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Economics

Total questions: 20

Worksheet time: 10mins

Name
Class
Date
1.

The branch of economics that deals with the allocation of resources is:

a)

Macro economics

b)

Micro economics

c)

Econometrics

d)

Public finance

2.

Micro economics uses which of the following methods?

a)

Lumping method

b)

Inclusive method

c)

Slicing method

d)

Comparative method

3.

Concepts studied under macro economics are:

a)

Product pricing and cost

b)

Income and employment

c)

Individual firm behaviour

d)

Consumer equilibrium

4.

In the law of diminishing marginal utility, Alfred Marshall assumes marginal utility of money:

a)

Increases

b)

Remain constant

c)

Falls

d)

First rises then falls

5.

According to the law of diminishing marginal utility, utility is measured in:

a)

Ordinal terms

b)

Both ordinal and cardinal

c)

Cardinal terms

d)

Percentage

6.

Which of the following is a correct pair?

a)

Micro economics - Aggregate supply

b)

Macro economics - Product pricing

c)

Micro economics - Factor pricing

d)

Macro economics - Individual firm behaviour

7.

When Marginal Utility (MU) becomes negative, Total Utility (TU):

a)

Increases

b)

Becomes zero

c)

Falls

d)

Remain constant

8.

Point of satiety means:

a)

TU is rising and MU is falling

b)

MU is falling and TU is rising

c)

TU is falling and MU is negative

d)

Tu is maximum and MU is zero

9.

Kavita consumed five units of oranges one after another. This relates to:

a)

Consumer surplus

b)

Law of Equi-Marginal Utility

c)

Law of Diminishing marginal Utility

d)

Law of demand

10.

Gauri collected income details of a firm. This represents:

a)

Macro Analysis

b)

Economic development

c)

Micro Analysis

d)

Budgeting

11.

In Micro economics, the method of analysis used is:

a)

Deductive method

b)

Inclusive method

c)

Lumping method

d)

Aggregate method

12.

Utility of a stethoscope to a doctor shows which concept of utility?

a)

Moral concept

b)

Subjective concept

c)

Ethical concept

d)

Cardinal concept

13.

When total utility falls, marginal utility becomes:

a)

Zero

b)

Positive

c)

Constant

d)

Negative

14.

As per the law of diminishing marginal utility, when TU is rising, MU is:

a)

Negative

b)

Zero

c)

Positive

d)

Constant

15.

Identify the utility type: Blood bank for patients.

a)

Time utility

b)

Place utility

c)

Service utility

d)

Knowledge utility

16.

The term 'Macrokosmos' is related to:

a)

Micro economics

b)

Macro economics

c)

Econometrics

d)

Consumer behaviour

17.

Law of diminishing marginal utility does not apply to:

a)

Normal goods

b)

Addictive goods

c)

Perishable goods

d)

Essential goods

18.

The scope of micro economics includes:

a)

Aggregate demand

b)

General price level

c)

Product pricing

d)

Economic growth

19.

According to utility theory, a want arises due to:

a)

Lack of satisfaction

b)

Lack of money

c)

Market trends

d)

Inflation

20.

Which law explains the inverse relationship between the quantity consumed and marginal Utility?

a)

Law of Equi-Marginal Utility

b)

Law of demand

c)

Law of supply

d)

Law of diminishing marginal utility