Tag: economics

Quizzes (361) Questions (3598)

Questions Related to economics

Multiple choice economics laws of returns - returns to a factor and returns to scale total product, average product and marginal product production and law of variable proportions production return to scale and cobb douglas function

If as a result of a 50% increase in all inputs, the output rises by 75%, this is a case of:

  1. Increasing Returns to a Factor

  2. Increasing Returns to Scale

  3. Constant Returns to a Factor

  4. Constant Returns to Scale
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

If output increases by 75% while inputs only increase by 50%, the output growth is greater than the input growth, which defines increasing returns to scale.

Multiple choice economics laws of returns - returns to a factor and returns to scale total product, average product and marginal product production and law of variable proportions production return to scale and cobb douglas function

In the very beginning of production generally, the Increasing Returns to scale is found because-

  1. Input is increased

  2. Plant and Machinery will be new

  3. Production Problems are less

  4. Economies of Scale
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Increasing returns to scale in the early stages of production are primarily driven by economies of scale, such as specialization and better utilization of indivisible factors.

Multiple choice economics laws of returns - returns to a factor and returns to scale total product, average product and marginal product production and law of variable proportions production return to scale and cobb douglas function

A rational producer will always operate in which stage of law of variable proportion?

  1. increasing returns.

  2. diminishing returns.

  3. constant returns.

  4. negative returns.
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

A rational producer operates in the second stage of the law of variable proportions. In the first stage, marginal product is rising, and in the third stage, marginal product is negative, making both inefficient for production.

Multiple choice economics laws of returns - returns to a factor and returns to scale total product, average product and marginal product production and law of variable proportions production return to scale and cobb douglas function

Second stage of law of variable proportion ends where __________.

  1. MP is zero

  2. AP is maximum

  3. MP is falling

  4. none of the above
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

The second stage of the law of variable proportions begins where average product is maximum and ends where marginal product is zero. Beyond this point, total product begins to decline.

Multiple choice economics comparative studies of indian and chinese economies comparing indian and chinese economies comparative development experiences of india and its neighbours economics of development

China's railway track length is ______ times more than India's railway track length in 2015.

  1. 0.7

  2. 0.2

  3. 2.5

  4. 1.5
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

According to comparative economic data (often cited in Indian Economics textbooks like NCERT), China's railway track length is approximately 1.5 times that of India's.

Multiple choice economics comparative studies of indian and chinese economies comparing indian and chinese economies comparative development experiences of india and its neighbours economics of development

China and India have been performing really well in terms of __________ in comparison with other economies since the last 25 years.

  1. GDP growth

  2. population control

  3. inflation control

  4. none of the above
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Both India and China have been recognized for their high GDP growth rates over the last few decades compared to other developing economies.

Multiple choice economics comparative studies of indian and chinese economies comparing indian and chinese economies comparative development experiences of india and its neighbours economics of development

China has been termed as the '_______________'.

  1. workshop of the world

  2. major importer in world trade

  3. both a and b

  4. none of the above
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Due to its massive manufacturing sector and export-oriented economy, China is widely referred to as the 'workshop of the world'.

Multiple choice economics comparative studies of indian and chinese economies comparing indian and chinese economies comparative development experiences of india and its neighbours economics of development

India adopted a _________ economy framework, while China in comparison is follows a socialist economy framework.

  1. capitalist

  2. mixed

  3. socialist

  4. free market economy
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

India adopted a mixed economy framework, allowing both public and private sectors to coexist, whereas China followed a socialist framework.

Multiple choice economics comparative studies of indian and chinese economies comparing indian and chinese economies comparative development experiences of india and its neighbours economics of development

Post 1949 revolution, China's economic system was declared as a __________ system.

  1. capitalist

  2. communist

  3. mixed economy

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

Following the 1949 revolution, the Communist Party of China established a communist economic system based on state control.