43
If demand increases without a change in supply, equilibrium price and quantity will
- A. remain unchanged
- B. shift inward
- C. fall
- D. rise
44
If the demand for one commodity excludes another, it is said to be
- A. complementary demand
- B. competitive demand
- C. composite demand
- D. derived demand
45
A consumer surplus measures the
- A. benefits derived from consuming a cheap commodity
- B. excess of total expenditure over total uility
- C. difference between marginal utility and marginal cost
- D. excess of marginal utility over price
46
Demand patterns are determined by the market on the basis of
- A. scale of preference
- B. consumer sovereignty
- C. cosumer rationality
- D. price of the commodity
47
A major disadvantage of the arithmetic means is that it is
- A. not useful for large data
- B. not suitable for further statistical analysis
- C. cumbersome to determine the actual value
- D. affected by extreme data
48
One`of the limitations PPC assumption is that there is
- A. no indication of technological development
- B. no recognition of preferred goods for countries
- C. technical inefficiency
- D. abundant resources
49
An effective way of controlling inflation in a mixed economy is to
- A. increase productivity
- B. reduce income tax
- C. ration available output
- D. increase imports