#1
Which of the following is NOT a characteristic of a perfectly competitive market?
Many buyers and sellers
Homogeneous products
Price control by a single firm
Free entry and exit
#2
Gross Domestic Product (GDP) measures:
Total value of goods and services produced in a country
Total value of goods and services consumed in a country
Total profit generated by businesses in a country
Total number of employed individuals in a country
#3
What is the primary goal of fiscal policy?
Stabilize prices
Maximize employment
Promote economic growth
Maintain balance of payments
#4
Which of the following is a tool of monetary policy?
Taxation
Government spending
Open market operations
Subsidies
#5
Which of the following is a characteristic of oligopoly?
Many sellers, identical products
Few sellers, similar products
One seller, unique product
Many buyers, differentiated products
#6
Which of the following is a characteristic of monopolistic competition?
Many sellers, similar products
Few sellers, differentiated products
One seller, unique product
Many sellers, identical products
#7
What is the term for the situation where a firm reduces the price of a product to drive its competitors out of business and then raises the price back up to enjoy high profits?
Predatory pricing
Monopolistic pricing
Collusive pricing
Price discrimination
#8
What is the 'Phillips Curve' in economics?
A curve representing the relationship between unemployment and inflation
A curve representing the relationship between interest rates and investment
A curve representing the relationship between government spending and economic growth
A curve representing the relationship between consumer spending and disposable income
#9
Which of the following best describes the 'Laffer Curve'?
A curve illustrating the relationship between trade and economic growth
A curve representing the relationship between government revenue and tax rates
A curve illustrating the relationship between inflation and unemployment
A curve representing the relationship between supply and demand
#10
Which of the following is a measure of income inequality?
Gini coefficient
Consumer Price Index (CPI)
Producer Price Index (PPI)
Gross Domestic Product (GDP)
#11
Which of the following is NOT a component of the Human Development Index (HDI)?
Life expectancy at birth
Gross National Income (GNI) per capita
Adult literacy rate
Income inequality
#12
What is the term for a situation where a country can produce a good at a lower opportunity cost than another country?
Absolute advantage
Comparative advantage
Trade deficit
Balance of payments
#13
Which of the following is NOT a component of the Aggregate Demand (AD) curve?
Consumption
Investment
Government spending
Labor supply
#14
What is the term for a situation where an increase in the price of one good leads to a decrease in the quantity demanded of another good?
Substitution effect
Income effect
Demand-side effect
Supply-side effect
#15
What is the term for a situation where the marginal cost of production decreases as output increases?
Increasing returns to scale
Constant returns to scale
Diminishing returns to scale
Economies of scale