Economics MCQs

A. £35

B. £15

C. £30

D. £60

A. In the long run, the unemployment rate returns to the natural rate, regardless of inflation

B. Unemployment is always below the natural rate

C. Unemployment is always above the natural rate

D. Unemployment is always equal to the natural rate

A. Laissez-faire

B. The invisible hand

C. Free trade policy

D. Competitive markets

A. Cost ratios are different

B. Tariff rates are different

C. Price ratios are different

D. A and C are correct

A. The tax burden generated from a tax placed on a good consumer perceives to be a necessity will fall most heavily on the sellers of the good

B. The burden of a tax falls on the side of the market (buyers or sellers) from which it is collected

C. The distribution of the burden of a tax is determined by the relative elasticities of determined by legislation.

D. The tax burden falls most heavily on the side of the market (buyers and sellers) that is most willing to leave the market when price movements are unfavorable to them.

A. Where no export duties are levied

B. Where no import duties are levied

C. Where no export or import duties are levied

D. Where everything can be import or export

A. Lower

B. Higher

C. About the same height

D. None of the above

A. LDCs are overpopulated

B. labor contributes nothing to output in LDCs

C. The marginal products of labor are closed to zero in LDCs

D. Urban unemployment is high in LDCs

A. Consumption investment exports

B. Investment exports transfer payments

C. Investment government expenditure exports

D. Taxes exports, transfer payments

A. a shortage or a surplus depending on whether the price ceiling is set above or below the equilibrium price

B. a surplus

C. a shortage

D. an equilibrium