Question:

_______ investigations examine an individual’s relationship with and interaction in society

A.

Natural science

B.

Physical science

C.

Life science

D.

Social science

Answer» d. Social science

Question:

Whenever average product is declining, with increases in input usage,

A.

Marginal product is less than average product

B.

Total product is declining with increases in input

C.

Total product is increasing with increases in input

D.

Marginal product is greater than average product

Answer» b. Total product is declining with increases in input

Question:

Ordinal utility analysis Was developed by

A.

j.r.hicks & r.j.d. allen

B.

samualson

C.

marshall and jevons

D.

slutsky

Answer» a. j.r.hicks & r.j.d. allen

Question:

Indifference Approach is related with:

A.

Marshall

B.

J.R. Hicks

C.

Samuelson

D.

Sismondi

Answer» b. J.R. Hicks

Question:

When consumption and income are equal, saving is ————

A.

Negative

B.

Positive

C.

Zero

D.

Increasing

Answer» c. Zero

Question:

If income effect works in the same direction to that of substitution effect, the good is a:

A.

Normal good

B.

Inferior good

C.

Giffen good

D.

Superior Good

Answer» a. Normal good

Question:

Inductive method which also called empirical method was adopted by the:

A.

Marginalist school

B.

Mercantilists

C.

Physiocrats

D.

Historical School of Economists

Answer» d. Historical School of Economists

Question:

Whenever marginal product is increasing with increasing use of an input,

A.

Total product is increasing at a decreasing rate

B.

Total product is increasing at an increasing rate

C.

Marginal product is less than average product

D.

Average product is decreasing.

Answer» b. Total product is increasing at an increasing rate

Question:

As per indifference curve analysis consumer equilibrium is attained when

A.

slope of indifference curve is constant

B.

slopes of both indifference curve and income price line are equal

C.

slopes of both indifference curve and income price line are opposite

D.

both income price line and indifference curve are parallel.

Answer» b. slopes of both indifference curve and income price line are equal

Question:

Total utility curve

A.

always rises

B.

first falls then rises

C.

always falls

D.

first rises and then falls after reaching its maximum

Answer» d. first rises and then falls after reaching its maximum