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ECONOMICS QUIZ 1

Total questions: 15

Worksheet time: 8mins

Name
Class
Date
1.

Adam Smith published his master piece “An enquiry into the nature and causes of wealth of nations” in the year __________.

a)

1776

b)

1786

c)

1789

d)

1790

2.

Who defines Economics in terms of Dynamic Growth and Development?

a)

Robbins

b)

Paul A Samuelson

c)

Adam Smith

d)

none

3.

All wants of an individual are not of:

a)

Equal importance

b)

Immediate importance

c)

Fixed importance

d)

All of the above

4.

Which one of the following is incorrect about Business Economics?

a)

It is applied economics that fills the gap between economic theory and business practice.

b)

Business Economics integrates economic theory with business practice.

c)

Business Economics is also re-ferred to as Managerial Econom-ics.

d)

Business Economics is more concerned with Macro Economics.

5.

analyses causes and effect relationship between variables in an objective and  scientific manner.

a)

Positive  Science

b)

Normative  Science

c)

Negative Science

d)

Analytical Science

6.

The Central problem in every eco-nomic society is:

a)

To ensure a minimum level of income for every individual.

b)

To allocate scarce resources in such a manner that societies unlimited wants are satisfied in the best possible manner.

c)

To ensure that production occurs in the most efficient manner.

d)

To provide job to every jobseeker.

7.

Which of the following is not one of the four central questions that the study of economics is supposed to answer?

a)

Who produces what ?

b)

When are goods produced?

c)

Who consumes what?

d)

How are goods produced?

8.

In a free market economy the al-location of resources is determined by __________.

a)

Voting done by consumers

b)

A central planning authority.

c)

Consumer preferences.

d)

The level of profits of firms.

9.

Which of the following is not demerit of Capitalism?

a)

Precedence of property rights over human rights.

b)

Misallocation of resources.

c)

Punishment for inefficient & imprudent men.

d)

Environmental degradation due to excessive materialism.

10.

The Concept of socialist economy was propounded by __________.

a)

Karl Mark

b)

Frederic Engels

c)

Adam Smith

d)

Both (a) & (b)

11.

Which one of the following is Not a feature of socialist economy?

a)

Collective ownership

b)

Absence of consumer choice

c)

Minimum role of Price Mechanism

d)

High Competition

12.

Which of these is an example of macro economics:

a)

Problem of unemployment in India

b)

Rising price level in the country

c)

Increase in disparities of income

d)

All of the above

13.

Consider the following and decide which, if any, economy is without scarcity:

a)

The pre-independent Indian economy, where most people were farmers.

b)

A mythical economy where everybody is a billionaire.

c)

Any economy where income is distributed equally among its people.

d)

None of the above

14.

Oikonomia means __________.

a)

Industry

b)

Management of household

c)

Services

d)

None of these

15.

A study of how increase in the corporate income tax rate will affect the natural unemployment rate is an example of:

a)

Micro Economics

b)

Descriptive Economics

c)

Micro Economics

d)

Normative Economics