Supply & Demand Mcqs
Supply & Demand Mcqs, this topic has 81 mcqs, It takes five to ten minutes to complete this free Supply & Demand Mcqs test. You will see 4 or 5 option of each question. You must choose / think only one option and then press on answer key for check right answer. Practice "Supply & Demand Mcqs" MCQs and share with your friends, brothers, sisters.
Supply & Demand Mcqs (Total Quiz: 81)
MCQ: The price elasticity of demand is a negative number this means ?
- Demand is price elastic
- Demand is price inelastic
- The demand curve is downward sloping
- An increase in income will reduce the quantity demanded
C
MCQ: If the cross elasticity of demand is -2 ?
- The products are substitutes and demand is cross price elastic
- The products are substitutes and demand is cross price inelastic
- The products are complements and demand is cross price elastic
- The products are complements and demand is cross price inelastic
C
MCQ: The price decrease from Rs 2,000 to Rs 1,800 Quantity demanded per year increases 5000 to 6000 units. Which of the following is correct ?
- The price elasticity of demand is -2
- The good is inferior
- Income elasticity is + 0.5
- Income elasticity is + 2
A
MCQ: If a product is an inferior good ?
- Demand is inversely related to income
- Demand in inversely related to price
- Demand is directly related to price
- Demand is inversely related to the price of substitutes
A
MCQ: An increase in price all other things unchanged leads to ?
- Shift demand outwards
- Shift demand inwards
- A contractions of demand
- An extension of demand
C
MCQ: An increase in income should ?
- Shift demand for an inferior product outward
- shift demand for an inferior product inward
- shift supply for an inferior product outward
- Shift supply for an inferior product inward
B
MCQ: According to the law of diminishing utility ?
- Utility is at a maximum with the first unit
- Increasing units of consumption increase the marginal utility
- Marginal product will fall as more units are consumed
- Total utility will rise at a falling rate as more units are consumed
D
MCQ: A fall in price ?
- Will cause an inward shift of demand
- Will cause an outward shift of supply
- May be caused by a fall in demand
- Leads to a higher level of production
C
MCQ: When the market operates without interference, price increases will distribute what is available to those who are willing and able to pay the most. This process is known as ?
- Quantity setting
- price fixing
- price rationing
- quantity adjustment.
C
MCQ: If the cross-price elasticity of demand between two goods is negative, then the two goods are ?
- normal goods
- unrelated goods
- Substitutes
- Complements
D