Economics MCQ Questions and Solutions with Explanations

Section 1 Section 2 Section 3 Section 4 Section 5 Section 6 Section 7 Section 8 Section 9 Section 10 Section 11 Section 12 Section 13 Section 14 Section 15 Section 16

61.
Product differentiation is the most important feature of

A. Monopolistic competition

B. Monopoly

C. Oligopoly

D. Perfect competition

Answer & Solution Discuss in Board Save for Later

62.
A monopolist is able to maximize his profits when

A. His output is maximum

B. He charges high price

C. His average cost is minimum

D. His marginal cost is equal to marginal revenue

Answer & Solution Discuss in Board Save for Later

63.
In imperfect competition

A. Excess capacity always exists

B. Excess capacity never exists

C. Excess capacity may or may not exist

D. None of the above

Answer & Solution Discuss in Board Save for Later

64.
The shape of PPC is concave due to

A. Falling opportunity cost between two goods

B. Rising opportunity cost between two goods

C. Constant opportunity cost between two goods

D. None of the above

Answer & Solution Discuss in Board Save for Later

65.
Which of the following is not the name of LAC curve?

A. Planning curve

B. Enveloping curve

C. Round curve

D. None of the above

Answer & Solution Discuss in Board Save for Later

66.
A frim has variable cost of Rs.1000 at 5 units of output. If fixed costs are Rs.400, what will be the average total cost at 5 units of output?

A. 380

B. 280

C. 60

D. 400

Answer & Solution Discuss in Board Save for Later

67.
If marginal opportunity cost is falling, the PPF would be

A. Straight line

B. Concave

C. Backward leading

D. Convex

Answer & Solution Discuss in Board Save for Later

68.
Calculate the income elasticity for a household when the income of this household rises by 5% and the demand for buttons does not change at all.

A. Infinity

B. 1

C. Zero

D. 5

Answer & Solution Discuss in Board Save for Later

69.
MC curve cuts ______ curves at their minimum points

A. AVC and AC

B. AFC and AVC

C. AC and AFC

D. All of the above

Answer & Solution Discuss in Board Save for Later

70.
In perfect competition, in the long run, there will be

A. Normal profits

B. Super normal profits

C. Less production

D. Cost will be falling

Answer & Solution Discuss in Board Save for Later

1 2 3 4 5 6 7 8 9 10

Economics MCQ Questions and Solutions with Explanations | Commerce

61. Product differentiation is the most important feature of

Answer & Solution

62. A monopolist is able to maximize his profits when

Answer & Solution

63. In imperfect competition

Answer & Solution

64. The shape of PPC is concave due to

Answer & Solution

65. Which of the following is not the name of LAC curve?

Answer & Solution

66. A frim has variable cost of Rs.1000 at 5 units of output. If fixed costs are Rs.400, what will be the average total cost at 5 units of output?

Answer & Solution

67. If marginal opportunity cost is falling, the PPF would be

Answer & Solution

68. Calculate the income elasticity for a household when the income of this household rises by 5% and the demand for buttons does not change at all.

Answer & Solution

69. MC curve cuts ______ curves at their minimum points

Answer & Solution

70. In perfect competition, in the long run, there will be

Answer & Solution

Read More Section(Economics)

61.
Product differentiation is the most important feature of

62.
A monopolist is able to maximize his profits when

63.
In imperfect competition

64.
The shape of PPC is concave due to

65.
Which of the following is not the name of LAC curve?

66.
A frim has variable cost of Rs.1000 at 5 units of output. If fixed costs are Rs.400, what will be the average total cost at 5 units of output?

67.
If marginal opportunity cost is falling, the PPF would be

68.
Calculate the income elasticity for a household when the income of this household rises by 5% and the demand for buttons does not change at all.

69.
MC curve cuts ______ curves at their minimum points

70.
In perfect competition, in the long run, there will be