Economics Demand and Supply Mcqs Test 06 Preparation Online Demand and Supply Mcqs Test 06 Preparation Online 1. Contraction of demand is the result of?A. Decrease in the number of consumers B. Increase in the prices of other goods C. Increase in the price of the commodity concerned D. Decrease in the income of purchasers Loading... 2. In respect of which of the following category of goods is consumer's surplus highest?A. Necessities B. Luxuries C. Prestige goodsD. Giffen goods Loading... 3. In the case of a straight-line demand curve meeting the two axes, the price-elasticity of demand at the mid-point of the line would be?A. 4B. 2C. 3D. 1 Loading... 4. The Law of Demand, assuming other things to remain constant, establishes the relationship between?A. Income of the consumer and the quantity of a commodity demanded by him B. Price of a commodity and the quantity demandedC. Quantity demanded of a commodity and the relative prices of its complementary goodsD. Price of a commodity and the demand for its substitute Loading... 5. All but one of the following are assumed to remain the same while drawing an individual's demand curve for a commodity. Which one is it?A. The price of the commodity under consideration B. The prices of other goodsC. His monetary income D. The preferences of the individual Loading... 6. In the case of an inferior good, the income elasticity of demand is?A. InfiniteB. Negative C. Zero D. Positive Loading... 7. Identify the factor which generally keeps the price-elasticity of demand for a commodity now?A. Variety of uses for that commodity B. High proportion of the consumer's income spent on itC. Its low price D. Close substitutes for that commodity Loading... 8. Identify the coefficient of price-elasticity of demand when the percentage increase in the quantity of a commodity demanded is smaller than the percentage fall in its price?A. Greater than one B. Pqual to one C. Small than one D. Zero Loading... 9. Which of the following pairs of commodities is an example of substitutes?A. Pen and ink B. Shirt and trousersC. Tea and sugar D. Tea and coffee Loading... 10. Total utility is maximum when?A. Marginal utility is at its highest point B. Average utility is maximumC. Marginal utility is zero D. Marginal utility is equal to average 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 05 Preparation OnlineDemand and Supply Mcqs Test 03 Preparation OnlineDemand and Supply Mcqs Test 02 Preparation Online Continue Reading Previous Demand and Supply Mcqs Test 04 Preparation OnlineNext Demand and Supply Mcqs Test 07 Preparation Online Leave a Reply Cancel replyYour email address will not be published. Required fields are marked *Comment * Name * Email * Website Δ