This quiz works best with JavaScript enabled. Home > Finance > Economics > Applied Economics > Applied Economics – Quiz 32 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Applied Economics Quiz 32 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. The initiative and creativity to produce something new describes which factor of production? A) Land. B) Capital. C) Labor. D) Entrepreneur. Show Answer Correct Answer: D) Entrepreneur. 2. What best describes how to use the opportunities section of the SWOT? A) Pass this on to your manager to act upon?. B) Use your strengths to help make them happen and use them to off set potential threats. C) Ignore them as they will sort themselves out. D) Recognise them but do nothing has you are not yet ready to act upon them. Show Answer Correct Answer: B) Use your strengths to help make them happen and use them to off set potential threats. 3. Which situation is most likely to lead to the lowest prices? A) Competition between businesses is prohibited. B) Businesses secretly agree to share their profits. C) There is only one producer making the good. D) Several producers compete to sell goods to the public. Show Answer Correct Answer: D) Several producers compete to sell goods to the public. 4. What is trade-off A) An alternative that we sacrifice when we make a decision. B) The more expensive alternative. C) Opportunity cost. D) To trade. Show Answer Correct Answer: A) An alternative that we sacrifice when we make a decision. 5. Which does not belong to the group? The SWOT Analysis tool: A) Weakness. B) Timeliness. C) Opportunity. D) Strength. Show Answer Correct Answer: B) Timeliness. 6. .... involves a look at income of the people, economic conditions such as inflation, recession, prosperity, demand, and supply in the market. A) Economic forces. B) Porter's five forces Analysis. C) Social Forces. D) Political Forces. Show Answer Correct Answer: A) Economic forces. 7. The good sold by all sellers in the market is assumed to be homogeneous. A) False. B) True. Show Answer Correct Answer: B) True. 8. Perfect competition implies ideal situation for buyers and sellers. A) FALSE. B) TRUE. Show Answer Correct Answer: B) TRUE. 9. This factor drives the Economy and makes it more dynamic. A) Savings. B) Planning. C) Budgeting. D) Total Spending. Show Answer Correct Answer: D) Total Spending. 10. These are the effects of economies of scales on the production costs, EXCEPT: A) It reduces the per-unit fixed cost. B) It reduces the per unit variable cost. C) As a result of increased production, the fixed cost gets spread overmore output than before. D) None of the above. Show Answer Correct Answer: D) None of the above. 11. Inelastic goods have fewer substitutes and price change doesn't affect quantity demanded as much. A) TRUE. B) FALSE. Show Answer Correct Answer: A) TRUE. 12. Point at which supply and demand curve intersect each other A) Price ceiling. B) Excess demand. C) Equilibrium. D) Disequilibrium. Show Answer Correct Answer: C) Equilibrium. 13. Printed and online promotion is needed in starting your business. A) Big ideas. B) Advertisement. C) Sustainability. D) Growth. Show Answer Correct Answer: B) Advertisement. 14. A farmers market is an example of ..... A) Monopolistic competition. B) Pure monopoly. C) Perfect competition. D) Oligopoly. Show Answer Correct Answer: C) Perfect competition. 15. A force that refers to the possibility that costumers will find a different way of doing what your company does. A) Bargaining power of buyers. B) Competitive Rivalry. C) The threat of Substitute products. D) The threat for new entrants. Show Answer Correct Answer: C) The threat of Substitute products. 16. Which of the following market types has a large number of firms that sell similar but slightly different products? A) Monopolistic competition. B) Perfect competition. C) Oligopoly. D) Monopoly. Show Answer Correct Answer: A) Monopolistic competition. 17. Price change in supply A) There is a movement along the quantity supplied. B) There is a movement along the supply curve. C) There is a movement along the curve. D) None of above. Show Answer Correct Answer: B) There is a movement along the supply curve. 18. Which comparative environment is ideal for buyers and sellers? A) Monopoly. B) Oligopoly. C) Perfect competition. D) Monopolistic competition. Show Answer Correct Answer: C) Perfect competition. 19. Which is the most accurate definition of the study of economics? Economics is the study of ..... ? A) Affluence in a morally bankrupt world. B) How society uses its limited resources and deals with the production, distribution, and consumption of goods and services. C) The distribution of surplus goods to those in need. D) Ways to reduce wants to eliminate the problem of scarcity. Show Answer Correct Answer: B) How society uses its limited resources and deals with the production, distribution, and consumption of goods and services. 20. .... is the aggregation of the different businesses engaged in the A) Partnership. B) Cooperative. C) Industry. D) Corporation. Show Answer Correct Answer: C) Industry. 21. Items that people tend to buy more of when their incomes increase. A) Normal Goods. B) Complimentary Goods. C) Inferior Goods. D) Substitute Goods. Show Answer Correct Answer: A) Normal Goods. 22. The analysis being used in making choices is: A) Gini Coefficient. B) Cost-Benefit Analysis. C) Opportunity Cost Analysis. D) None of the above. Show Answer Correct Answer: B) Cost-Benefit Analysis. 23. Which of the following is an example of an external growth strategy? A) Licensing. B) New product development. C) Merger. D) Strategic Alliance. Show Answer Correct Answer: C) Merger. 24. An increase in the overall level of prices in the economy A) Inflation. B) Deflation. C) Price Stability. D) None of above. Show Answer Correct Answer: A) Inflation. 25. Freedom of entry and exit, but firms have differentiated products. Likelihood of normal profits in the long term. A) Monopoly. B) Oligopoly. C) Monopolistic Competition. D) Perfect Competition. Show Answer Correct Answer: C) Monopolistic Competition. 26. In this competitive environment, the number of sellers is not important, but thebarriers to entry or exit to market. A) Oligopoly. B) Monopolistic competition. C) Perfect competition. D) Contestable market. Show Answer Correct Answer: D) Contestable market. 27. Government income mainly from taxes. A) Marginal Utility. B) National Budget. C) Government Revenues. D) Wage. Show Answer Correct Answer: C) Government Revenues. 28. A measure of the strength of buyers' or sellers' responses to a price change A) Price Inelasticity. B) Inelastic Price. C) Elastic Price. D) Price Elasticity. Show Answer Correct Answer: D) Price Elasticity. 29. An example of a stored-value card A) Debit card. B) Credit card. C) Gift card. D) Insurance caerd. Show Answer Correct Answer: C) Gift card. 30. Identify the type of market that matches each itemFinancial Analysts A) GOODS MARKET. B) FINANCIAL MARKET. C) LABOR MARKET. D) None of above. Show Answer Correct Answer: C) LABOR 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