Bachelor of Arts in Economics (BA Economics)

If a more efficient technology was discovered by a firm, there would be:

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Question:

If a more efficient technology was discovered by a firm, there would be:

A.

An upward shift in the AVC curve.

B.

An upward shift in the AFC curve.

C.

A downward shift in the AFC curve.

D.

A downward shift in the MC curve.

Answer» d. A downward shift in the MC curve.

Note: The above multiple-choice question is for all general and Competitive Exams in India. 

Which of the following statements is true

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Question:

Which of the following statements is true

A.

hicksian substitution effect is greater than slutsky substitution effect

B.

slutsky substitution effect is greater than hicksian substitution effect

C.

hicksian substitution effect is same and equal to slutsky substitution effect

D.

hicksian substitution effect is the reverse of slutsky substitution effect

Answer» b. slutsky substitution effect is greater than hicksian substitution effect

Note: The above multiple-choice question is for all general and Competitive Exams in India. 

The best or optimum level of output for a perfectly competitive firm is given by the point:

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Question:

The best or optimum level of output for a perfectly competitive firm is given by the point:

A.

MR = AC

B.

MR = MC

C.

MR exceeds MC by the greater amount

D.

MR = MC and MC is rising

Answer» d. MR = MC and MC is rising

Note: The above multiple-choice question is for all general and Competitive Exams in India. 

In a Perfect competitive market

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Question:

In a Perfect competitive market

A.

Firm is the price giver and the industry is a price taker

B.

Firm is the price taker and the industry is a price giver

C.

Both are price makers

D.

Both are price takers

Answer» b. Firm is the price taker and the industry is a price giver

Note: The above multiple-choice question is for all general and Competitive Exams in India.