Economics Demand and Supply Mcqs Test 01 Preparation Online Demand and Supply Mcqs Test 01 Preparation Online 1. Other things equal, if a good has more substitutes, its price elasticity of demand is?A. Zero B. Larger C. SmallerD. Unity Loading... 2. The following are causes of shift in demand EXCEPT the one?A. Change in price B. Change in prices of substitutesC. change in income D. Change in fashion Loading... 3. Price of a product falls by 10% and its demand rises by 30%. The elasticity of demand is?A. 1/3B. 30% C. 10% D. 3 Loading... 4. If elasticity of demand is very low it shows that the commodity is?A. Has little importance in total budget B. (a) and (c) aboveC. A luxuryD. A necessity Loading... 5. This is an assumption of law of demand?A. Price of the commodity should not change B. Quantity should not changeC. Supply should not change D. Income of consumer should not change Loading... 6. If demand is unitary elastic, a 25% increases in price will result in?A. 1% decrease in quantity demanded B. No change in quantity demanded C. 25% change in total revenue D. 25% decrease in quantity demanded Loading... 7. Law of demand shows relation between?A. Price and quantity of a commodityB. Income and quantity demandC. Income and price of commodityD. Quantity demanded and quantity supplied Loading... 8. If quantity demanded is completely unresponsive to changes in price, demand is?A. Unit elasticB. InelasticC. ElasticD. Perfectly inelastic Loading... 9. Normally a demand curve will have the shape?A. VerticalB. Downward slopingC. Upward slopingD. Horizontal Loading... 10. When demand is perfectly inelastic, an increase in price will result in?A. No change in total revenue B. An increase in total revenue C. A decrease in total revenue D. A decrease in quantity demanded Loading... Loading... Related PostsDemand and Supply Mcqs Test 04 Preparation OnlineDemand and Supply Mcqs Test 08 Preparation OnlineDemand and Supply Mcqs Test 07 Preparation OnlineDemand and Supply Mcqs Test 06 Preparation OnlineDemand and Supply Mcqs Test 05 Preparation OnlineDemand and Supply Mcqs Test 03 Preparation Online Continue Reading Previous Great Economists and Their Work Test 08 Online Mcqs PreparationNext Demand and Supply Mcqs Test 02 Preparation Online Leave a Reply Cancel replyYour email address will not be published. Required fields are marked *Comment * Name * Email * Website Δ