0% 0 Economics Quiz 90 1 / 50 Points on the production possibilities frontier are ? unattainable normative inefficient efficient 2 / 50 The total cost to society of producing an additional unit of a good or service is the ? marginal external cost marginal private cost marginal damage cost marginal social cost 3 / 50 A group way of life lends itself to disorder because_________________? the world is based on randomness human behavior is unpredictable humans are solitary creatures individuals differ in temperament goals and desires 4 / 50 Legal-rational authority tends to be characteristic of_________________? simple agrarian societies heterogeneous multicultural societies homogeneous single-culture societies Central A Pakistan society 5 / 50 The success of regional and urban policies has been limited by ? poor communications bureaucracy the low level of government grants and by the fact that some projects would have gone ahead anyway bad luck 6 / 50 Which of the following statements about a binding price ceiling is true ? The shortage created by the price ceiling is greater in the short ran than in the long run. The shortage created by the price ceiling is greater in the long run than in the short run The surplus created by the price ceiling is greater in the short run than in the long run The surplus created by the price ceiling is greater in the long run than in the short run 7 / 50 When capital is owned by the firm as opposed to being directly owned by household capital income may take any of the following forms except ? dividends retained earnings interest increases in stocks of goods 8 / 50 What is the annual average growth rate of agriculture in last decade ? 4.50% 3.50% 5.50% 6.50% 9 / 50 Crop grown for sale is called? Money Crop Business Crop Earning Crop Cash crop 10 / 50 The resources each spouse brings to a marriage include________________? income all of the above the ability to earn income occupational prestige 11 / 50 Socialization happens in__________________? persons of all ages adults infants children 12 / 50 Compared to a portfolio composed entirely of shares a portfolio that is 50 percent government bonds and 50 percent shares will have a ? lower return and a lower level or risk lower return and a higher level of risk higher return and a lower level or risk higher return and a higher level of risk 13 / 50 Economic growth is important because ? People want to be happier People want less crime People want a better environment People want higher incomes and more consumer goods. 14 / 50 When a marketing research organization chooses a segment of the population that represents the population as a whole, they have chosen a ? sample market target group bi-variant population 15 / 50 The primary agent of socialization is the______________? mass media family peer group school 16 / 50 Speculative bubbles may occur in the shares market ? during periods of extreme pessimism because so many stocks become undervalued because rational people may buy an overvalued share if they think they can sell it to someone for even more at a later date when stocks are fairly valued only when people are irrational 17 / 50 Recent research supports the notion that mother-infant bonding_______________? has a biological basis has a cultural basis none of the above depends on how wanted the infant is 18 / 50 According to supply-side economists, as tax rates are reduced, labor supply should increase. This implies that ? the substitution effect of a wage change is greater than the income effect of a wage change the income effect of a wage change is greater than the substitution effect of a wage change. there is no income effect when tax rates are changed there is no substitution effect when tax rates are changed 19 / 50 Latent functions of schools include_________? allowing the formation of a subculture and keeping children in school for a period of time encouraging social mobility promoting nationalism maintaining the class system 20 / 50 As consequence of rural urban migration ? Ruralization of Urban areas and ripid growth seem to be the result Ruralization of Urban areas is taking place More and more urbanization is taking place N successfully None of the above 21 / 50 Power is defined by Max Weber as the ability to__________________? be the strongest in mind and body gain consent carry out one,s wishes in spite of resistance do as one pleases 22 / 50 The teen pregnancy rate_________________? is highest among Asian teens has declined principally for non-Hispanic black teens only A and B began to decline in 1997 23 / 50 The Keynesian remedy for unemployment is to ? decrease aggregate demand reduce tax rates or lower interest rates decrease government spending decrease private consumption and investment 24 / 50 A reduced share of the world export market for the United States would be attributed to? High incomes of American households High levels of investment by American corporations Decreased productivity in U.S manufacturing Relatively low interest rates in the United States 25 / 50 A tax which is paid by the person on whom the tax is incident is called a ? Rate Indirect tax Local tax Direct tax 26 / 50 If saving exceeds investment the national income will ? Fluctuate Remain constant Fall Rise 27 / 50 Which of the following payment instruments introduced by the banks is known as plastic money ? Bearer cheques Demand Drafts Gift Cheques Credit Cards 28 / 50 A positive externality occurs when ? The social marginal costs are higher than the private marginals costs A product is not provided in the free market The social marginal benefits are higher than the private marginal benefits The social marginal cost equal the social marginal benefit 29 / 50 If people can borrow and lend to perfectly smooth out their lifetime living standards, then ? none of these answers life-cycle income is a good measure of the distribution of living standards. transitory income is a good measure of the distribution of living standards permanent income is a good measure of the distribution of living standards. 30 / 50 Which of the following statements regarding the market for foreign currency exchange is true ? An increase in Pakistan?s net exports decrease the demand for rupees and the rupees appreciates An increase in Pakistan?s net exports increase the demand for rupees and the rupees appreciates An increase in Pakistan?s net exports increases the Supply of rupees and the rupees depreciates An increase in Pakistan?s net exports decreases the supply of rupees and the rupees depreciates 31 / 50 What is National debt or public debt ? state?s borrowing from international institution State?s borrowing from foreign government All of these State?s borrowing from its population 32 / 50 The primary function of bank is to ? Provide notes and coins for trade Make a profit Control the money supply Provide a cheque clearing system 33 / 50 To reduce imports, suppose that the government of Norway?s imposes a quota equal to 800 computers, Compared to what occurred under free trade, Norway?s consumers surplus will ________ and its producer surplus will _______ Can you calculate these amounts? Try plotting the information of this table on a sheet of graph paper ? decrease, increase increase, increase increase, decrease decrease, decrease 34 / 50 If a consumer describes a car as being the most economical car on the market than this descriptor is a? cute rule attitude belief 35 / 50 Occupational immobility of labour occurs if ? People do not want to work People lack information People cannot afford to move location People do not have the right skills to work 36 / 50 What is called the situation in which a debtor remains unable to pay his creditors in full ? Total loss Bankruptcy Crash Default 37 / 50 Barro and Lee find that ceteris paribus, IMF lending has ? a significantly positive effect on growth in the subsequent five years no effect on economic growth during the simultaneous five-year period but has a significantly negative effect on growth in the subsequent five years negative effect on economic growth during the simultaneous five-year period but has a significantly positive effect on growth in the subsequent five years an exponentially negative effect on growth ten years 38 / 50 The Setrite Corporation produce chairs. An economist working for the firm predicts that if people?s incomes rise next year, then the demand for our chairs will for our chairs will increase ceteris paribus The accuracy of the economist?s prediction depends on whether the chairs Setrite Produce ? have many complementary goods. have few complementary goods. have few substitutes. are normal goods 39 / 50 When firm build in Organizational slack they do this in order to ? both options one and three maximize growth. cope with unforeseen changes minimize conflict within the firm 40 / 50 Which term is used for the total net value of all goods and services produced in a country in specified period of time ? Local income National income Public income Gross income 41 / 50 Where a tax can be shifted, the incidence depends on ? elasticities of demand and supply who is legally obliged to pay the tax Whether there is perfect or imperfect information how many producers there are: 42 / 50 An example of a permanent or enduring subculture would be_______________? the military establishment a doomsday cult life in a survivalist enclave a group of guerrillas 43 / 50 GDP would include which of the following ? illegal drug sales the value of taking a day off from work intermediate sales consulting services 44 / 50 Which of the following statements about stabilization policy is not true ? When policy makers implement activist stabilization policies there is a significant risk that their policies may actually have a destabilizing effect Long lags enhance the ability of policy makers to fine tune the economy Many economists prefer automatic stabilizers because they affect the economy with a shorter lag than activist stabilization policy None of these answers are true 45 / 50 In his empirical test of comparative advantage Wassily Leontief found that ? U.S exports are neither labor nor capital intensive None of the above U.S exports are capital intensive relative to U.S imports U.S imports are labor intensive relative to U.S exports 46 / 50 Suppose Canada and Switzerland were the only two countries in the world There exists an excess supply of Swiss francs on the foreign exchange market This suggests that ? the Canadian current account balance is in equilibrium the Canadian current account balance is in surplus the Swiss current account balance is in equilibrium the Swiss current account balance is in deficit 47 / 50 Direct investment and security purchases are classified as ? merchandise trade transactions capital account transactions current account transactions unilateral transfer transactions 48 / 50 If GDP for Palau a small country near southeast of the Philippines is $130 million in 2012 and its population is 20,000 GDP per capita is ? 0.0065 130 650 6500 49 / 50 Food crops cover about ___ of cropped areas? 55% 15% 75% 35 50 / 50 In Which of the business cycle do firms try to cut stocks in order to save costs ? The recession The upturn The expansion The peeking out Provide Your Information Your score is The average score is 0% LinkedIn Facebook Twitter 0% Restart quiz Send feedback Share on facebook Facebook Share on twitter Twitter Share on whatsapp WhatsApp PrevEconomics Quiz 89
