Economics MCQs with explanations

Question 1

The study of inflation is part of?

Accepted Answer

macroeconomics.

Question 2

Mention the name for economic theory that the support of business that allows them to flourish will eventually benefit middle- and lower-income people in the form of increased economic activity and reduced unemployment?

Accepted Answer

Trickle down

Question 3

What was the second cattle producing country?

Accepted Answer

China

Question 4

Which of the following financial market securities would probably pay the highest interest rate?

Accepted Answer

A bond issued by a startup company

Question 5

The base of all of the following fuels is organic materials except that of?

Accepted Answer

Uranium

Question 6

Ideologies________?

Accepted Answer

underlie all social movements

Question 7

If the world price of steel is $500 a ton a specific tariff $50 is equivalent to an ad valorem tariff of________?

Accepted Answer

10 percent

Question 8

Diminishing marginal return implies?

Accepted Answer

increasing marginal costs.

Question 9

Prices that do not always adjust rapidly to maintain equality between quantity supplied and quantity demanded are?

Accepted Answer

sticky prices

Question 10

Suppose Handel’s Ice Cream experiences economies of scale up to a certain point and diseconomies of scale beyond that point. Its long-run average cost curve is most likely to be?

Accepted Answer

U-shaped

Economics MCQs with Explanations