Economics Demand and supply -CSEET

I Demand price is identical with

a. AR

b. TR

c. MR

d. All of these

ans-a

2. Demand curve is

a Dynamic concept

b. neutral concept

c quantity concept

d. minimum concept

Ans.c

3. which is correct

a. An increase in demand is just equal to the extension of demand

b. An increase in demand is not the same thing as an extension of demand.

c. An increase in demand invariably reduce the extension or demand.

d. An increase in demand is the same thing as an extension of demand.

Ans-b

4.Giffen goods are those goods

a.wmich have a high cross elasticity of demand.

b. which have a high become elasticity or demand.

c.which give rise to a cobweb situation

d. for which demand increase as price increase

Ans.d

5. A study of the principles that govern the satisfaction or want is

a consumption

b. Exchange

c. production

d. Distribution

Ans.a

6. The Law of demand stales that ceteris Paribas, when

a.price rise demand rises.

b. price falls demand expands

c. price falls demand falls

d. Price falls demand contracts

Ans.b

7. market demand is

a. the sum of all individual demarch.

b. Ability to pay the price asked

c. Demand in a perfectly free market

d Demand at prevaitous average prices

Ans.a

8. in the case of complements, the cross demand curve slopes

a. inwards to the bottom

b. Upwards to the right

c Downwards to the right

d. Backwards to the top

Ans.b

9. An algebraic expression the relationship between price and quantity demanded is known as the

a. Gog function

b. price function

C. supply function

d.Demand function

Ans d

10. If two goods are complements, an increase in the price of one commoditi will lead to

a. A downward snift in demand for the order commodity

b. A fall in the price of the other commodity

c. An upward shift in demand for the auder commodity

d. no shift in demand for the other commodity

Ans-a

11. The demand curve has a

a.vertical slope

b. Horizontal slope

C. Positive slope

d.negative slope

Ans-d.

12. A fall in the price of a commodity leads to

a A fall in the consumer's real income

b A rise in the consumer's real income

C. fall in demand

d. None of the above

Ans. b

13. A movement along the demand curve refers to a change in quantity demanded due to change in its

a. price

b. prices of substitutes

C. Taste

d. income

Ans-a

14. When two goods are completely interchageable, they are

a.perfect substitulés

b. Veblen goods

C. perfect complements

d. Giffen goods

Ans. a

15. An exceptional demand curve is one that slopes

a. upward to the left

b. Horizontally

c. upward to the right

d. Downward to the right

Ans. C