(A) Decrease in demand
(B) Increase in demand
(C) Contraction in demand
(D) Expansion in demand
Tag: Economics Mcqs With Answers
When same units are demanded at a higher price, it shows:
(A) Decrease in demand
(B) Increase in demand
(C) Expansion in demand
(D) Contraction in demand
Contraction of demand is shown by:
(A) Upward movement on the demand curve
(B) Downward movement on the demand curve
(C) Rightward shift of the demand curve
(D) Leftward shift of the demand curve
Law of demand does not hold in case of:
(A) Conspicuous goods
(B) Expectation of price rise
(C) Emergency
(D) All of the above
Factor which affects market demand but not individual demand can be:
(A) Distribution of income
(B) Number of consumers in the market
(C) Age and sex composition of population
(D) All of the above
Veblan good is:
(A) Consumed by very high income group
(B) Good of status
(C) Like diamonds
(D) All of the above
Giffen good is:
(A) One with high negative income elasticity of demand
(B) A inferior good
(C) Consumed by low-paid workers
(D) All of the above
Substitution effect states that as price of a good falls, demand rises because there is rise in?
(A) Real income
(B) Money income
(C) Relative price of other goods
(D) Marginal utility