Managerial Economics Set 7
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This set of Managerial Economics Multiple Choice Questions & Answers (MCQs) focuses on Managerial Economics Set 7
Q1 | When average product is falling, it is
- Less than the marginal product
- Not measurable in this case
- Greater than the marginal product
- Equal to the marginal product
Q2 | Dualism in development economics refers to
- Dual price policy
- Co-existence of technical and non-technical sectors
- Co-existence of modern and traditional sectors
- Co-existence of institutional and non- institutional agencies
Q3 | The economist who said that international trade was based upon the concept of absolute advantage was:
- David Ricardo
- Adam Smith
- J.S.Mill
- Bertil Ohlin
Q4 | If external debt of country rises faster than its interest obligations, it is a case of:
- Dept trap
- Liquidity trap
- Poverty trap
- Export led growth
Q5 | Who gave the first scientific treatment of general equilibrium analysis
- Leon Walras
- J.B Say
- Edward Chamberlain
- K.E Boulding
Q6 | Protectionism in the international trade stands for:
- Semi-restricted Trade
- Free trade policy
- Restricted Trade policy
- All of the above
Q7 | Determination of price through interaction of demand and supply was introduced by:
- Keynes
- Marshall
- Pigou
- Walras
Q8 | Joint profits are maximized in the model cartel, which is model of:
- Duopsony
- Duopoly
- Oligopoly
- Oligopony
Q9 | Which of the following is a better measure of economic development?
- National income
- Rural consumption
- Size of exports
- Employment
Q10 | Indian exports were increased during 2001-2002 and it went upto the level of:
- 39.8 billion dollars
- 28.2 billion dollars
- 44.0 billion dollars
- 45.6 billion dollars
Q11 | The imposition of an import tariff by a nation will increase the nation’s welfare:
- Never
- Often
- Sometimes
- Always
Q12 | 13th Finance Commission has been constituted under the chairmanship of:
- C. Rangarajan
- Vijay L Kelkar
- Deepak Parekh
- Indira Bhargara
Q13 | Monopsony is a form of market organization in which there is a:
- Single buyer of an input
- Single seller of an output
- Single buyer of an output
- Single seller of an input
Q14 | The rational entrepreneur will expand his output and select input combinationswhich lies on his:
- Isoquant line
- Ridge line
- Isoquant line
- Expansion path
Q15 | Factor intensity as it is used in economics, is primarily s:
- Relative concept
- Absolute concept
- Abstract concept
- Empirical concept
Q16 | The proportionality between the velocity of price movement and the inflationarygap is:
- Indirect and irregular
- Direct and linear
- Irregular and direct
- Indirect and non-linear
Q17 | The interrelation between innovations and investment opportunity was first pointed out by:
- Schumpeter
- Samuelson
- T. R. Hicks
- Torgenson
Q18 | Direct control refers to:
- Trade and exchange controls
- Interference with the operation of the market forces
- Price and wage controls
- All of these
Q19 | A situation where the firm is not in a position to recover its variable costs at theprevailing prices is known as:
- Point of inflation
- Equilibrium point
- Optimum point
- None of these
Q20 | Which of the following is a problem connected with general equilibrium analysis?
- Uniqueness problem
- Existence problem
- stability problem
- all of the above
Q21 | Who has suggested the utilization of “disguised unemployment” as a source ofsavings potential in underdeveloped countries?
- W.A Lewis
- Ragnar Nurkse
- Gunnar Myrdal
- K.K Kurihara
Q22 | The income consumption curve generally?
- Slopes upwards to the right
- Slopes downwards to the right
- Slopes upwards to the left
- Slopes downwards to the left
Q23 | The fundamental cause for the collapse of the Bretton woods system was:
- The liquidity problem
- The adjustment problem
- The confidence problem
- None of the above
Q24 | The traffic which maximizes a country’s economic welfare is called
- Discriminatory traffic
- Protective traffic
- Optimum traffic
- Non-Discriminatory traffic