Economics MCQs

Page No. 327

Most empirical studies show that firm’s cost curves ?


a slope up to the right

✖


bare U-shaped

✖


c slope down to the right

✖


dslope down to the right and then level off.

✓



Engineers for the All-Terrain Bike Company have determined that a 15% increase in all inputs will cause a 15% increase in output Assuming that input prices remain constant, you correctly deduce that such a change will cause ________ as output increases?


a average costs to remain constant

✓


baverage costs to decrease

✖


caverage costs to increase

✖


dmarginal costs to increase

✖



Which of the following is a correct statement about the relationship between average product (AP) and marginal product (MP) ?


aIf TP is declining, then AP is negative

✖


bIf AP = MP, then total product is at a maximum.

✖


cIf AP exceeds MP then AP is falling

✓


d If AP is at a maximum, then MP is also,

✖



The short run, as economists use the phrase, in characterized by ?


a at least one fixed factor of production and firms neither leaving nor entering the industry.

✓


bno variable inputs – that is, all of the factors of production are fixed

✖


call inputs being variable

✖


da period where the law of diminishing returns does not hold

✖



Which of the following is most likely to be a variable cost for a firm ?


aThe franchiser’s fee that a restaurant must pay to the national restaurant chain

✖


b The payroll taxes that are paid on employee wages.

✓


cThe monthly rent on office space that it leased for a year

✖


dThe interest payments made on loans.

✖



Profit-maximizing firms want to maximize the difference between ?


a marginal revenue and marginal cost.

✖


b total revenue and total cost

✓


c total revenue and marginal cost

✖


dmarginal revenue and average cost

✖



Criticisms against the North American Free Trade Agreement include all of the following except ?


awages in the United States will rise relative to Mexican wages

✓


bAmerican jobs will be lost to workers in Mexico

✖


cThe environment is not adequately protected by NAFTA

✖


dNone of the above

✖



Trade creation will more likely outweigh trade diversion for Country X that forms a customs union if the level of tariffs in Country X prior to the customs union is ________ and the total number of countries forming the customs union is _________?


arelatively high; relatively large

✓


brelatively high; relatively small

✖


crelatively low ; relatively large

✖


drelatively low ; relatively small

✖



A positive, dynamic effect of economic integration is illustrated by ?


atrade diversion effect

✖


b increased monopoly power of firms

✖


c decrease customs costs

✖


deconomy-of-scale effect

✓



_________ is said to exist when the formation of a regional trading group leads to an expansion of trade above pregroup levels ?


atrade creation

✓


btrade diversion

✖


ctrade exclusion

✖


dtrade distortion

✖


View Answer trade creation

Goto Page No.

Page 327 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