateral monopoly
Q. Perfect competition is a market situation under which acommodity is sold at:
a. uniform price
b. different price
c. higher price
d. lower price