This quiz works best with JavaScript enabled. Home > Economics > Applied Economics > Applied Economics – Quiz 79 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Applied Economics Quiz 79 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. It implies an ideal situation for the buyers and sellers A) Monopolistic competition. B) Perfect competition. C) Supply schedule. D) Demand schedule. Show Answer Correct Answer: B) Perfect competition. 2. If one monopolistic competitor raises the price too much, most customers will buy another brand, or substitute, of the same good, that's why competitive ..... is especially important in monopolistic competition. A) Reports. B) Advertising. C) Quality product. D) Quality service. Show Answer Correct Answer: B) Advertising. 3. This is value of elasticity is computed by choosing two points on the demand curve and comparing the percentage changes in the quantity and the price on those two points. A) Elasticity. B) Arc Elasticity. C) Point Elasticity. D) Elastic. Show Answer Correct Answer: B) Arc Elasticity. 4. It provides a visual representation of the relationship between two or more economic variables. A) Graphs. B) Models. C) Equations. D) Diagrams. Show Answer Correct Answer: A) Graphs. 5. ..... is known as the natural resources used to produce goods and services A) Entrepreneurs. B) Capital. C) Labor. D) Land. Show Answer Correct Answer: D) Land. 6. Floating rate does not depend on the CPI or Philippine Stocks Exchange for its rate of interest A) True. B) False. Show Answer Correct Answer: B) False. 7. What does the market demand curve illustrate? A) The relationship between price and quantity demanded. B) The relationship between price and quantity supplied. C) The relationship between income and demand. D) The relationship between demand and supply. Show Answer Correct Answer: A) The relationship between price and quantity demanded. 8. Through information and technology improvements, there is substantial lowered cost of producing cell phones. There is a possibility that the supply will: A) Move downward to right. B) Move upward to right. C) Shift to left. D) Shift to right. Show Answer Correct Answer: D) Shift to right. 9. Scarcity is the same as shortage. A) This statement is true. B) This statement is false. C) Both A and B. D) None of the above. Show Answer Correct Answer: B) This statement is false. 10. What is the example of shifters of supply A) Technology. B) Income expectations. C) Price of related goods. D) None of above. Show Answer Correct Answer: A) Technology. 11. Which of the following do economists use to classify markets? A) Number of firms. B) Type of product. C) Size of firms. D) All of these. Show Answer Correct Answer: D) All of these. 12. The biggest source of government funds. A) Taxes. B) Fines. C) Permits. D) Revenues. Show Answer Correct Answer: A) Taxes. 13. If the price elasticity of supply of cup noodles is 0.60 and the price increase by3 percent, then the quantity supplied for cup noodles increases by how by? A) 0.60 percent. B) 0.20 percent. C) 1.8 percent. D) 18 percent. Show Answer Correct Answer: A) 0.60 percent. 14. Mr. Lim experience an increase loss in his business due to recession. If you were Mr. Ching what is the best action you should do? A) Close the Business. B) Hire another worker. C) Lay-off some of the workers. D) Noise pollution. Show Answer Correct Answer: C) Lay-off some of the workers. 15. Shortage will exist if the price is below the equilibrium point A) True. B) False. Show Answer Correct Answer: A) True. 16. The Law of Demand "works" because of a combination of what two effects? A) Substitution and Income. B) Doppler and Lake Effects. C) The Ability and Desire Effect. D) The Substitution and Elasticity Effect. Show Answer Correct Answer: A) Substitution and Income. 17. .... as applied science applies economic theories to predict or provide solutions to the problems faced by the economy. A) Oikonomus. B) Social science. C) Economics. D) Applied Economics. Show Answer Correct Answer: C) Economics. 18. Markets dominated by a few (more than two) large firms. Firms offered identical or differentiated products. There's a mutual interdependence among sellers with regards to price. A) Pure or Perfect Competition. B) Monopolistic competition. C) Pure Monopoly. D) Oligopoly. Show Answer Correct Answer: D) Oligopoly. 19. Where does the study of Economics impact society most directly? A) Only in academic institutions. B) In shaping government policies and regulations. C) Only in businesses and corporations. D) In fine arts and literature. Show Answer Correct Answer: B) In shaping government policies and regulations. 20. TRUE OR FALSE:E-Commerce accounts for USD 3 trillion of the world's economy. A) True. B) False. Show Answer Correct Answer: B) False. ← PreviousNext →Related QuizzesEconomics QuizzesApplied Economics Quiz 1Applied Economics Quiz 2Applied Economics Quiz 3Applied Economics Quiz 4Applied Economics Quiz 5Applied Economics Quiz 6Applied Economics Quiz 7Applied Economics Quiz 8Applied Economics Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books