How are land and natural resources usually classified in economics?
Correct answer B. Non-producible
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Economics MCQs
Page 15 of Economics multiple-choice questions with answers. Tap an option to check yourself.
Page 15 of 131
- Miscellaneous Economics 737
- Basic of Economics 430
- Markets, Efficiency And The Public Interest 167
- Agriculture & Irrigation System of Pakistan 126
- Market 87
- Macroeconomic Issues and Analysis 75
- Money, Interest Rates And Output 73
- Introduction To Economics 70
- Population And Development 62
- Profit Maximizing Under Perfect Competition And Monopoly 56
- Income Inequality 52
- Non-Tariff Trade Barriers 48
- Aggregate Supply, Unemployment And Inflation 45
- Natural Resources and the Environment Toward Sustainable Development 44
- Costs , Supply And Perfect Competition 44
- Human Capital 42
- Labour Market 39
- Monopoly 35
- Long Term Economic Growth 30
- Inflation & Productivity 30
- Regional Trading Arrangements 29
- Characteristics and Institutions of Developing Countries 24
- Oligopoly 23
- Consumer Theory vs. Real Consumers 20
- Applied Microeconomics 20
- Alternative Theories Of The Firm 20
- Public Goods 20
- Balance of Payments, Aid and Foreign Investment 19
- Prices, Wages & Taxes 19
- Comparative GDP 19
- Budget Deficits And The Trade Balance 18
- Macroeconomic Policy Tools 18
- Asymmetric Information 17
- Application of Economics 16
- Production Factors 16
- Monopoly & Competition 15
- Capital Formation, Investment Choice, Information Technology, And Technical Progress 15
- Monetary, Fiscal And Incomes Policy, And Inflation 15
- Average And Total Cost 14
- Poverty, Malnutrition, And Income Inequality 12
- Monetary Union 10
Air pollution from car exhausts and water pollution from steel plants are examples of what?
Correct answer A. Negative externalities
When a government taxes polluters or adds a surcharge to pesticide use, what is it doing?
Correct answer C. Internalization of negative spillover effects
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Which country holds roughly 25 percent of the world’s estimated oil reserves, has the lowest production costs and plays a dominant role in OPEC pricing?
Correct answer D. Saudi Arabia
Consider these possible effects of growth in the booming export sector: I. It reduces the price of foreign exchange. II. It slows other sectors’ growth by reducing incentives to export other goods. III. It reduces incentives to substitute domestic goods for imports. IV. It raises factor and input prices for non-booming sectors. Which of them does Michael Roemer’s three-sector model identify?
Correct answer D. I, II, III and IV
Coase’s theorem states that, if property rights are clearly defined and legally enforceable and transaction costs are not prohibitive, what will happen?
Correct answer D. Participants will organize their transactions
Many environmental resources are public goods. What characterises a public good?
Correct answer B. Non-rivalry and non-exclusion in consumption
What is the greenhouse effect?
Correct answer C. The Earth’s atmosphere traps infrared radiation
According to the Club of Rome study The Limits to Growth, what happens as natural resources run down?
Correct answer D. Costs rise, leaving less capital for future investment
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What does gross national product equal?
Correct answer C. Gross Domestic Product plus net property income from abroad
What happens to economic growth in a recession?
Correct answer D. Growth is negative
What does GDP plus net property income from abroad equal?
Correct answer B. GNP
How is GDP at market prices adjusted to GDP at factor cost?
Correct answer D. Deduct indirect taxes and add subsidies
Which of these is an example of a transfer payment?
Correct answer A. Unemployment benefits
Which of the following would be excluded from UK GDP for 2005?
Correct answer D. All of the things mentioned in these answers should be counted in 2005 GDP
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In contrast with gross national product, what does Pakistan’s gross domestic product measure?
Correct answer B. People and factories located within the borders of Pakistan
If nominal GDP in 2005 is higher than in 2004, what can be concluded about output?
Correct answer C. It may have risen, fallen or stayed the same, because there is not enough information to determine what happened to real output
Which of the following is included in GDP?
Correct answer B. Consulting services
If Pakistan’s GDP is greater than its GNP, what does this mean?
Correct answer A. Foreigners are producing more in Pakistan than Pakistanis are producing in foreign countries
You buy a Rs 40,000 BMW in Pakistan that was made entirely in Germany. How is this purchase recorded in Pakistan’s GDP accounts?
Correct answer A. Consumption increases by Rs 40,000 and net exports decrease by Rs 40,000