Economics MCQs

A. Increasing average cost curve, marginal cost lies above average cost
B. Increasing average cost curve, marginal cost lies below average cost
C. Decreasing average cost curve marginal cost lies above average cost
D. Decreasing average cost curve, marginal cost lies below average cost

A. complements
B. inferior goods
C. normal goods
D. none of these answers

A. None of these answers
B. Increases the quantity supplied of that good
C. Increase the supply of that good
D. Decrease the demand for the good

A. Private costs, private benefits
B. Private costs, social costs or benefits
C. Social costs, social benefit
D. Insiders, outsiders

A. Externalities
B. The free-rider problem
C. A and b
D. A and c

A. Private good
B. Merit good
C. Public good
D. Abundant good

A. Imperfect competition popular
B. Externalities , distortionary
C. Inequality , a first best option
D. Poor health, unnecessary

A. Marginal costs, marginal benefits
B. Demand, supply
C. Marginal cost, marginal revenue
D. Marginal cost, average cost

A. Reduce , reduce
B. Increase, increase
C. Increase, reduce
D. Reduce, increase

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