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Economics MCQs with Explanations

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291EconomicsMedium

Estimated value that is added to a product or material to each stage, of its manufacture or distribution, is known as?

AExcise

BValue added

CTax on stage

DValue addition

Correct answer

B. Value added

Explanation

The correct answer is Value added.

292EconomicsMedium

Which province of Pakistan is the largest sugarcane producing province?

AK.P.K

BPunjab

CBaluchistan

DSindh

Correct answer

B. Punjab

Explanation

The correct answer is Punjab.

293EconomicsMedium

If the market price is below the equilibrium price?

Aquantity demanded will equal quantity supplied.

Bquantity demanded will be less than quantity supplied

Cdemand will be less than supply.

Dquantity demanded will be greater than quantity supplied

Correct answer

D. quantity demanded will be greater than quantity supplied

Explanation

The correct answer is quantity demanded will be greater than quantity supplied.

294EconomicsMedium

In perfect competition?

AShort run abnormal profits are competed away by firms entering the industry

BShort run abnormal profits are completed away by firms leaving the industry

CShort run abnormal profits are competed away by greater advertising

DShort run abnormal profits are competed away by the government

Correct answer

A. Short run abnormal profits are competed away by firms entering the industry

Explanation

The correct answer is Short run abnormal profits are competed away by firms entering the industry.

295EconomicsMedium

Max Weber believed that________?

Asocieties should have at least three classes

Bproperty was the only determinant of class

Cclass is closely related to life chances

Dclass was based on exploitation of the masses

Correct answer

C. class is closely related to life chances

Explanation

The correct answer is class is closely related to life chances.

296EconomicsMedium

The Federal Reserve Bank regulates the money supply by________?

Aestablishing minimum reserve requirements of member banks

Ball of the above

Cthe discount rate it charges member banks

Dbuying and selling government securities

Correct answer

B. all of the above

Explanation

The correct answer is all of the above.

297EconomicsMedium

A culture complex is________?

Aone cultural trait

Ba cluster of traits centered around a common activity

Ca psychological condition

Da theater symphony hall and museum

Correct answer

B. a cluster of traits centered around a common activity

Explanation

The correct answer is a cluster of traits centered around a common activity.

298EconomicsMedium

Experiments are________?

Anot used in the study of humans

Bbased on controlling a variable and observing the results

Cvalid only if performed on white mice

Dthe most common method of social investigation

Correct answer

B. based on controlling a variable and observing the results

Explanation

The correct answer is based on controlling a variable and observing the results.

299EconomicsMedium

Name the political and economic system in which the government owns and controls the means of production to benefit all the people?

AAuthoritarianism

BCommunism

CCapitalism

DSocialism

Correct answer

D. Socialism

Explanation

The correct answer is Socialism.

300EconomicsMedium

Debit entries on the balance of payments are the entries that would?

Abring foreign exchange into the country

Bmean a loss of foreign exchange

Cexist at the bottom line after all accounts are totaled

Dindicate a surplus exist

Correct answer

B. mean a loss of foreign exchange

Explanation

The correct answer is mean a loss of foreign exchange.

If the market price is below the equilibrium price?

Aquantity demanded will equal quantity supplied.

Bquantity demanded will be less than quantity supplied

Cdemand will be less than supply.

Dquantity demanded will be greater than quantity supplied

Correct answer

D. quantity demanded will be greater than quantity supplied

Explanation

The correct answer is quantity demanded will be greater than quantity supplied.

In perfect competition?

AShort run abnormal profits are competed away by firms entering the industry

BShort run abnormal profits are completed away by firms leaving the industry

CShort run abnormal profits are competed away by greater advertising

DShort run abnormal profits are competed away by the government

Correct answer

A. Short run abnormal profits are competed away by firms entering the industry

Explanation

The correct answer is Short run abnormal profits are competed away by firms entering the industry.

Max Weber believed that________?

Asocieties should have at least three classes

Bproperty was the only determinant of class

Cclass is closely related to life chances

Dclass was based on exploitation of the masses

Correct answer

C. class is closely related to life chances

Explanation

The correct answer is class is closely related to life chances.

Experiments are________?

Anot used in the study of humans

Bbased on controlling a variable and observing the results

Cvalid only if performed on white mice

Dthe most common method of social investigation

Correct answer

B. based on controlling a variable and observing the results

Explanation

The correct answer is based on controlling a variable and observing the results.