Economics

Economies of scale are the reduction in costs of production achieved through increased output.

• True
• False

Which of the following is not a cause of internal diseconomies of scale?

• Poor communication between different departments
• Lack of staff morale and motivation
  
• Less control, direction and coordination of human resources
• Late deliveries due to congestion in busy locations

External economies of scale can arise from

• Bulk purchases of raw materials, parts and components at favourable prices
• The introduction and use of advanced technology
• Specialised back-up services available in a particular region
• Lower interest rates, thus reducing the cost of borrowing to large companies

If a firm doubles its use of inputs and finds that output increases by 50%, then it has experienced

• Growth
• Economies of scale
• Diseconomies of scale
• Evolution

If a firm increases its use of all factors of production but sees an increase in its average costs, this is a sign of

• Internal diseconomies of scale
• External diseconomies of scale
  
• External economies of scale
  
• External diseconomies of scale

what is a trade union?

• (a) It is an organisation

• (b) A group of workers

• (c) Trade unions are independent organisations that represent workers to their employers

• (d) To register a trade union, you must apply to the Registrar of labour Relations

What are the roles and responsibilities of Trade union?

• (a) Is to ensure the welfare of its members such as safeguarding the interests of its members

• ( b) Protecting the reliability of its trade.

• ( c) achieving higher wages by securing economic benefits.

• (d) All of the above

5. What is least likely to be a function of a trade union?

• A improving working conditions

• B. reducing the cost of labour

• C. representing members interests

• D securing adequate pay for members

14. What does the term"closed shop'mean?

• A a bankrupt retail establishment

• B. a trade union that is approved by the govemment

• C. an agreement that all workers must be members of the same trade union

• D. an agreement by trade unions to share members

18. which of the following is an example of action taken by a trade union?

• A. Go-fast

• B. Sit-down

• C. Work-to-rule

• D. Lie- in