Question 1 of 8production possibility curve
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The diagram shows an economy's production possibility curve. What is the effect on present and future total output of a move from Z to…
The table shows national income, rates of population and inflation changes for countries A, B, C and D. Which country, A, B, C or D…
The diagram shows supply curves for commodity X. The shift of the supply curve from S_1 to S_2 could be caused by
The diagram represents the market for maize. What might shift S_1 to S_2?
What is the opportunity cost to a fully employed economy of increasing capital investment?
Which characteristic applies to a mixed economy?
In a capitalist society, the economic problem of 'what goods' shall be produced is solved primarily by
The quantity supplied is
The price system allocates resources through interaction of demand and supply forces. Which one is not a function of prices?
Which of the following statements is correct?
The price of a product rises from 18 000 to 22 000 and demand falls from 4 000 to 3 000. Calculate the coefficient of the price elasticity…
In dam construction, which one is an externality?
In a typical demand schedule, quantity demanded
The short-run supply curve of a perfectly competitive firm is the
A municipal authority budget included construction of non-income generating facilities not taken up by the private sector. Such facilities…
The diagram shows the market demand for red meat. The movement from D_1 to D_2 can be the result of
What is marginal revenue?
Allocative efficiency is realised when
The diagram shows an economy's production possibility curve. What is the effect on present and future total output of a move from Z to…
The diagram shows supply curves for commodity X. The shift of the supply curve from S_1 to S_2 could be caused by
The diagram represents the market for maize. What might shift S_2 to S_1?
The diagram shows the market demand for red meat. The movement from D_1 to D_2 can be the result of
What is the opportunity cost to a fully employed economy of increasing capital investment?
In a capitalist society, the economic problem of 'what goods' shall be produced is solved primarily by
The quantity supplied is
Which of the following statements is correct?
The price of a product rises from 18 000 to 22 000 and demand falls from 4 000 to 3 000. Calculate the coefficient of the price elasticity…
In a typical demand schedule, quantity demanded
The short-run supply curve of a perfectly competitive firm is the
The diagram shows the market demand and supply of a commodity. Where price is set by government,
What is marginal revenue?
A stable equilibrium position is one in which
To minimize loss, a firm must produce that output which
By saying a good has utility, it means
Which of the following is the payment to a factor of production over and above that necessary to keep the factor in its present use?
Marginal utility is the
In a planned (command) economy, decisions about what to produce, how to produce it, and for whom it is produced are made primarily by...
In a planned (command) economy, decisions about what, how, and for whom to produce are made primarily by...
State the term for an economic system in which decisions about what to produce and at what price are made through the interaction of buyers…
Which theory of wage differentials explains that a worker's wage reflects the value of their marginal contribution to a firm's output?
Opportunity cost is best defined as...
What is meant by the basic economic problem of scarcity?
In a free market economy, resources are primarily allocated through which of the following?
State the term for the mechanism that allocates resources in a market economy through the interaction of supply and demand, rather than…
In discussions of the costs and benefits of firm size, 'diseconomies of scale' refers to which of the following?
Allocative efficiency in an economy is achieved when...
In economics, the basic economic problem describes a situation in which...
The principle stating that as a consumer consumes successive additional units of a good, the extra utility gained from each additional unit…
National income comparisons between countries are often adjusted for differences in relative price levels and the cost of living, using an…
Which characteristic distinguishes a public good, such as street lighting or national defence, from a private good?
State the economic theory of wage differentials which holds that workers who invest more in their own education, training and skills earn…
Economic systems must answer three basic economic questions. 'What to produce' and 'how to produce' are two of them. State the third.
Which of the following factors makes the demand for a good more price elastic (more responsive to a change in price)?
Agricultural produce generally has price inelastic demand. If a bumper harvest sharply increases the supply of a crop and its price falls…