MCQsDrive | MCQsDrive

Economics Mcqs 4423 MCQs [All-Courses]

Economics MCQs cover fundamental concepts of microeconomics and macroeconomics, including demand and supply, inflation, national income, and economic policies.
This section is designed to strengthen analytical skills and conceptual understanding for competitive examinations.
Highly useful for PPSC, FPSC, NTS, OTS, KPPSC, and other testing services preparation.

If two firms doing the same thing in the same industry join together, this is known as a ?

A vertical merger

B horizontal merger

C conglomerate merger

D hostile takeover

Review Detailed Answer

Correct Answer: horizontal merger

The social costs of monopoly power arises because ?

A marginal cost is set equal to marginal revenue

B price is less than marginal cost

C marginal consumer benefit is less than marginal revenue

D there is too little output at too high a cost

Review Detailed Answer

Correct Answer: there is too little output at too high a cost

The effect of a tax to offset a negative externality will be to price and __ quantity?

A reduce , reduce

B increase, increase

C increase, reduce

D reduce, increase

Review Detailed Answer

Correct Answer: increase, reduce

Taxes creates a wedge between the sales price and purchase price that prevents the price system equating and __?

A marginal costs, marginal benefits

B demand, supply

C marginal cost, marginal revenue

D marginal cost, average cost

Review Detailed Answer

Correct Answer: marginal costs, marginal benefits

Except for taxes to offset taxes are ?

A imperfect competition popular

B externalities , distortionary

C inequality , a first best option

D poor health, unnecessary

Review Detailed Answer

Correct Answer: externalities , distortionary

If the consumption of good by one person does not reduce the quantity available by others and nobody can be easily excluded from consumption, we are referring to a ?

A Private good

B merit good

C public good

D abundant good

Review Detailed Answer

Correct Answer: public good

Markets sometimes fail to exist because of________?

A externalities

B the free-rider problem

C a and b

D a and c

Review Detailed Answer

Correct Answer: a and b

Externalities arise because there is a divergence between and _?

A private costs, private benefits

B private costs, social costs or benefits

C social costs, social benefit

D insiders, outsiders

Review Detailed Answer

Correct Answer: private costs, social costs or benefits

The allocation of resources is not efficient if ?

A the marginal cost of production does not equal society’s marginal benefit

B the distribution is inequitable

C economic growth is low

D unemployment is high

Review Detailed Answer

Correct Answer: the marginal cost of production does not equal society’s marginal benefit

We cannot say whether one allocation of resources is better than another allocation because ?

A some people can’t count

B some people may not be permanent resident

C not all economic activity is legal

D We can’t make value judgments to compare different people’s welfare

Review Detailed Answer

Correct Answer: We can’t make value judgments to compare different people’s welfare

Showing 51 to 60 of 83 results

Contact Info

Economics Mcqs 4423 MCQs [All-Courses]

All Topics 4423

All Topics 4423

If two firms doing the same thing in the same industry join together, this is known as a ?

The social costs of monopoly power arises because ?

The effect of a tax to offset a negative externality will be to price and __ quantity?

Taxes creates a wedge between the sales price and purchase price that prevents the price system equating and __?

Except for taxes to offset taxes are ?

If the consumption of good by one person does not reduce the quantity available by others and nobody can be easily excluded from consumption, we are referring to a ?

Markets sometimes fail to exist because of________?

Externalities arise because there is a divergence between and _?

The allocation of resources is not efficient if ?

We cannot say whether one allocation of resources is better than another allocation because ?

Contact Info

Economics Mcqs 4423 MCQs [All-Courses]

All Topics 4423

All Topics 4423

If two firms doing the same thing in the same industry join together, this is known as a ?

The social costs of monopoly power arises because ?

The effect of a tax to offset a negative externality will be to ____ price and ______ quantity?

Taxes creates a wedge between the sales price and purchase price that prevents the price system equating ____ and ______?

Except for taxes to offset ______ taxes are ______?

If the consumption of good by one person does not reduce the quantity available by others and nobody can be easily excluded from consumption, we are referring to a ?

Markets sometimes fail to exist because of________?

Externalities arise because there is a divergence between ________ and _________?

The allocation of resources is not efficient if ?

We cannot say whether one allocation of resources is better than another allocation because ?

The effect of a tax to offset a negative externality will be to price and __ quantity?

Taxes creates a wedge between the sales price and purchase price that prevents the price system equating and __?

Except for taxes to offset taxes are ?

Externalities arise because there is a divergence between and _?