40 economic mcq (a++++++) | Economics homework help

Question

Question 1

A frozen meals agency buys a current meals agency. This takeover is an occasion of:

vertical integration

horizontal integration

cointegration

conglomerate integration

Question 2

Which of the subsequent is true?

A monopolist produces on the inelastic portion of its demand

A monopolist on a regular basis earns an monetary income

The additional inelastic the demand, the nearer marginal earnings is to price

Inside the temporary run, a monopoly will shut down if P < AVC

Question three

A company has a marginal worth of $20 and costs a worth of $40. The Lerner index for this company is

zero.20

zero.50

zero.33

zero.75

Question 4

Which of the subsequent is an occasion of monopoly?

Shoe enterprise within the US

Native utility enterprise in a small metropolis

Newspaper enterprise in New York Metropolis

Bread enterprise in New York Metropolis

Question 5

The recipe that defines the utmost amount of output which may be produced with Okay fashions of capital and L fashions of labor is the:

Manufacturing function.

Technological constraint.

Evaluation and progress schedule.

Complete product

Question 6

Which of the subsequent is NOT a measure of market building?

Entry conditions

Four-firm focus ratio

Herfindahl-Hirschman index

Pricing conduct

Question 7

An electronics agency takes over one in every of its distinctive suppliers in a merger. That’s an occasion of:

vertical integration

horizontal integration

cointegration

conglomerate integration

Question eight

Pricing is a facet of a company’s:

effectivity

building

conduct

setting

Question 9

The doable approach of adjusting raw inputs similar to steel, labor, and tools into an output are summarized by:

Land.

Manufacturing.

Capital.

Know-how

Question 10

When economies of scale are huge, companies can reduce their widespread full worth by:

selling off their subsidiaries

merging into even greater companies

eliminating the bureaucratic costs

hiring expert managers

Question 11

Which of the subsequent should not be a measure of productiveness?

full product.

marginal product.

widespread selling.

input-output ratio

Question 12

The marginal worth curve

lies on a regular basis beneath the widespread full worth curve (ATC).

lies on a regular basis above the widespread variable worth curve (AVC).

intersects the ATC and AVC at their most components.

intersects the ATC and AVC at their minimal components

Question 13

Chris raises cows and produces cheese and milk on account of he enjoys:

economies of scale

economies of scope

worth complementarity

 

Not one of many options is true

Question 14

You are the supervisor of a company that sells its product in a aggressive market at a worth of $40. Your company’s worth function is C = 60 + 4Q2, .; Its MC = 8Q. The profit-maximizing output in your company is:

4

5

10

15

Question 15

Sunk costs are these costs that

do not fluctuate with out output.

are endlessly misplaced after they have been paid.

shall be collected even after they have been paid.

do fluctuate with output

Question 16

A splendidly aggressive company faces a:

utterly elastic demand function

utterly inelastic demand function

demand function with unitary elasticity

Not one of many options is true

Question 17

Which of the subsequent kinds of market building are NOT associated to market power?

Oligopoly

Wonderful opponents

Monopolistic opponents

Wonderful opponents and monopolistic opponents

Question 18

In accordance with the “ideas critique”:

the conduct of companies in an enterprise might affect the company’s effectivity

the conduct of companies in an enterprise might affect the market building

market building might affect the company’s conduct

Your entire statements associated to this question are proper

Question 19

You are a supervisor in a splendidly aggressive market. The worth in your market is $14. Your full worth curve is C(Q) = 10 + 4Q + zero.5Q2. What worth do you must price inside the temporary run?

$12

$14

$16

$18

Question 20

Economies of scale exist at any time when:

widespread full costs decline as output will improve

widespread full costs enhance as output will improve

widespread full costs are stationary as output will improve

widespread full costs enhance as output will improve and customary full costs are stationary as output will improve

Question 21

Which of the subsequent statements is NOT proper about monopoly?

A monopolist usually faces a downward-sloping demand curve

Monopolists on a regular basis make optimistic earnings in the long run

A monopoly might make unfavorable earnings inside the temporary run

There isn’t a such factor as a shut substitute for a monopoly’s product

Question 22

In a aggressive enterprise with an an identical companies, long-run equilibrium is characterised by:

P = AC

P = MC

MR = MC

Your entire statements associated to this question are proper

Question 23

Which of the subsequent is(are) basic attribute(s) of a splendidly aggressive enterprise?

Shoppers and sellers have wonderful data

There will not be any transaction costs

There’s free entry and exit out there available in the market

Your entire statements associated to this question are proper

Question 24

For the payment function C(Q) = 100 + 2Q + 3Q2 , the widespread fixed worth of producing 2 fashions of output is

100.

50.

three.

2

Question 25

The causal view of an enterprise is that:

market building causes companies to behave in a certain method

market effectivity causes companies to have a certain building

market effectivity causes companies to behave in a certain method

conduct causes companies to have a certain building

Question 26

Fixed costs exist solely in:

The long run.

Capital intensive markets. .

The temporary run.

Labor intensive markets

Question 27

Which of the subsequent choices is widespread to every utterly aggressive markets and monopolistically aggressive markets?

Companies produce homogeneous objects

There’s free entry

Prolonged-run earnings are zero

There’s free entry and long-run earnings are zero

Question 28

Which of the subsequent are measures of enterprise focus?

Four-firm focus ratio

HHI index

Shopper surplus

Four-firm focus ratio and HHI index

Question 29

Differentiated objects are NOT a attribute of a:

utterly aggressive market

monopolistically aggressive market

monopolistic market

utterly aggressive market and monopolistic market

Question 30

What is the price marginal product of labor if: P = $10, MPL = $25, and APL = 40?

$10,000.

$1,000.

$400.

$250

Question 31

Suppose the manufacturing function is given by Q = 3K + 4L. What is the widespread product of capital when 5 fashions of capital and 10 fashions of labor are employed?

three.

4.

11.

45

Question 32

The mixtures of inputs that produce a given diploma of output are depicted by:

Indifference curves.

Funds traces.

Iscost curves.

Isoquants

Question 33

Producer and consumer surpluses are measures of:

enterprise effectivity

market building

company conduct

Not one of many options are proper

Question 34

The ranking of industries by the four-firm focus ratio usually, nevertheless not on a regular basis, reveals the an identical pattern as ranking by HHI. When a discrepancy is found it is usually due to the next:

The four-firm focus index accommodates info on solely an important Four companies, whereas the HHI relies on info for all companies inside the enterprise

The HHI relies on squared market shares, whereas the four-firm focus ratio should not be

The four-firm focus index accommodates info on solely an important Four companies, whereas the HHI relies on info for all companies inside the enterprise and the HHI relies on squared market shares, whereas the four-firm focus ratio should not be.

The two indices are designed to measure two completely completely different attributes of markets

Question 35

For many who wish to open a retailer and you do not like hazard, it is perhaps wise to advertise:

solely common objects.

a mix of normal and inferior objects.

all inferior objects.

not one of many statements associated to this question are proper.

Question 36

In an effort to lower the worth of manufacturing a given diploma of output, a company supervisor ought to make use of further inputs when:

Its worth rises.

Its worth falls.

Its worth stays the an identical.

The worth of various inputs fall.

Question 37

What’s implied when the entire worth of producing Q1and Q2 collectively is decrease than the entire worth of producing Q1 and Q2 individually?

Economies of scale.

Diminishing widespread fixed costs.

Worth complementarity.

Economies of scope.

Question 38 

There isn’t a such factor as a market present curve in:

a splendidly aggressive market

a monopolistically aggressive market

a monopolistic market

monopolistically aggressive and monopolistic markets

Question 39

Complete product begins to fall when:

Marginal product is maximized.

Widespread product is beneath zero.

Widespread product is unfavorable.

Marginal product is zero.

Question 40

Completely the price of the slope of the isoquant is the:

Marginal payment of technical substitution.

Marginal product of capital.

Marginal payment of substitution.

Value marginal product of labor