Question:

OPEC is an example of

A.

Bilateral monopoly

B.

Monopoly

C.

cartel

D.

Kinked Oligopoly

Answer» c. cartel

Question:

At saturation point MU of a commodity is

A.

positive

B.

negative

C.

zero

D.

increasing

Answer» c. zero

Question:

The book ‘Principles of Economics’ was written by:

A.

Keynes

B.

Marshall

C.

Samuelson

D.

Pigou

Answer» b. Marshall

Question:

_______ is situation in which a particular market is controlled by a small group of firms.

A.

monopsony

B.

oligopoly

C.

perfect competition

D.

monopoly

Answer» b. oligopoly

Question:

Which of the following is a concept of ‘broad money’

A.

M1

B.

M2

C.

M3

D.

All of the above

Answer» c. M3

Question:

When the perfectly competitive firm and industry are both in long-run equilibrium

A.

P = MR = SMC = LMC

B.

P = MR = SAC = LAC \\

C.

P = MR = lowest point on the LAC curve

D.

all of the above.

Answer» d. all of the above.

Question:

The market in which there is a single seller is called

A.

Oligopoly

B.

Monopsony

C.

Monopoly

D.

Nine of the above

Answer» c. Monopoly

Question:

If a firm’s revenues just cover all its opportunity costs, then:

A.

Normal profit is zero.

B.

Economic profit is zero.

C.

Total revenues equal its explicit costs.

D.

Total revenues equal its implicit costs.

Answer» b. Economic profit is zero.