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

81.
For the success of the penetration price policy, which one of the following is not desirable?

A. Short-run demand for the product to have elasticity greater than unity

B. Availability of economies of large scale production

C. Easy acceptance and adoption of the product by the consumers

D. Product to have very low cross-elasticity of demand

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82.
Which of the following is called Gossen's first law?

A. Law of substitution

B. Law of equimarginal utility

C. Law of diminishing Marginal utility

D. None of the above

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83.
When the economist speaks of an increase in demand, he is usually referring to a

A. shift in demand curve to right

B. movement along demand curve downwards right

C. shift in demand curve to left

D. movement along demand curve upwards

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84.
A perfectly competitive firm cannot earn super normal profit or incur losses in the long run due to which of the following reasons?

A. Freedom of entry and exit of firms

B. Perfect knowledge

C. Perfect mobility of factors

D. All of the above

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85.
For most consumers apples and oranges are substitute goods. Therefore, we would expect a rise in the price of apples to lead to

A. a right ward shift in the demand curve of oranges

B. a left ward shift in the supply curve of apples

C. a downward change in the demand curve of oranges

D. a fall in the price of oranges

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86.
There is no exceptions to the law of demand in the case of

A. Giffen goods

B. Normal goods

C. Articles of conspicuous consumption

D. Ignorance of the buyer

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87.
The law of diminishing returns depend on the assumption that

A. The total output is constant

B. The stage of technical knowledge is unchanged

C. Land is the constant factor

D. The average output declines faster than marginal output

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88.
Entrepreneurship in relation to Indian industries is

A. necessary

B. unnecessary

C. weight

D. waste of time and money

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89.
For substitutes, cross-elasticity of demand is

A. positive

B. negative

C. zero

D. infinite

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90.
The 'Principle of Equal pay for Equal work' is contained in which Article of the Indian Constitution?

A. Article 7

B. Article 36

C. Article 39

D. None of these

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Economics MCQ Questions and Solutions with Explanations | Commerce

81. For the success of the penetration price policy, which one of the following is not desirable?

Answer & Solution

82. Which of the following is called Gossen's first law?

Answer & Solution

83. When the economist speaks of an increase in demand, he is usually referring to a

Answer & Solution

84. A perfectly competitive firm cannot earn super normal profit or incur losses in the long run due to which of the following reasons?

Answer & Solution

85. For most consumers apples and oranges are substitute goods. Therefore, we would expect a rise in the price of apples to lead to

Answer & Solution

86. There is no exceptions to the law of demand in the case of

Answer & Solution

87. The law of diminishing returns depend on the assumption that

Answer & Solution

88. Entrepreneurship in relation to Indian industries is

Answer & Solution

89. For substitutes, cross-elasticity of demand is

Answer & Solution

90. The 'Principle of Equal pay for Equal work' is contained in which Article of the Indian Constitution?

Answer & Solution

Read More Section(Economics)

81.
For the success of the penetration price policy, which one of the following is not desirable?

82.
Which of the following is called Gossen's first law?

83.
When the economist speaks of an increase in demand, he is usually referring to a

84.
A perfectly competitive firm cannot earn super normal profit or incur losses in the long run due to which of the following reasons?

85.
For most consumers apples and oranges are substitute goods. Therefore, we would expect a rise in the price of apples to lead to

86.
There is no exceptions to the law of demand in the case of

87.
The law of diminishing returns depend on the assumption that

88.
Entrepreneurship in relation to Indian industries is

89.
For substitutes, cross-elasticity of demand is

90.
The 'Principle of Equal pay for Equal work' is contained in which Article of the Indian Constitution?