ECO401 Solved Quiz Mega File Chapters 1-40 by Cute Killer

Q4. of 15 ( Start time: 08:39:37 PM ) Total Marks: 1

Real GDP is equal to:

Nominal GDP – Inflation. Nominal GDP + Inflation. Nominal GDP / Inflation. Inflation / Nominal GDP.

Q5. of 15 ( Start time: 08:40:02 PM ) Total Marks: 1

The relationship between consumer spending and income is known as the:

45-degree line. Consumption function. Investment function. Consumer price index.

Q6. of 15 ( Start time: 08:41:00 PM ) Total Marks: 1 Overestimation of national product in national income calculations is known as:

Lack of effective demand effect. Distortion effect. Double counting effect.

Q7. of 15 ( Start time: 08:41:25 PM ) Total Marks: 1

When we study market equilibrium, the primary influencing variable on production and purchasing decisions is:

Price. Cost of production. The overall state of the economy. Consumer’s income.

Q= a – b P represents equation of Supply function Demand function Labor supply function Market demand function

Q9. of 15 ( Start time: 08:44:05 PM ) Total Marks: 1

When producers are unable to meet market demand for the product, this results as:

Surplus of goods Market failure Monopoly Shortage of good

sec(s)

Q10. of 15 ( Start time: 08:44:37 PM ) Total Marks: 1

If the quantity demanded of mangoes exceeds the quantity supplied of mangoes:

There is a surplus of mangoes.

Q11. of 15 ( Start time: 08:45:10 PM ) Total Marks: 1

The slope of the consumption function (or line) is the:

Average propensity to save. Average propensity to consume. Marginal propensity to save. Marginal propensity to consume.

Q12. of 15 ( Start time: 08:45:29 PM ) Total Marks: 1

The law of diminishing marginal utility states:

The supply curve slopes upward. Your utility grows at a slower and slower rate as you consume more and more units of a good. The elasticity of demand is infinite. None of the given options.

Q13. of 15 ( Start time: 08:46:00 PM ) Total Marks: 1

If the quantity demanded of computers exceeds the quantity supplied of computers:

There is a surplus of computers.

Q14. of 15 ( Start time: 08:46:44 PM ) Total Marks: 1

An increase in the total output of a country over time is called

Economic development Economic growth Financial growth None of the given options

Q15. of 15 ( Start time: 08:47:11 PM ) Total Marks: 1

Keeping in view the model of aggregate supply and aggregate demand, in the long run, a decrease in the money supply should cause:

Both prices and output to rise. Both prices and output to fall. Prices to rise and output to remain unchanged. Prices to fall and output to remain unchanged.