Quiz 3

Micro Economics Quiz

  1. Elasticity In Economics Is:
  2. A measure of responsiveness.
    The relative difference in price and marginal cost.
    An index used to measure market competitiveness.
  3. Two Points On The Same Indifference Curve Represent The Same
  4. Utility level
    Capital level
    Price level
  5. Which Of The Following Industries Is Most Prone To The Occurrence Of Natural Monopolies?
  6. Utility
    Computer software
  7. Which Of The Following Is Not A Characteristic Of A Perfectly Competitive Industry?
  8. Producers set the price of their products freely.
    The industry consists of many small firms producing similar products.
    There is no government intervention in the industry.
  9. The Invisible Hand Refers To:
  10. Adam Smith’s description of the workings of market economies.
    David Ricardo’s depiction of global gains from international trade.
    Paul Krugman’s interpretation of the events preceding the financial crisis of 2007-08.
  11. Which Of The Following Changes Would Most Likely Increase The Price Of Music CDs?
  12. A decrease in the popularity of online music streaming services
    A decrease in the cost of CD production
    An increase in the price of cheese
  13. The Demand Curve For Cigarettes Is Steep Because:
  14. The quantity of cigarettes demanded does not vary much with price.
    When the price increases quantity of cigarettes supplied increases rapidly.
    The cigarette market is competitive.
  15. When The Planting Of A Beautiful Garden In One Home Increases The Happiness Of The Neighbors Who Also Have A View Of The Garden, The Garden Is Said To Create A
  16. Positive externality
    Positive marginal cost
    Human factor of production
  17. According To British Economist David Ricardo, The Gains From International Trade Depend On:
  18. Comparative advantage in production
    The restrictions placed by the government on trade transactions
    The possession of natural resources
  19. Which Of The Following Would Be An Opportunity Cost Of Going To College?
  20. Four years of foregone earnings in the labor market
    The student debt accumulated during college
    The tuition cost of college
  21. Which Of The Following Is A Basic Characteristic Of 'Oligopoly'?
  22. Few sellers, many buyers
    Few sellers, few buyers
    Many sellers, many buyers
  23. What Effect Will A Decrease In Demand And An Increase In Supply Have On Equilibrium Price?
  24. Equilibrium price will fall
    Equilibrium price will be constant
    Equilibrium price will rise
  25. In India, Inflation Measured By The -
  26. Wholesale Price Index Number
    National Income Deflator
    Consumer Price Index for urban non-manual workers
  27. Which Of The Following Statements Is NOT Correct About The Factors That Gave Rise To The Consumer Movement In India?
  28. Tax on soft beverages
    Hoarding and Black Marketing
    Frequent food shortages
  29. One Of The Essential Conditions Of "Perfect Competition" Is
  30. same price for same things at one time
    product differentiation
    many sellers and a few buyers
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