What do all points on a production possibilities curve represent?
Correct answer A. Productive efficiency
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Agriculture MCQs
Page 9 of Agriculture multiple-choice questions with answers. Tap an option to check yourself.
Page 9 of 135
Which branch of economics examines the desirability of certain aspects of the economy?
Correct answer B. Normative
What is the amount of other goods that must be given up to obtain one unit of a particular good called?
Correct answer C. Opportunity cost
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Why is the production possibility curve concave to the origin?
Correct answer C. It reflects the law of increasing opportunity cost
Which branch of economics avoids value judgements and concentrates on facts?
Correct answer A. Positive economics
Which branch of economics studies an individual economic unit or a very small segment of the economy in detail?
Correct answer A. Microeconomics
What is a meaningful statement about economic behaviour or the economy called?
Correct answer A. Both
What is the analytical approach that moves from facts to theory, or from the particular to the general, called?
Correct answer B. Induction
Which pay arrangement gives workers part of their earnings as a share of the employer’s profits?
Correct answer C. Profit sharing plan
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What is the minimum price that the government allows sellers to receive for a good or service called?
Correct answer C. Support price
In which market do firms sell products that households buy?
Correct answer A. Product market
What is an institution or mechanism that brings buyers and sellers together called?
Correct answer B. Market
What is the value of a firm’s product minus the value of the inputs it bought and used to make it called?
Correct answer B. Value added
What term describes the percentage of the labour force that is unemployed at a given time?
Correct answer A. Unemployment rate
What is a government payment of money, goods or services to a household or firm, for which nothing is directly received in return?
Correct answer D. Transfer payment
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What is a nation’s export of goods (or goods and services) minus its imports of goods (or goods and services) called?
Correct answer C. Trade Balance
What is a compulsory payment of money to the government by a household or firm, for which no good or service is directly received in return?
Correct answer C. Tax
Which economic system has privately owned property resources and uses markets and prices to direct and coordinate economic activity?
Correct answer A. Pure capitalism
What is a physical establishment that carries out one or more functions in producing, fabricating or distributing goods and services called?
Correct answer C. Plant
What is a legally fixed maximum price for a good or service called?
Correct answer B. Ceiling price