This quiz works best with JavaScript enabled. Home > Economics > Business Economics > Business Economics – Quiz 31 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Business Economics Quiz 31 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Economy that is based on supply and demand where individual companies and consumers make the decisions about what, how and for whom items will be produced. A) Command economy. B) Market economy. C) Mixed economy. D) None of above. Show Answer Correct Answer: B) Market economy. 2. A country's easy monetary policy is often used to correct the problem of A) Globalization. B) High taxes. C) Unemployment. D) Import quotas. Show Answer Correct Answer: C) Unemployment. 3. Tools, machines, etc. are included in- A) Fixed capital. B) Circulating factor. C) Sunk factor. D) Human capital. Show Answer Correct Answer: A) Fixed capital. 4. The price elasticity of demand is a measure of A) The equilibrium price of a good or service. B) Buyers' responsiveness to changes in price of a good or service. C) The amount of a good or service purchased when income decreases. D) Whether a good or service is a substitute or a complement. Show Answer Correct Answer: B) Buyers' responsiveness to changes in price of a good or service. 5. An offer curve ..... A) Differs from an usual demand curve only. B) Differs from an usual supply curve only. C) Differs from both usual demand and supply curves. D) Differs in other countries. Show Answer Correct Answer: C) Differs from both usual demand and supply curves. 6. The rights of individuals and groups to own property is called ..... A) Economic freedom. B) Market economy. C) Private property rights. D) Consumer sovereignty. Show Answer Correct Answer: C) Private property rights. 7. The final business organization in an indirect channel of distribution for consumer products A) Wholesaler. B) Retailer. C) Manufacturer. D) Service. Show Answer Correct Answer: B) Retailer. 8. Most of the workers in ..... sector enjoy job security. A) Organised. B) Private. C) Unorganised. D) Public. Show Answer Correct Answer: D) Public. 9. A scheme for promoting residential school for girls at the elementary level is ..... A) Midday meal. B) Kashtruba Gandhi Balika vidyalaaya. C) Model Schools Scheme. D) None of these. Show Answer Correct Answer: B) Kashtruba Gandhi Balika vidyalaaya. 10. What is a Traditional Economy A) An economy organized with some free market elements and some socialistic elements. B) An economy where customs, traditions and believes prescribe the principles of economic organization for production of goods and services. C) There is no private sector. D) The free exchange of goods and services and private ownership of property. Show Answer Correct Answer: B) An economy where customs, traditions and believes prescribe the principles of economic organization for production of goods and services. 11. Robbins definition of economics laid stress on A) Material welfare. B) Growth definition. C) Choice under scarcity. D) Sustainable growth. Show Answer Correct Answer: C) Choice under scarcity. 12. India has adopted ..... policy of economic development since 1991 A) Liberal. B) Restrictive. C) Both a and b. D) None of those. Show Answer Correct Answer: A) Liberal. 13. In every economic system, scarcity imposes limitations on A) Households, business firms, governments, and the nation as a whole. B) Households and business firms, but not the governments. C) Local and state governments, but not the federal government. D) Households and governments, but not business firms. Show Answer Correct Answer: A) Households, business firms, governments, and the nation as a whole. 14. Something you would like to have, but isn't necessary for life A) Raw goods. B) Need. C) Want. D) Service. Show Answer Correct Answer: C) Want. 15. Why might the price of a popular toy go up in price during a holiday? A) Competition. B) Scarcity. C) Too many toys. D) Opportunity cost. Show Answer Correct Answer: B) Scarcity. 16. Micro analysis deals with the A) Allocation of resources of the economy as between production of different goods and services. B) Determination of prices of goods and services. C) Behavior of individual decision makers. D) All of the above. Show Answer Correct Answer: B) Determination of prices of goods and services. 17. Debtors ..... during inflation. A) Gain. B) Lose. C) Lost. D) Won. Show Answer Correct Answer: A) Gain. 18. When as a result of increase in price of goods, total expenditure made on goods falls, price elasticity of demand is ..... than unity. A) Greater. B) Lesser. C) Nominal. D) None of these. Show Answer Correct Answer: A) Greater. 19. Liquidity preference theory of rate of interest is given by A) Fisher. B) Cambridge. C) Friedman. D) Keynes. Show Answer Correct Answer: D) Keynes. 20. Apple's latest product uses shock resistant glass to create a shatter proof screen. This is an example of ..... A) Form Utility. B) Information Utility. C) Place Utility. D) Possession Utility. Show Answer Correct Answer: A) Form Utility. ← PreviousNext →Related QuizzesEconomics QuizzesBusiness Economics Quiz 1Business Economics Quiz 2Business Economics Quiz 3Business Economics Quiz 4Business Economics Quiz 5Business Economics Quiz 6Business Economics Quiz 7Business Economics Quiz 8Business Economics Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books