NET, IAS, State-SET (KSET, WBSET, MPSET, etc.), GATE, CUET, Olympiads etc.: Economics MCQs (Practice_Test 58 of 122)
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- Which of the following statements is not correct?
- the short-run supply curve of the firm is that portion of its marginal cost curve which lies above its average variable cost curve.
- The short-run supply curve of the firm is that portion of its marginal cost curve which lies above its average cost curve.
- The short-run supply curve of the industry cannot be downward sloping
- the short-run supply curve of the industry can shift upward or downward.
- Ridge line refers to the locus of points of
- Isoquants where marginal product of one of the factors is zero
- isoquants where marginal product of two factors is zero
- Isoquants where marginal product of two factors is infinity.
- Isquants where marginal product of two factors is one
- If for a particular combination of labour and capital, the marginal productivity of capital is 4 units of output and the marginal rate of technical substitution is 2 units of capital per unit of labour, then the marginal productivity if labour will be
- 1
- 4
- 6
- 8
- In which one of the following market situations, are the firms mutually interdependent in pricing output decisions?
- Perfect competition
- Monopolistic competition
- Monopsony
- Obligopoly
- A queue of a large number of farmers before a single cold storage in the area is a case of
- Monopoly
- Obligopoly
- Monopsony
- Monopolistic competition.
- In price discrimination under discriminating monopoly given that the elasticity of demand in market I is 5 and in market II is 2.5 measured in absolute terms, how is the price in the two markets related to each other?
- Price in the market I is of the price in market II
- Price in the market I is of the price in market II
- Price in the market I is of the price in market II
- Price in the market I sis equal to the price in market II
- Which one of the following is not correct about a perfectly competitive market?
- In the long run, the firm always earn only normal profit
- The firm could incur losses in the short run
- The individual fir is a price taker
- The demand curve being faced by a firm is unit elastic
- Fair-return-pricing in public utilities implies
- discriminatory pricing
- cost-plus pricing
- average cost pricing
- optimal output pricing
- Quasi-rent is
- equal to the total profits of the firm
- less than the total profits of the firm
- the excess of total revenue over total variable cost
- the excess of total revenue over total cost
- The time-preference theory of interest is mainly associated with:
- J. M. Keynes
- I. Fisher
- K. Wicksell
- M. Friedman
- Over a period of time, an existing series of index numbers tends to become obsolete and it fails to include new commodities gaining importance at a later date or to exclude the commodities losing significance in course of time. These problems can be overcome by
- Fisher՚s ideal index
- Fixed base index
- Chain index numbers
- Both fisher՚s ideal index and fixed base index
- The GNP of an economy at market prices is ₹ 10000 Ne factor income from abroad is ₹ 1000, indirect taxes ₹ 800, subsidies ₹ 500 and depreciation ₹ 1000. What is the GDP at market prices.
- ₹ 9000
- ₹ 7700
- ₹ 11000
- ₹ 13300
- In respect of the diagram given above, consider the following statements:
- Saving (S) is autonomous
- Investment (I) is autonomous.
- Saving is determined by income (Y)
- Investment (I) is not autonomous.
- Which of these statements are correct?
- 2 and 3
- 3 and 4
- 1 and 4
- 1 and 2
- Assume cosumpti9on function of an economy to be = ₹ 30 crore + 0.8 Y.Investment is ₹ 40 crore. The, the equilibrium level of income is
- ₹ 700 crore
- ₹ 350
- ₹ 560 crore
- ₹ 140 crore
- In monopolistic competition, why is optimum capacity not reached even though there are not abnormal profits in the industry at equilibrium?
- Because the demand curve of the monopolistic firm touches the long run average cost curve at its minimum point.
- Because the demand curve of the monopolistic firm touched the long run average cost curve when it is still falling
- Because the demand curve of the monopolistic firm touches the long run average cost curve at its rising portion
- Because the demand of the monopolistic firm touches the long run average cost curve at its maximum point