Economy & Economics Quiz

Which of the following is not concerned with the problem of choice?

• Excessive income

• Alternative use of resources

• Unlimited wants

• Limited (scarce) resources

Principal characteristics of resources are:

• they are scarce in relation to our needs

• they have alternative uses

• both (a) and (b)

• none of these

In which of the following situations, does scarcity arise?

• Supply of resources > Demand for resources

• Supply of resources < Demand for resources

• Supply of resources = Demand for resources

• None of these

Economic problem arises due to the fact that:

• resources are scarce

• human wants are unlimited

• resources have alternative uses

• all of these

The resources for satisfying human wants are:

• limited

• unlimited

• available at zero prices

• none of these

Scarcity of resources exists:

• at the micro level

• at the macro level

• micro as well as macro level

• none of these

Positive economics involves statements which are:

• verifiable

• not verifiable

• may or may not be verifiable

• none of these

A statement which does not offer any suggestion is known as:

• positive statement

• normative statement

• both (a) and (b)

• none of these

Normative economics deals with:

• facts

• opinions

• both (a) and (b)

• none of these

Which of the following is the example of economic activity?

• Production

• Consumption

• Exchange

• All of these