This quiz works best with JavaScript enabled. Home > Finance > Economics > Applied Economics > Applied Economics – Quiz 23 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Applied Economics Quiz 23 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. These services support the daily operation and activities of any business. A) Business Services. B) Personal Services. C) Social Services. D) None of the above. Show Answer Correct Answer: A) Business Services. 2. Table is an example of: A) Natural Resources. B) Human Resources. C) Man-Made Resources. D) None of the above. Show Answer Correct Answer: C) Man-Made Resources. 3. ..... is an estimate of total value of all the final products and services turned out in a given period by the means of production owned by a country's residents A) GNP. B) GDP. C) GDP per capita. D) GNP per capita. Show Answer Correct Answer: A) GNP. 4. Which choice best describes Economics as a Social Science? A) Assesses the relationship between the consumption and production of goods and services in an environment of finite resources. B) Application of economic principles and theories to real situations and trying to predict the outcomes. C) Is the application of economic theory and econometrics in specific settings with the goal of analyzing potential outcomes. D) The application of economic ideas and theories to real-world circumstances with the goal of predicting the results. Show Answer Correct Answer: A) Assesses the relationship between the consumption and production of goods and services in an environment of finite resources. 5. A characteristic of resources that describes an insufficient resources to supply all the desires and needs of individuals. A) Scarcity. B) Limited edition. C) Multiple Use. D) Partially sold. Show Answer Correct Answer: A) Scarcity. 6. A firm's implicit costs consist of the opportunity costs of using the firm's own resources without receiving any explicit compensation for those resources. A) True. B) False. Show Answer Correct Answer: A) True. 7. What does the law of demand state? A) When prices rise, demand rises. B) When prices fall, demand rises. C) When prices rise, demand falls. D) When prices fall, demand remains constant. Show Answer Correct Answer: C) When prices rise, demand falls. 8. How do governments get their money? A) Tax Businesses. B) Tax Households. C) Tax both Businesses and Households. D) They print their own money. Show Answer Correct Answer: C) Tax both Businesses and Households. 9. Non-price determinants of demand includes: A) A change in buyers' real incomes or wealth. B) Buyers' tastes and preferences. C) The prices of related products or services. D) Buyers' expectations of the product's future price. E) All of the above. Show Answer Correct Answer: E) All of the above. 10. The rate of this type of tax is 20 percent. A) Excise tax. B) Value-added-tax. C) Proportional tax. D) Income tax. Show Answer Correct Answer: A) Excise tax. 11. Adequate equipment A) Opportunities. B) Weakness. C) Threat. D) Strength. Show Answer Correct Answer: D) Strength. 12. When GDP rises faster than the long-run trend the economy is experiencing- A) Recession. B) Expansion. C) Recovery. D) None of above. Show Answer Correct Answer: B) Expansion. 13. It simply means having a lower opportunity cost. A) Absolute advantage. B) Comparative advantage. C) Opportunity cost. D) Cost and benefit analysis. Show Answer Correct Answer: B) Comparative advantage. 14. With which term is a command economic system MOST closely associated? A) Governmental regulation. B) Entrepreneurship. C) Perfect competition. D) Economic Freedom. Show Answer Correct Answer: A) Governmental regulation. 15. An entrepreneur is some who come up with new ideas for products, markets or techniques. A) True. B) False. C) Maybe. D) None of above. Show Answer Correct Answer: A) True. 16. It is the cost-benefit analysis in which the positive and negative impacts of projects, developments, and legislations on society are weighed and measured A) Impact of study. B) Impact of government. C) Impact of international trade. D) Impact of Household. Show Answer Correct Answer: A) Impact of study. 17. Which of the following is an example of a monopolistically competitive industry? A) Rice farming. B) Colleges and universities. C) The local electricity produce. D) The domestic automobile producing industry. Show Answer Correct Answer: C) The local electricity produce. 18. Which of the following is not a fallacies of economics? A) Failure to hold things constant under ceteris paribus. B) Post hoc fallacy. C) Fallacy in perfect information. D) Sweeping generalization. Show Answer Correct Answer: C) Fallacy in perfect information. 19. The main objective of SWOT is to ..... A) It can identify business risks and rewards. B) It can also a way of identifying the internal and external forces that may affect the business. C) Analyze framework that can help a company meet its challenges and identify new markets. D) All of the above. Show Answer Correct Answer: D) All of the above. 20. Capitalism is most closely related to which type of economic system? A) Command. B) Traditional. C) Free Enterprise. D) Mixed. Show Answer Correct Answer: C) Free Enterprise. 21. Studies individual income A) Macroeconomics. B) Political Economics. C) Microeconomics. D) Economics. Show Answer Correct Answer: C) Microeconomics. 22. The type of business ownership in which all business decisions are the sole responsibility of the owner. A) Corporation. B) Sole proprietorship. C) Franchise. D) Partnership. Show Answer Correct Answer: B) Sole proprietorship. 23. A graphical illustration of the demand schedule with the price measured on the vertical axis (Y), and the quantity demanded measured on the horizontal axis (X). A) Demand Curve. B) Supply Curve. C) Price Curve. D) Quantity Curve. Show Answer Correct Answer: A) Demand Curve. 24. One firm dominates the market, barriers to entry, possibly supernormal profit. A) Oligopoly. B) Perfect Competition. C) Monopoly. D) Monopolistic Competition. Show Answer Correct Answer: C) Monopoly. 25. When quantity supplied and quantity demanded is equal A) Surplus. B) Shortage. C) Equilibrium. D) Law of demand. Show Answer Correct Answer: C) Equilibrium. 26. A tax in which the tax rate increases as the taxable base amount increases. A) Proportional Tax. B) Regressive Tax. C) Progressive Tax. D) None of above. Show Answer Correct Answer: C) Progressive Tax. 27. A new study has shown that avocados are extremely healthy. The demand for avocados has increased due to a change in A) Market size. B) Price of a substitute good. C) Price of a complementary good. D) Tastes and preferences. Show Answer Correct Answer: D) Tastes and preferences. 28. International trade A) The exchange of goods and services between countries. B) Trading globally gives consumers and countries the opportunity to be exposed to goods and services not available in their own countries, or which would be more expensive domestically. C) The importance of international trade was recognized early on by political economists like Adam Smith and David Ricardo. D) All of the above. Show Answer Correct Answer: D) All of the above. 29. Using economic theories, applied economics tries to address the central problem of economics which is scarcity. A) True. B) False. Show Answer Correct Answer: A) True. 30. The farmers' market is an example of ..... A) An oligopoly. B) A monopoly. C) A purely/perfectly competitive market. D) A monopolistic competition. Show Answer Correct Answer: C) A purely/perfectly competitive market. ← PreviousNext →Related QuizzesEconomics QuizzesFinance QuizzesApplied Economics Quiz 1Applied Economics Quiz 2Applied Economics Quiz 3Applied Economics Quiz 4Applied Economics Quiz 5Applied Economics Quiz 6Applied Economics Quiz 7Applied Economics Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books