Quiznetik
Micro economics 2 | Set 5
1. When there are only two sellers, the market is called as:
A. Oligopoly
B. Monopsony
C. Duopoly
D. Bilateral monopoly
Correct : C. Duopoly
2. Perfect competition is a market situation under which a commodity is sold at:
A. Uniform price
B. Different price
C. Higher price
D. Lower price
Correct : A. Uniform price
3. The demand curve of a firm under perfect competition is :
A. Inelastic
B. Perfectly inelastic
C. Infinitely elastic
D. Unitary elastic
Correct : C. Infinitely elastic
4. The price of a commodity under the perfect competition is determined by:
A. Buyer
B. Seller
C. Firm
D. Market forces
Correct : D. Market forces
5. Equilibrium literally means:
A. Balance
B. Imbalance
C. Change
D. None of these
Correct : A. Balance
6. The price at which the demand and supply are equal is called:
A. Normal price
B. Support price
C. Equilibrium price
D. Fair price
Correct : C. Equilibrium price
7. Cost of advertisement and salesmanship is called:
A. Sales cost
B. Selling cost
C. Dual price
D. None of these
Correct : B. Selling cost
8. Price leadership is a feature of:
A. Monopoly
B. Oligopoly
C. Duopoly
D. Monopolistic Competition
Correct : B. Oligopoly
9. The market situation characterized by one buyer is:
A. Monopsony
B. Monopoly
C. Bilateral monopoly
D. Oligopsony
Correct : A. Monopsony
10. Under the Perfect competition, products are:
A. Heterogeneous
B. Homogenous
C. Semi-homogeneous
D. All of these
Correct : B. Homogenous
11. The demand curve of Monopoly firm is ----------slopped.
A. Downward
B. Upward
C. Positively
D. None of these
Correct : A. Downward
12. The payment given to the factor labour is known as:
A. Rent
B. Wage
C. Interest
D. profit
Correct : B. Wage
13. The demand for a factor of production is:
A. Derived
B. Direct
C. Indirect
D. None of these
Correct : A. Derived
14. Monopoly is:
A. Presence of competition
B. Absence of competition
C. Both A & B
D. None of these
Correct : B. Absence of competition
15. A monopolist is a:
A. Price taker
B. Price maker
C. Policy maker
D. All of these
Correct : B. Price maker
16. Long run equilibrium price is also called:
A. Normal price
B. Abnormal price
C. Market price
D. Just price
Correct : A. Normal price
17. Under perfect competition:
A. AR and MR are identical
B. AR is greater than MR
C. MR is lower than AR
D. None of these
Correct : A. AR and MR are identical
18. Firm and industry are the same under:
A. Perfect competition
B. Oligopoly
C. Monopoly
D. Duopoly
Correct : C. Monopoly
19. Kinked demand curve is found under:
A. Monopoly
B. Oligopoly
C. Perfect competition
D. Duopoly
Correct : B. Oligopoly
20. The point at which the firm covers its variable cost is called:
A. Point of Inflexion
B. Equilibrium
C. Shut down
D. None of these
Correct : C. Shut down
21. The equilibrium price in the short period is called:
A. Normal price
B. Abnormal price
C. Market price
D. Bogus price
Correct : C. Market price
22. Cartel is one form of:
A. Monopoly
B. Duopoly
C. Collusive oligopoly
D. Non-collusive oligopoly
Correct : C. Collusive oligopoly
23. Competition “among the few” is often called as:
A. Duopoly
B. Perfect competition
C. Bilateral monopoly
D. Oligopoly
Correct : D. Oligopoly
24. The equilibrium point in game theory is called:
A. Prisoner’s dilemma
B. Break-even point
C. Saddle point
D. Shut down point
Correct : C. Saddle point
25. Equilibrium in the Cournot Model of Duopoly is:
A. Unstable
B. Stable
C. Undefinable
D. None of these
Correct : B. Stable
26. The book ‘Theory of Monopolistic Competition’ is written by:
A. J.Robinson
B. J.M. Keynes
C. Adam Smith
D. E. Chamberlin
Correct : D. E. Chamberlin
27. ‘ The Economics of Imperfect Competition’ is written by;
A. J.Robinson
B. J.M. Keynes
C. Adam Smith
D. E. Chamberlin
Correct : A. J.Robinson
28. The Theory of Glut is the contribution of:
A. Ricardo
B. Malthus
C. J.S. Mill
D. Adam Smith
Correct : B. Malthus
29. ‘Production of commodities by means of commodities’ is related to:
A. Karl Marx
B. Kaldor
C. Steedman
D. Piero Sraffa
Correct : D. Piero Sraffa