📊Economics MCQs
Economics MCQs
451 MCQs21
Between 1990 and 1999 car ownership per thousand of the population fell in ?
ASpain
BBelgium
CUSA
DUK
22
Economists use the term regulatory capture to mean a situation where the private sector firms being regulated ?
APersuade the regulator to operate in the industry’s interests
BPersuade the regulator to act in the firms interests.
CBribe the regulator.
DPersuade the government to change the regulatory regime.
23
In the country X it is now becoming possible to buy electricity from a gas company and gas from an electricity company. This is called ?
Aderegulation
Bmaking markets contestable
Cnatural monopoly.
Dcross-subsidization.
24
De-regulation is where the government ?
Aremoves barriers to entry
Bimposes higher standards of conduct
Cremoves barriers to entry and minimum product quality standards
Dbreaks up private sector monopolies.
25
Points on the production possibilities frontier are ?
Ainefficient
Bnormative
Cunattainable
Defficient
26
Which of the following is not a factor of production ?
Alabor
Bland
Cmoney
Dcapital
27
Which of the following is most likely to produce scientific evidence about a theory ?
AA lawyer employed by Renault addressing the impact of air bags on passenger safety.
BAn economist permanently employed at a leading university analyzing the impact of bank regulations on lending to small businesses
CAn economist employed by the Trades union congress doing research on the impact of trade policy on workers’ wages
DA radio talk show host collecting data from listeners on how capital markets respond to taxation
28
In which of the following cases is the assumption most reasonable ?
ATo address the impact to taxes on income distribution an economist assumes that everyone earns the same income.
BTo address the impact of money growth on inflation, an economist assumes that money is strictly coins.
CTo model the benefits of trade. an economist assumes that there are two people and two goods
DTo estimate the speed at which a beach ball falls, a physicist assumes that if falls in a vacuum.
29
Economic models are ?
AUsually made of wood and plastic
Bbuilt with assumptions.
Cuseless if they are simple.
Dcreated to duplicate reality.
30
Which of the following statements regarding the circular-flow diagram is true ?
AIf Susan works for BAe Systems and receives a salary payment, the transaction takes place in the market for good and services.
BIf BAe Systems sells a military aircraft, the transaction takes place in the market for factors for production
CNone of these
DThe factors of production are owned by households