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Economics MCQs with Explanations

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1921EconomicsMedium

If a marginal revenue exceeds marginal cost, a monopolists should?

Akeep output the same because profits are maximized when marginal revenue exceeds marginal cost

Bdecrease output

Craise the price

Dincrease should

Correct answer

D. increase should

Explanation

The correct answer is increase should.

1922EconomicsMedium

One of the benefits of putting resources into agricultural projects is that?

Aagricultural investment will prevent the flight of capital abroad

BSuccessful agricultural projects produce surplus food to support urban development

Cagricultural projects usually have low import requirements

Dexport prices for agricultural products are more stable than those for industrial products

Correct answer

C. agricultural projects usually have low import requirements

Explanation

The correct answer is agricultural projects usually have low import requirements.

1923EconomicsMedium

Amount of money needed to purchase the goods and services required to maintain a certain standard of living called?

ABasic requirement

BCost of life

CNone of the above

DCost of living

Correct answer

D. Cost of living

Explanation

The correct answer is Cost of living.

1924EconomicsMedium

The victims of crime tend to be________?

Apoor

Bmembers of the middle class

CB and C

Dmembers of minority groups

Correct answer

C. B and C

Explanation

The correct answer is B and C.

1925EconomicsMedium

Demand for a normal product may shift outwards if?

AThe price of a substitute falls

BThe price of a complement rises

CPrice decreases

Dincome falls

Correct answer

A. The price of a substitute falls

Explanation

The correct answer is The price of a substitute falls.

1926EconomicsMedium

The price of computer chips used in the manufacture of personal computers has fallen. This will lead to ________ personal computer?

Aa decrease in the supply of

Ba decrease in the quantity supplied of

Can increase in the quantity supplied of

Dan increase in the supply of

Correct answer

D. an increase in the supply of

Explanation

The correct answer is an increase in the supply of.

1927EconomicsMedium

Which of the following is not an indirect tax?

ACustom duty

BTariff

CSales tax

DIncome tax

Correct answer

C. Sales tax

Explanation

The correct answer is Sales tax.

1928EconomicsMedium

The current Palestinians are a________?

Anation without a state

Bstate without a nation

Cnation split among several states

Dstate split among several nations

Correct answer

A. nation without a state

Explanation

The correct answer is nation without a state.

1929EconomicsMedium

The forces and processes revolving around government is policies and actions are called________?

Apolitics

Bstatics

Cgeneral social processes

Ddynamics

Correct answer

A. politics

Explanation

The correct answer is politics.

1930EconomicsMedium

The density of population in Punjab is?

A270 per sq. Km

B353 per sq. Km

C211 per sq. Km

D305 per sq. Km

Correct answer

B. 353 per sq. Km

Explanation

The correct answer is 353 per sq. Km.

One of the benefits of putting resources into agricultural projects is that?

Aagricultural investment will prevent the flight of capital abroad

BSuccessful agricultural projects produce surplus food to support urban development

Cagricultural projects usually have low import requirements

Dexport prices for agricultural products are more stable than those for industrial products

Correct answer

C. agricultural projects usually have low import requirements

Explanation

The correct answer is agricultural projects usually have low import requirements.