QUIZ REVISION IMU453

1. The problem of scarcity arises due to:

• Human greed

• Limited availability of resources

• Government restrictions to the production of goods and services

• Inefficient production methods

1. In economy, the three main economics units are:

• Firms, banks and traders

• Firms, households and banks

• Household, governments and firms.

• Household, governments and banks.

Which of the following is a macroeconomic statement?

• Perodua’s profits increase in 2021

• Unemployment rate was at 3.5% last year.

• The price of wheat declined by 3% last year.

• The productivity of agricultural sectors increased by 2.5% last year.

The government may overcome the problem of deflation by:

• Increase the discount rate.

• Forcing the government deficit to decrease.

• Carrying out an expansionary fiscal policy.

• Decreasing the money supply

A four-sector economy is also known as:

• A closed economy

• A simple economy

• An open economy

a) State 5 determinants of supply?

b) State 5 determinants of demand?

(a)  

The market demand and supply functions are given below:

Market demand, Qd   = 36 – 4P  (equation 1)

Market supply, Qs=  15+3P (equation 2)

Find market equilibrium price and quantity:

(a)  

Describe 4 factor of production?

(a)  

3 method used of measuring national income (GDP)

(a)  

5 degrees of inflation that can occur in a country

(a)