economics Mcqs
1. the national economy2. profit maximizing under perfect competition and monopoly3. application of economics4. the aggregate demand aggregate supply model5. surplus6. money interest rates and output7. average and total cost8. stabilization adjustment reform and privatization9. risks and diversification efficient market hypothesis10. the phillips curve11. supply and demand12. capital formation investment choice information technology and technical progress13. aggregate supply unemployment and inflation14. elasticity15. comparative gdp16. roots of modern macroeconomics17. production factors18. poverty malnutrition and income inequality19. trade regulations and industrial policies20. monetary union21. exchange rate systems and currency crises22. economic development in historical perspective23. exchange rate determination24. monopoly competition25. the balance of payments26. inflation productivity27. macroeconomic issues and analysis28. employment migration and urbanization29. macroeconomic policy tools30. supply side policies31. exchange rate adjustments and the balance of32. miscellaneous33. taxation34. trade policies for the developing nations35. markets efficiency and the public interest36. the external debt and financial crises37. budget deficits and the trade balance38. alternative theories of the firm39. public goods40. the meaning and measurement of economic development41. characteristics and institutions of developing countries42. agriculture irrigation system of pakistan43. education health and human capital44. economic problems of developing countries45. theories of economic development46. basic of economics47. consumer theory vs real consumers48. applied microeconomics49. long term economic growth50. externality internality51. fiscal and monetary policy52. prices wages taxes53. balance of payments aid and foreign investment54. international factor movements and multinational corporations55. entrepreneurship organization and innovation56. the international economy and globalization57. population and development58. non tariff trade barriers59. foundations of modern trade theory60. global economic development61. market62. rural poverty and agricultural transformation63. regional trading arrangements64. foreign exchange65. introduction to economics66. world economy miscellaneous67. sources of comparative advantage68. natural resources and the environment toward sustainable development69. monopoly70. asymmetric information71. income inequality72. labour market73. tariffs74. development planning and policy making the state and the market75. oligopoly76. industrial development77. costs supply and perfect competition78. human capital79. monetary fiscal and incomes policy and inflation80. stocks
6701. The marginal propensity to save (MPS) is ?
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A. the ratio of saving to income

B. the average amount of income that is saved

C. the fraction of a change in income that is saved

D. the ratio of income to saving

6702. Total increases from Rs500 to Rs600 when output increases from 20 to 30 units. Fixed costs are Rs200 Which of the following is true ?
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A. Average fixed cost is Rs10

B. Marginal cost is Rs20

C. Average cost falls

D. Variable cost rises by Rs100
6703. It is true that the differences among the social sciences ?
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A. consist of the examination of various facets of a social universe

B. are a matter of stress?

C. are differences of vantage point

D. all of the above
6704. The fraction of change in income that is consumed or spend is called ?
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A. the average propensity to consume

B. the marginal propensity of expenditure

C. the marginal propensity to consume

D. the marginal propensity to save

6705. A detailed investigation of a single social unit in order to study it in depth is______________?
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A. sample survey

B. participant observation

C. a case studies

D. laboratory experiment

6706. Every hypothesis must ?
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A. predict a relationship between two factors

B. be general

C. be based on scientific theory

D. predict a causal relationship

6707. Psychology deals with_________________?
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A. mental states of individual humans

B. None of these

C. only violent behavior

D. only normal behavior

E. groups of people in interaction

6708. Which of the following is an example of a culture complex ?
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A. a football

B. team uniforms

C. goal posts

D. playing football
6709. In a boom ?
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A. Imports are likely to grow

B. Prices are likely to fall

C. Demand is likely to fall

D. Unemployment is likely to fall
6710. New classical economists advocate reducing welfare payments to people who are unemployed or single parents. The economic reasoning uses was that this would ?
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A. reduce poverty

B. help small businesses

C. reduce unemployment

D. weaken the power of trade unions

6711. The speculative demand for money occurs when ?
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A. Individuals hold money to buy things

B. Individuals hold money to shop

C. Individuals hold money just in case an emergency happens

D. Individuals hold money rather than other assets because they are worried about the price of the other assets falling

6712. In the United States___________________?
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A. people value and believe what they please because its a free country

B. values norms and beliefs are unimportant

C. values norms and beliefs are always in agreement

D. values norms and beliefs are often in conflict
6713. Biological factors which make the development of culture possible include ?
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A. all of the above

B. opposable thumb

C. erect walking posture

D. vision in depth

6714. For equilibrium in an open four sector economy ?
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A. Actual injections = actual withdrawals

B. Savings = investment

C. Planned injections = planned withdrawals

D. Government spending = tax revenue

6715. Total increase from Rs500 to Rs600 When output increases from 20 to 30 units Fixed costs are Rs200 Which of the following is true ?
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A. Average cost rises

B. Marginal cost is Rs20

C. Variable cost rises by Rs200

D. Average fixed cost was Rs10originally

6716. For a firm operating in two markets and price discriminating the profit maximising condition is ?
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A. Marginal revenue in A = Marginal revenue B = Average cost

B. Marginal revenue in A = Marginal revenue B = Marginal cost

C. Marginal revenue in A= Price B

D. Marginal revenue in A = Marginal revenue B = Price A = Price B
6717. Pivotal institutions_________________?
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A. include government the economy education the family and religion

B. differ in traits and culture complexes from society to society

C. arise from fundamental human needs

D. all of the above
6718. An increase in consumption at any given level of income is likely to lead to ?
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A. An increase in exports

B. A fall in taxation revenue

C. A decrease in import spending

D. A fall is savings

6719. If the price elasticity is -0.3 this means ?
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A. A price fall would increase revenue

B. Demand is upward sloping

C. Demand is price inelastic

D. Demand is price elastic

6720. Which of the following statements supports deregulation of industries ?
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A. All of the above

B. Because few real natural monopolies exist there is rarely a reason for government regulation

C. Many instances of government regulation have succeeded in reducing competition in industries where competition may be beneficial

D. Technological change has made it possible for many industries to become more competitive

6721. When an economy first begins to grow more slowly ?
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A. Stock levels are likely to increase

B. GDP increase

C. Inflation is likely to increase

D. Investment in equipment is likely to increase

6722. Economic growth can be seen by an outward shift of ?
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A. The Minimum Efficient Scale

B. The Marginal Consumption Frontier

C. The Gross Domestic Barrier

D. The Production Possibility Frontier

6723. Price equals ?
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A. Total revenue / quantity sold

B. Total revenue / total cost

C. Total quantity sold quantity sold

D. Total revenue quantity

6724. Profit is measured by ?
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A. Revenue total costs

B. Fixed cost + revenue

C. Revenue sales

D. Revenue fixed costs

6725. When marginal revenue equals marginal cost ?
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A. Total revenue equals total cost

B. There is the biggest positive difference between total revenue and total cost

C. There is the biggest negative difference between total revenue and total cost

D. Profits are Zero

6726. Industrial Revolution__________________?
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A. created a class of industrial workers

B. made all social classes equal

C. none of the above

D. eliminated social classes

6727. Which of the following is an example of material culture ?
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A. competition is good for you

B. A football games

C. The football itself

D. The NFL rules

6728. The first level of output at which the long run average cost are minimized is called ?
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A. The Minimum External Scale

B. The Maximum External Scale

C. The Maximum Effective Scale

D. The Minimum Efficient Scale
6729. Economic growth can be measured by ?
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A. MPC

B. GDP

C. The CPI

D. The CBI

6730. It is true of science that_______________?
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A. its content is more important than its method

B. it is not concerned with the method of acquiring knowledge

C. it is body of knowledge organized in a logical manner

D. id does not include the method of investigation

6731. A way of helping depressed regions by having wage subsidies lower business taxes and capital subsidies has been suggested as ?
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A. interventionist policies

B. New classical economists

C. monetarists

D. left-wing theorists

6732. Cultural relativity ideally implies ?
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A. that moral values different from one, s own are all wrong

B. everyones crazy except you and me (and Im not sure about you)

C. tolerance and respect for the cultural values of others

D. mindless acceptance of all cultural values of others

6733. The difference between goes investment and net investment is ?
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A. Depreciation

B. Capital investment

C. Acceleration

D. Declaration
6734. As income increase ?
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A. The average propensity to consume always approaches 0

B. The average propensity to consume gets nearer in value of the marginal propensity to consume

C. The average propensity to consume falls

D. The average propensity to consume diverges in value from the marginal propensity to consume

6735. In the long term a firm will produce provided the revenue covers ?
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A. Fixed costs

B. Revenue

C. Variable costs

D. Total costs
6736. The resources in the economy do not include ?
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A. Land

B. Labour

C. Capital

D. Demand
6737. Which of the following is true ?
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A. If the marginal cost is positive total costs are miximised

B. If the marginal cost is negative total costs increase at a decreasing rate if output increases

C. If the marginal cost is greater than the average cost the average cost falls

D. If the marginal cost is greater than the average cost the average cost increase
6738. The principal difference between people and other animals is that ?
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A. people communicate with symbols while animals communicate with signals

B. biology dictates human behavior while instincts direct animal behavior

C. people live in families while animals live in tribes

D. animals larger and stronger

6739. The resources in an economy are ?
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A. Fixed at any moment

B. Able to be transferred easily between industries

C. Constantly increasing

D. Constantly decreasing

6740. Barriers to entry ?
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A. Do not exist in monopoly

B. Do not exist in monopolistic competition

C. Do exist in perfect competition

D. Cannot exist in oligopoly

6741. Culture is the basis of______________?
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A. all animal groups

B. not only human but also ant society

C. human social life

D. none of the above

6742. As the MPS increases the multiplier will ?
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A. decrease

B. increase

C. remain constant

D. either increase or decrease depending on the size of the change in investment

6743. An outward shift in the demand for money other things being equals should lead to ?
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A. A lower interest rate but the same quantity of money

B. A higher quantity of money but the same interest rate

C. A higher interest rate but the same quantity of money

D. A higher quantity of money but lower interest rates
6744. Scientists start an investigation with by________________?
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A. verifying a hypothesis

B. replicating an experiment

C. selecting and defining a topic

D. analyzing data

6745. According to supply side economists as tax rates are reduced labour supply should increase. This implies that ?
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A. There is no substitution effect when tax rates are changed

B. The substitution effect of a wage change is greater than the income effect of a wage change

C. There is no income effect when tax rates are changed

D. The income effect of a wage change is greater than the substitution effect of a wage change.

6746. Total revenue equals ?
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A. Price plus quantity

B. Price divided by the quantity sold

C. Price minus quantity sold

D. Price multiplier by quantity sold

6747. There is a tendency for people to_______________?
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A. accept group norms

B. rebel against group norms

C. respond only to negative sanctions

D. respond only to violence

6748. Symbolic interaction ism functionalism conflict feminism exchange are_____________?
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A. theoretical models used by sociologists and anthropologists

B. economic theories

C. the vocabulary of computer science

D. issues in psychology

6749. Cultural universals include ?
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A. personal adornment

B. food taboos

C. all of the above

D. music
6750. Assuming there is no government or foreign sector the formula for the multiplier is ?
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A. 1/(1+ MPC)

B. 1/MPS

C. 1 MPC

D. 1/MPC