Economics MCQ Questions and Solutions with Explanations | Commerce

A. Large number of buyers and sellers

B. Homogeneous product

C. Freedom of entry

D. Absence of transport cost

A. Price will fall

B. Price remains same

C. Price will rise

D. Quantity rises

A. Price will fall

B. Price remains same

C. Price will rise

D. Quantity rises

A. Will change the quantity in same direction

B. Will change total revenue in same direction

C. Will change total revenue in the opposite direction

D. Will not change total revenue

A. Tea and sugar

B. Tea and coffee

C. Pen and ink

D. Shirt and trousers

A. Price of the commodity should not change

B. Quantity demanded should not change

C. Prices of substitutes should not change

D. Demand curve must be linear

A. Horizontal

B. Vertical

C. Positively sloped

D. Negatively sloped

A. A shortage

B. A surplus

C. Excess supply

D. Loss

A. Increase in equilibrium price and equilibrium quantity

B. Decrease in equilibrium price and increase in equilibrium quantity

C. No change in equilibrium price and increase in equilibrium quantity

D. Increase in equilibrium price and no change in equilibrium quantity

A. Perfectly elastic

B. Perfectly inelastic

C. Elastic

D. Less elastic