Tag: the government and economic development

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Questions Related to the government and economic development

Multiple choice business economics and quantitative methods foreign trade in india the government and economic development indian economy on the eve of independence impact of technology on livelihoods

Sellers market denotes a situation where _______.

  1. commodities are available at competitive rates

  2. demand exceeds supply

  3. supply exceeds demand

  4. supply and demand are evenly balanced
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

A market is termed to be sellers market when the demand is high and seller has a high degree of control on the market due to limited supply; in this case, the demand tends to exceed the available supply for a commodity.

Multiple choice business economics and quantitative methods foreign trade in india the government and economic development indian economy on the eve of independence impact of technology on livelihoods

What is dual pricing?

  1. Wholesale price and Retail pricning

  2. Pricing by agents and Pricing by retailers

  3. Price fixed by Government and Price in open market

  4. Daily prices and Weekly prices
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Dual pricing is a system where the government fixes a price for a portion of a commodity (often for public distribution) while allowing the remainder to be sold at a higher price in the open market.

Multiple choice business economics and quantitative methods foreign trade in india the government and economic development indian economy on the eve of independence impact of technology on livelihoods

As per indifference curve and price line, a consumer will not be in equilibrium when

  1. Ratios of marginal utilities and prices of the respective goods are equal

  2. Ratio of marginal utilities of the two goods is equal to the ratio of their respective prices

  3. The marginal rate of substitution is equal to the ratio of prices of the two goods

  4. The marginal rate of substitution is decreasing
Reveal answer Fill a bubble to check yourself
A Correct answer
Multiple choice business economics and quantitative methods foreign trade in india the government and economic development indian economy on the eve of independence impact of technology on livelihoods

The difference between the minimum price the producer is willing to accept and the equilibrium price is called ________.

  1. price

  2. profit

  3. producers surplus

  4. consumers surplus
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Producer surplus is the difference between the actual price a producer receives (the equilibrium price) and the minimum price they would have been willing to accept for that quantity.

Multiple choice business economics and quantitative methods foreign trade in india the government and economic development indian economy on the eve of independence impact of technology on livelihoods

Graphically, when is the supply curve is below the demand curve?

  1. Excess demand

  2. Excess supply

  3. Equilibrium

  4. None of these
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

When the supply curve is below the demand curve, it means that at a given price, the quantity demanded is greater than the quantity supplied, which is the definition of excess demand.

Multiple choice business economics and quantitative methods foreign trade in india the government and economic development indian economy on the eve of independence impact of technology on livelihoods

Graphically, an equilibrium is a point where _____.

  1. supply curve is above the demand curve

  2. supply curve is below the demand curve

  3. market supply curve intersects the market demand curve

  4. none of these
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Market equilibrium is defined as the point where the quantity supplied equals the quantity demanded, which is represented graphically by the intersection of the supply and demand curves.

Multiple choice business economics and quantitative methods foreign trade in india the government and economic development indian economy on the eve of independence impact of technology on livelihoods

At any price lower than equilibrium price, there is _____.

  1. excess supply

  2. excess demand

  3. deficient supply

  4. deficient demand
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

When the price is set below the equilibrium level, the quantity demanded by consumers exceeds the quantity supplied by producers. This gap is referred to as excess demand or a shortage.

Multiple choice business economics and quantitative methods foreign trade in india the government and economic development indian economy on the eve of independence impact of technology on livelihoods

An industry which is fighting hard to increase its market share in the existing market (with new popular products) is known as:

  1. Market vendor

  2. Market operator

  3. Market leader

  4. Market challenger
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

A market challenger is a firm that actively seeks to increase its market share by aggressively competing against the market leader, often through new product launches and marketing.

Multiple choice business economics and quantitative methods foreign trade in india the government and economic development indian economy on the eve of independence impact of technology on livelihoods

Aggregate demand consists of consumption and investment demand. 

  1. True

  2. False
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

True. Aggregate demand consists of consumption and investment demand. Aggregate demand is the demand of total goods and services in the economy as it is impossible to count all the physical quantities the total expenditure on all goods and services are taken into account. Aggregate demand consists of expenditure on household consumption, Private investment, Government expenditure on consumption and investment and imports and exports.  

Multiple choice business economics and quantitative methods foreign trade in india the government and economic development indian economy on the eve of independence impact of technology on livelihoods

Demand curve of an Oligopoly firm is characterized by being  _________.

  1. Horizontal to X axis

  2. Kinked at a point

  3. U shaped curve

  4. A linear line
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

In an oligopoly, firms face a kinked demand curve because competitors are expected to match price decreases but ignore price increases, leading to price rigidity.