Solved Past Papers MCQs of Lecturer Economics for the preparation of NTS, PPSC, SPSC, BPSC, KPSC, FPSC, OTS, and other academic entry tests and jobs tests.
76. The utility possibility curve shows the level of satisfaction
A) Two consumers
B) Three consumer
C) Both A & B
D) None of these
77. Both the consumer in the economy are in equilibrium when MRS
A) Differ
B) Falls
C) Same
D) Rises
78. The invisible hand refers to
A) Unseen govt. control of the economy
B) The power of large corporations
C) Intangible goods produced in the country
D) The unseen coordination of market economics by the price system
79. Tall, slender athletes play basketball while shorter, huskier ones play football because of
A) The law of diminishing returns
B) The law of increasing costs
C) The law of comparative advantage
D) The law of decreasing cost
80. An increase in supply shifts the supply curve
A) Upward
B) To the right
C) To the left
D) Up and to the left
81. An effective price ceiling usually results in
A) Excess demand
B) Excess supply
C) A new equilibrium at a lower-priced
D) A decrease in demand
82. The cross-price elasticity of demand for orange juice with respect to the price of apple juice probably
A) Negative
B) Near infinity
C) Zero
D) Positive
83. For a few products such as insulin for diabetes, within a range of prices
A) The demand curve can be upward sloping
B) The supply curve can be upward sloping
C) The supply curve could not be upward sloping
D) It is not possible to calculate either demand or supply elasticities
84. The slope of the indifference curve at any point reflects
A) Income level
B) Prices
C) Utility level
D) Marginal rate of substitution
85. Philips curve shows the relationship between prices and
A) Wages
B) Costs
C) Inflation
D) Unemployment
86. The economic models are consisted of
A) A statement and assumption
B) Hypothesis
C) Predictions
D) All of these
87. The situation of a single buyer and single seller is called
A) Monopoly
B) Multi plant monopolise
C) Bilateral monopoly
D) Price discrimination
88. In the Cournot model each firm makes decisions regarding
A) Price
B) Output
C) Cost
D) Input
89. According to Classical Theory utility
A) Can not be expressed in number
B) Can be expressed in number
C) Can be tanked
D) None of these
90. The law of diminishing marginal utility will be applicable If the good in use is
A) Interior
B) Giffen
C) Superior
D) Same
91. In the case of complementary goods ass indifference curve can be
A) Convex
B) Concave
C) Straight line
D) L-Shaped
92. Which of the following models makes the assumption of a constant saving income ratio
A) Kaldur model
B) Leontief model
C) Harrod Domar model
D) John Robinson model
93. Which of the following was given a central place by Schumpeter in his theory of development
A) Capital accumulation
B) Role of the govt.
C) Need for balanced growth
D) Role of innovations
94. Who coined the phrase ‘demonstration effect’
A) Ristow
B) G. Myrdal
C) James Duessenberry
D) R. Nurkse
95. The capital-output ratio is determined by
A) Sectoral allocation of capital
B) Level of economic activity
C) Human and natural resources
D) All of these
96. An ISO – Product curve slopes
A) Downward to the left
B) Downward to the right
C) Upward to the left
D) Upward to the right
97. The classical and neo-classical theories of consumption and firm behavior are based upon
A) Certainty
B) Uncertainty
C) Neutrality
D) Preference
98. Largest part of National income is
A) Consumption
B) Investment
C) Saving
D) Transfer payments
99. Convertible money means
A) It can buy goods
B) Govt. can give gold against it
C) Illegal money
D) Low-value money
100. Which of the following is not a factor that enhances an economy’s growth potential
A) Increasing levels of investment
B) An adequate propensity to save
C) Relatively high levels of training among the labor force
D) New technologies
