Economics MCQs

Page No. 271

Markets fail to produce an efficient allocation of resources, but government also fail because ?


a elected officials will act selflessly for the good of society and ignore their own self interest


bthe managers of government agencies are trying to maximize the profit of their agency and they ignore the implications that this has on other departments


cthe optimal level of public goods may be too expensive for the society to produce


dthe measurement of social damages and benefits is difficult and imprecise



The idea that when externalities are present private parties can arrive at the efficient solution without government intervention under certain circumstance is known as ?


aThe coase theorem


bThe coase theorem


c the drop -in-the bucket problem.


dthe free rider problem


View Answer The coase theorem

If a large number of individuals are affected by an external benefit, private bargaining will not work because of ?


anon-rivalry


bthe free-rider problem


cthe Coase theorem


d the fallacy of composition



If one person’s enjoyment of the benefits of a good does not interfere with another’s consumption of it, the good is said to be ?


alimitless in utility


bnon-rival in consumption


ccongestible in consumption


d non-excludable



An example of public good is ?


a a beautifully landscaped lawn.


bpreservation of wetlands


ca public utility.


da book



Private goods are ?


anon-rival in consumption and their benefits are nonexcludable:


b rival in consumption and their benefits are excludable


c rival in consumption and their benefits are non-excludable


d non-rival in consumption and their benefits excludable



The conclusion that free, unregulated markets will produce an efficient outcome breaks down if ?


ahouseholds do not have perfect information


b firms are not price takers in input markets


c firms are not price takers in the output market


d all of the above


View Answer all of the above

The government increase the minimum wage. The National Association of Fast Food Restaurants hires you to determine the impact that this higher minimum wage will have on it industry. This is an example of ?


a industry equilibrium analysis


bspecific equilibrium analysis


cpartial equilibrium analysis


d general equilibrium analysis



When you consume good Q, not only do you benefit form consuming the good but other people benefit from your consumption as well, if firms produce good Q where P = MC, firms will be producing ?


aless than the efficient level of output


b more than the efficient level of output


c so that consumer surplus is zero


dthe efficient level of output



The total cost to society of producing an additional unit of a good or service is the ?


amarginal damage cost


bmarginal social cost


cmarginal private cost


d marginal external cost


View Answer marginal social cost

Goto Page No.

Page 271 of 444

Alphabetical MCQs Categories

Here below You find all kind of categories of MCQs in alphabetical order.


"Comprehensive Collection of MCQs: Alphabetically Organized by Subject"

"Discover an extensive collection of multiple-choice questions (MCQs) neatly categorized by subject from A to Z. This resource is designed for anyone eager to explore various topics in a straightforward and organized manner. Whether you're a student preparing for exams, an educator seeking supplementary materials, or simply curious about different subjects, this compilation offers a convenient way to learn and assess your knowledge. With questions arranged alphabetically, navigation is effortless, allowing you to delve into subjects of interest at your own pace. Engage, learn, and expand your understanding with this accessible and comprehensive repository of MCQs!"


BolPakistan

bolpakistan.com.pk includes Job Mcqs and Pak Mcqs is the Top Largest Mcqs Forum in World, in which you can read Mcqs of All Subjects, PPSC test preparation, FPSC, NTS and PPSC PAST PAPERS, PPSC PAST MCQS. A Collection of Repeated MCQs for JOBs seekers.

Copyright © 2024, Designed & Developed by BolPakistan