Examination 2021-2022

Subject -Economics (40 Points)

Time - 1hour
F. M. - 40
All questions are compulsory

1.Name Class Section Roll number

Enter your answer

2.Identify the factor of production that earns profits a reward for production activity.
(1 Point)
Land
Labour
Capital
Entrepreneur

3.When the price of substitute goods rises then the demand for the good will ............................
(1 Point)
Rise
Fall
Zero
Constant

4.When total investment in any country is ___________ than its depreciation cost , then there
will be capital formation .
(1 Point)
more
less
equal
none

5.The service rendered by teachers teaching in schools and colleges is an example of

____________ utility.
(1 Point)
place
time
service
form

6.The demand for a commodity depends not only on its own price but also on the prices
of..................
(1 Point)
Substitute goods
Complementary goods
Unrelated goods
Related goods

7.A group of firms producing same kind of goods is called

(1 Point)
Firms
Industry
Market
Business

8._____________ is a necessary condition for any production activities.

(1 Point)
utility
raw materials
factor of production
none of the above

9.Which of the following supplies is fixed in the factors of production ?

(1 Point)
land
labour
capital
raw material

10.The natural cause of low efficiency of labour in India is __________.

(1 Point)
hot climate
poor technology
migration
lack of training

11.Money removed the difficulty of ...........................by eliminating the need for double
co-incidence of want.
(1 Point)
Banking system
Barter System
Transport System
Exchange System

12.Durable use producer goods refers to which of the following ?

(1 Point)
fixed capital
circulating capital
sunk capital
floating capital

13.Which of the following is a key function of an entrepreneur ?

(1 Point)
bearing risk
purchasing raw materials
organizing factors of production
hiring labourers

14.The government can increase capital formation through _____________.

(1 Point)
compulsory savings
voluntary savings
household savings
corporate savings

15.The monopoly can be controlled by........................

(1 Point)
social boycott
Anti-monopoly legislation
Public ownership
All Of The Above

16.The demand curve of the firm and industry will be same in which form of market?
(1 Point)
Monopolistic
Monopoly
Perfect
Oligopoly

17.Under monopoly, the selling cost is incurred for............................

(1 Point)
Promoting sale of the product
Influencing consumers for not buying the competitors products
Informative purpose
Non of the above

18.Which market structure has the least number of sellers?

(1 Point)
Oligopoly
Monopoly
Monoplistic
Perfect
19."Interdependence of firms" is a feture of which market form?
(1 Point)
Oligopoly
Perfect
Monoplistic
Monopoly

20.Under which of the market forms, AR/MR curves are flatter or elastic:
(1 Point)
Oligopoly
Monopoly OMITTED
Perfect
Monopolistic

21.Which of the following is not a feature of monopoly?

(1 Point)
Uniform Price
Single Seller
No close substitute
Firm is a price maker

22.Basic difference between monopolistic competition and oligopoly is................

(1 Point)
Product differentiation
Barrier to entry
Number of buyers
Price discrimination

23.What is the effect of income on demand for normal goods?

(1 Point)
Positive
Inverse
Negative
Constant

24.What is the graphical representation of the demand schedule called?

(1 Point)
Demand curve
Price curve
Market curve
Quantity curve
25.When price mechanism is in operation, the prices of commodities are determined
by.....................
(1 Point)
Demand and supply
Producer of the commodity
Government
Time period

26.Which of the following curve shows the different quantities of a good that one particular
consumer is willing to buy at different possible prices of the good at a point of time?
(1 Point)
Market demand curve
Individual demand curve
Quantity demand curve
Price demand curve

27.The law of demand is measured from the perspective of a .................................

(1 Point)
consumer
supplier
wholesaler
manufacturer

28.Evolution of money has facilitated .......................

(1 Point)
a common unit of exchange
store of value
Transfer of value
All of the above

29.Direct exchange of goods against goods is called _________.

(1 Point)
Charter
Barter
Money
Trade

30.Which of the following when geographical mobility is not possible for?

(1 Point)
Land
Labor
Capital
Wealth
31.What is the correct sequence of evolution of money?
1)paper money
2)animal money
3)commodity money
4)metallic money
5)bank money
(1 Point)
2,3,4,1,5
2,3,1,4,5
3,2,5,1,4
1,2,3,4,5

32. State the unit of measurement in terms of which the values of all goods and services are
measured and expressed?
(1 Point)
Money
Gold
Silver
Bronze

33.Anything widely accepted in making payment implies which function of money?

(1 Point)
Medium of exchange
Unit of account
Store of value
Standard of deferred payments

34.In which form of money there is no element of risk involved in its movement?
(1 Point)
Bank money
Animal money
Paper money
Commodity money

35.Which of these is a fixed factor of production ?

(1 Point)
Land
Labor
Capital
Entrepreneur

36.Examples of commodity money are...........

(1 Point)
Coins
Notes
Shells
All of the above

37.In ...................................... stage in the evolution of money is commodity money.

(1 Point)
First
Second
Third
Fourth

38.How are the two goods (Guava and Grapes) related when as a result of rise in the price of
guava, demand for grapes increases.?
(1 Point)
substitute goods
complimentary goods
Normal goods
Inferior goods

39.Supply is a ............................ concept.

(1 Point)
stock
Flow
Flow and stock
None of the above

40.By ......................... we mean increase in the stock of capital goods which are used for more
production.
(1 Point)
capital formation
Total investment
Business formation
Productive mechanism

41.Investment in _________leads to the formation of human capital.

(1 Point)
Education
Building
Monetary instruments
Machinery