Economics Quiz for Class X E

Which of the following statements are true if the supply is fixed?

• Demand will also be fixed

• The supply curve will be vertical

• Suppliers will not offer any quantity for sale

• Supply will fall when price rises

• The demand curve will be horizontal

The supply curve slopes upward from left to right. It means that there is a proportionate relationship between the price and quantity supplied. Which of the following diagrams shows true about supply?

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 When the price of oil fell sharply in 2014, many oil companies began to use lasers and other hi-tech data analysis equipment. Others use new techniques to help them produce more oil from both old and new wells. Since the introduction of new technology will help to lower production costs, firms are likely to offer more sale.

What would be the shifting of the supply curve?

• Outward

• Inward

• Left

• Increases

• Decreases

A change in price can cause a movement along the curved. But there are  other factors that can cause the supply curve to shift inward or outward. The factors that may shift the supply outward is ___.

• a. The government grants subsidies on a good

• b. A poor growing condition of rice

• c. Firms using new machinery to increases the ice cream production

• d. Global warming caused changing weather patterns and melting snow also ice.

• Option a and c are correct

Which of the following will shift the supply curve to the left or inward ?

• A decrease in indirect taxes

• Higher production cost

• Introduction new technology

• A government subsidy

• Invented a new pesticide fertilizer