A shift outward in supply curve will result in equilibrium price (a) increasing and quantity increasing ; (b) increasing and quantity decreasing ; (c) decreasing and quantity increasing ; (d) decreasing and quantity decreasing

A shift outward in supply curve will result in equilibrium price (a) increasing and quantity increasing ; (b) increasing and quantity decreasing ; (c) decreasing and quantity increasing ; (d) decreasing and quantity decreasing
by

1 Answer

Answer :

(c) decreasing and quantity increasing ;
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Related questions

If supply and demand both shift outward, but demand shifts outward more than supply, the equilibrium price (a) will increase and quantity will increase ; (b) will increase and quantity will decrease; (c) will decrease and quantity will decrease ; (d) will decrease and quantity will increase

Description : If supply and demand both shift outward, but demand shifts outward more than supply, the equilibrium price (a) will increase and quantity will increase ; (b) will increase and quantity will decrease; (c) will decrease and quantity will decrease ; (d) will decrease and quantity will increase

Last Answer : (a) will increase and quantity will increase ;

A reduction in the number of producers will result in equilibrium price (a) increasing and quantity increasing ; (b) increasing and quantity decreasing ; (c) decreasing and quantity increasing ; (d) decreasing and quantity decreasing

Description : A reduction in the number of producers will result in equilibrium price (a) increasing and quantity increasing ; (b) increasing and quantity decreasing ; (c) decreasing and quantity increasing ; (d) decreasing and quantity decreasing

Last Answer : (b) increasing and quantity decreasing ;

An improvement in technology would shift (a) the demand curve inward ; (b) the demand curve outward ; (c) the supply curve inward (d) the supply curve outward

Description : An improvement in technology would shift (a) the demand curve inward ; (b) the demand curve outward ; (c) the supply curve inward (d) the supply curve outward

Last Answer : (d) the supply curve outward

If a firms cost of raw material increases then (a) Market price of the final product will also increase (b) Equilibrium level of quantity also increases ; (c) Marginal cost curve will shift upward (d) Marginal cost curve will shift downward

Description : If a firms cost of raw material increases then (a) Market price of the final product will also increase (b) Equilibrium level of quantity also increases ; (c) Marginal cost curve will shift upward (d) Marginal cost curve will shift downward

Last Answer : ; (c) Marginal cost curve will shift upward

The individual demand and supply curve of a product are Dx = 12-2px, Sx=3+5px, where Px stand for price and Dx and Sc respectively stands for quantity demanded and quantity supplie(d) If there are 5000 consumers and 1000 suppliers for the product under question. What will be the equilibrium price (a) `4 ; (b) `5 ; (c) `3 ; (d) `4.5

Description : The individual demand and supply curve of a product are Dx = 12-2px, Sx=3+5px, where Px stand for price and Dx and Sc respectively stands for quantity demanded and quantity supplie(d) If there are 5000 consumers and 1000 suppliers ... be the equilibrium price (a) `4 ; (b) `5 ; (c) `3 ; (d) `4.5

Last Answer : ; (c) `3 ;

Change in cost of production of the concerned goods causes (a) The demand curve to shift ; (b) The supply curve to shift ; (c) Increase in quantity demanded; (d) Decrease in quantity supplied

Description : Change in cost of production of the concerned goods causes (a) The demand curve to shift ; (b) The supply curve to shift ; (c) Increase in quantity demanded; (d) Decrease in quantity supplied 

Last Answer : (b) The supply curve to shift ;

If price of Choco bar decreases we except (a) The quantity demanded to increase ; (b) Quantity demanded to decrease; (c) Demand curve to shift left ; (d) No change in quantity demanded

Description : If price of Choco bar decreases we except (a) The quantity demanded to increase ; (b) Quantity demanded to decrease; (c) Demand curve to shift left ; (d) No change in quantity demanded

Last Answer : (a) The quantity demanded to increase ; 

Change in price of the goods cause (a) Change in quantity demanded ; (b) Shift in demand curve ; (c) Change in price; (d) No effect on quantity demanded

Description : Change in price of the goods cause (a) Change in quantity demanded ; (b) Shift in demand curve ; (c) Change in price; (d) No effect on quantity demanded 

Last Answer : (a) Change in quantity demanded ;

Change in consumers tastes and preference causes – of the particular goods (a) Change in quantity demanded ; (b) Shift in demand curve ; (c) Change in price ; (d) No effect on quantity demanded

Description : Change in consumers tastes and preference causes – of the particular goods (a) Change in quantity demanded ; (b) Shift in demand curve ; (c) Change in price ; (d) No effect on quantity demanded

Last Answer : (b) Shift in demand curve ;

Shift in supply curve is cause by (a) Change in citrus paribus conditions ; (b) Increase in price; (c) Decrease in price ; (d) Change in consumer income

Description : Shift in supply curve is cause by (a) Change in citrus paribus conditions ; (b) Increase in price; (c) Decrease in price ; (d) Change in consumer income 

Last Answer : (a) Change in citrus paribus conditions ;

In a market economy equilibrium price is reached at (a) Point of interaction of aggregate demand and aggregate supply curve; (b) At the top of demand curve ; (c) Midpoint of demand curve ; (d) Midpoint of supply curve

Description : In a market economy equilibrium price is reached at (a) Point of interaction of aggregate demand and aggregate supply curve; (b) At the top of demand curve ; (c) Midpoint of demand curve ; (d) Midpoint of supply curve

Last Answer : (a) Point of interaction of aggregate demand and aggregate supply curve;

TVC curve begins to………with the onset of increasing returns (a) Rise at an increasing rate ; (b) Rise at an decreasing rate; (c) Fall at an Increasing rate ; (d) Stabilize

Description : TVC curve begins to………with the onset of increasing returns (a) Rise at an increasing rate ; (b) Rise at an decreasing rate; (c) Fall at an Increasing rate ; (d) Stabilize

Last Answer :  (b) Rise at an decreasing rate;

TVC curve begins to……….with the onset of diminishing returns (a) Rise at an Increasing rate ; (b) Rise at an decreasing rate; (c) Fall at an Increasing rate ; (d) Stabilize

Description : TVC curve begins to……….with the onset of diminishing returns (a) Rise at an Increasing rate ; (b) Rise at an decreasing rate; (c) Fall at an Increasing rate ; (d) Stabilize 

Last Answer : (a) Rise at an Increasing rate ; 

When a firm enters the law of diminishing returns to scale (a) TVC curve begins to fall at an increasing rate (b) TVC curve begins to increase at an increasing rate (c) TVC curve begins to fall at an decreasing rate (d) TVC curve begins to increase at an decreasing rate

Description : When a firm enters the law of diminishing returns to scale (a) TVC curve begins to fall at an increasing rate (b) TVC curve begins to increase at an increasing rate (c) TVC curve begins to fall at an decreasing rate (d) TVC curve begins to increase at an decreasing rate

Last Answer : (a) TVC curve begins to fall at an increasing rate 

Economic growth is best depicted by (a) Outward shift in PPF ; (b) Upward movement in PPF ; (c) Inward movement in PPF (d) Downward movement in PPF

Description : Economic growth is best depicted by (a) Outward shift in PPF ; (b) Upward movement in PPF ; (c) Inward movement in PPF (d) Downward movement in PPF

Last Answer : (a) Outward shift in PPF ; 

Long run supply curve of a decreasing cost industry is (a) Downward sloping curve ; (b) Upward sloping curve; (c) Straight line parallel to X axis ; (d) Straight line parallel to y axis

Description : Long run supply curve of a decreasing cost industry is (a) Downward sloping curve ; (b) Upward sloping curve; (c) Straight line parallel to X axis ; (d) Straight line parallel to y axis

Last Answer : (a) Downward sloping curve ;

Equilibrium state is achieved at (a) The peak point of supply curve ; (b) The bottom point of demand curve; (c) The inflection point of demand curve ; (d) The intersection of demand and supply curve

Description : Equilibrium state is achieved at (a) The peak point of supply curve ; (b) The bottom point of demand curve; (c) The inflection point of demand curve ; (d) The intersection of demand and supply curve

Last Answer : (d) The intersection of demand and supply curve

Equilibrium state is achieved at ………………… (a) The peak point of supply curve ; (b) The bottom point of demand curve (c) The inflation point of demand curve ; (d) The intersection of demand and supply curve

Description : Equilibrium state is achieved at ………………… (a) The peak point of supply curve ; (b) The bottom point of demand curve (c) The inflation point of demand curve ; (d) The intersection of demand and supply curve

Last Answer : (d) The intersection of demand and supply curve

A supply curve passing through any point on X axis(quantity) will have elasticity (a) Less than 1 ; (b) More than 1 ; (c) Just one ; (d) Zero

Description : A supply curve passing through any point on X axis(quantity) will have elasticity (a) Less than 1 ; (b) More than 1 ; (c) Just one ; (d) Zero 

Last Answer : (a) Less than 1 ;

Shift in Demand curve or change in Demand curve occurs due to (a) Increase in price ; (b) Decrease in cost of production ; (c) Change in Cetris paribus conditions ; (d) All the three

Description : Shift in Demand curve or change in Demand curve occurs due to (a) Increase in price ; (b) Decrease in cost of production ; (c) Change in Cetris paribus conditions ; (d) All the three

Last Answer : (c) Change in Cetris paribus conditions ;

If a firms cost of raw material decreases then (a) Marginal cost curve will shift downward ; (b) Marginal cost curve will shift upward (c) Market price will go down ; (d) Market price will go up

Description : If a firms cost of raw material decreases then (a) Marginal cost curve will shift downward ; (b) Marginal cost curve will shift upward (c) Market price will go down ; (d) Market price will go up 

Last Answer : (a) Marginal cost curve will shift downward ;

Long run supply curve of a increasing cost industry is (a) Horizontal line overlapping X axis ; (b) Upward sloping line; (c) Downward sloping line ; (d) Vertical line

Description : Long run supply curve of a increasing cost industry is (a) Horizontal line overlapping X axis ; (b) Upward sloping line; (c) Downward sloping line ; (d) Vertical line 

Last Answer : (b) Upward sloping line; 

Any point beyond PPF curve can be attained by (a) Increasing supply of factor inputs ; (b) Technological innovation ; (c) Both ; (d) None

Description : Any point beyond PPF curve can be attained by (a) Increasing supply of factor inputs ; (b) Technological innovation ; (c) Both ; (d) None

Last Answer : ; (c) Both ;

A levy of excise duty on consumption of an item consumed will …………….. (a) Induce suppliers to pump in more quantity in the market; (b) Result in fall in the consumption of the commodity and lower total expenditure on it by the consumer ; (c) Lead to inflationary conditions ; (d) Place the consumer on lower indifference curve

Description : A levy of excise duty on consumption of an item consumed will .. (a) Induce suppliers to pump in more quantity in the market; (b) Result in fall in the consumption of the commodity ... by the consumer ; (c) Lead to inflationary conditions ; (d) Place the consumer on lower indifference curve

Last Answer : (d) Place the consumer on lower indifference curve 

What will happen to the equilibrium price and quantity of peanut butter if peanuts increase in price and the price of jelly decreases? (a) the equilibrium price and quantity increase (b) the equilibrium price will fall and the equilibrium quantity will be indeterminate (c) the equilibrium price will rise and the equilibrium quantity will be indeterminate (d) None of above

Description : What will happen to the equilibrium price and quantity of peanut butter if peanuts increase in price and the price of jelly decreases? (a) the equilibrium price and quantity increase (b) the ... ) the equilibrium price will rise and the equilibrium quantity will be indeterminate (d) None of above 

Last Answer : (c) the equilibrium price will rise and the equilibrium quantity will be indeterminate 

Which of the following is correct for the price ceiling which is set below the market‟s equilibrium price? (a) quantity demanded exceeds quantity supplied at the set price; (b) quantity demanded is less than quantity supplied at the set price ; (c) at the set price there is a surplus ; (d) None of above

Description : Which of the following is correct for the price ceiling which is set below the market s equilibrium price? (a) quantity demanded exceeds quantity supplied at the set price; (b) quantity demanded is less than quantity ... the set price ; (c) at the set price there is a surplus ; (d) None of above 

Last Answer : (a) quantity demanded exceeds quantity supplied at the set price;

Which of the following is correct for a price floor set above the equilibrium price? (a) quantity supplied is less than quantity demanded at the set price.; (b) at the set price there will be a shortage; (c) quantity supplied exceeds quantity demanded at the set price ; (d) None of above

Description : Which of the following is correct for a price floor set above the equilibrium price? (a) quantity supplied is less than quantity demanded at the set price.; (b) at the set price there will be a shortage; (c) quantity supplied exceeds quantity demanded at the set price ; (d) None of above

Last Answer : (c) quantity supplied exceeds quantity demanded at the set price ;

As a certain type of clothing becomes more fashionable, we would expect its equilibrium price (a) to decrease and quantity will remain constant ; (b) and quantity will decrease; (c) to increase and quantity to decrease ; (d) and quantity to increase

Description : As a certain type of clothing becomes more fashionable, we would expect its equilibrium price (a) to decrease and quantity will remain constant ; (b) and quantity will decrease; (c) to increase and quantity to decrease ; (d) and quantity to increase 

Last Answer : ; (d) and quantity to increase

Simultaneous increase in demand and quantity supplied will (a) Increase in equilibrium price and quantity ; (b) Decrease equilibrium price and quantity (c) Increase equilibrium price but decrease quantity ; (d) Decrease equilibrium price but increase quantity

Description : Simultaneous increase in demand and quantity supplied will (a) Increase in equilibrium price and quantity ; (b) Decrease equilibrium price and quantity (c) Increase equilibrium price but decrease quantity ; (d) Decrease equilibrium price but increase quantity

Last Answer : (a) Increase in equilibrium price and quantity ;

If both the disposal income as well as number of suppliers of a product rises, the equilibrium (a) Price remain same ; (b) Price will go up ; (c) Quantity will go up ; (d) Quantity will go down

Description : If both the disposal income as well as number of suppliers of a product rises, the equilibrium (a) Price remain same ; (b) Price will go up ; (c) Quantity will go up ; (d) Quantity will go down

Last Answer : (c) Quantity will go up ;

If there is simultaneous fall in consumers disposal income as well number of suppliers of a product in the market, the (a) Equilibrium quantity will decrease ; (b) Equilibrium price will decrease ; (c) Equilibrium price will go up ; (d) Equilibrium quantity will increase

Description : If there is simultaneous fall in consumers disposal income as well number of suppliers of a product in the market, the (a) Equilibrium quantity will decrease ; (b) Equilibrium price will decrease ; (c) Equilibrium price will go up ; (d) Equilibrium quantity will increase

Last Answer : (a) Equilibrium quantity will decrease ;

At a given time and in a given marketplace, the entire market demand curve indicates the (a) quantity of a good consumers would be willing and able to purchase at a given price. (b) quantity of a good consumers would be able to purchase at a series of prices. (c) quantity of a good consumers want to purchase at a given price (d) quantity of a good consumers have purchased at a series of prices over the year.

Description : At a given time and in a given marketplace, the entire market demand curve indicates the (a) quantity of a good consumers would be willing and able to purchase at a given price. (b) quantity of a ... a given price (d) quantity of a good consumers have purchased at a series of prices over the year.

Last Answer : (b) quantity of a good consumers would be able to purchase at a series of prices. 

Change in quantity demanded or Movement along demand curve occurs due (a) Due to change in price only ; (b) Change in Cetris paribus conditions only ; (c) Change in cost of production ; (d) Change in technology

Description : Change in quantity demanded or Movement along demand curve occurs due (a) Due to change in price only ; (b) Change in Cetris paribus conditions only ; (c) Change in cost of production ; (d) Change in technology

Last Answer : (a) Due to change in price only ;

…….. is the price at which demand for a commodity is equal to its supply (a) Normal price ; (b) Equilibrium price ; (c) Short run price ; (d) Secular price

Description : …….. is the price at which demand for a commodity is equal to its supply (a) Normal price ; (b) Equilibrium price ; (c) Short run price ; (d) Secular price

Last Answer : ; (b) Equilibrium price ;

The Supply function of a product x is as Sx = 5px + 3. Where Px stand for price. The quantity supplied corresponding to price of `2 will be …………… (a) 18 ; (b) 13 ; (c) 15 ; (d) 23

Description : The Supply function of a product x is as Sx = 5px + 3. Where Px stand for price. The quantity supplied corresponding to price of `2 will be …………… (a) 18 ; (b) 13 ; (c) 15 ; (d) 23

Last Answer : (b) 13 ;

The quantity that an individual supplier is prepared to supply over a period of time is a function of (a) Price of the product ; (b) Cost of production of the product ; (c) Both ; (d) None

Description : The quantity that an individual supplier is prepared to supply over a period of time is a function of (a) Price of the product ; (b) Cost of production of the product ; (c) Both ; (d) None

Last Answer : ; (c) Both ;

According to law of supply ……….. (a) Higher the price higher the production of the product; (b) Higher the price lower the cost of production ; (c) Lower the price lower the demand for the product; (d) Higher the price higher the quantity the seller is prepared to supply in market

Description : According to law of supply ……….. (a) Higher the price higher the production of the product; (b) Higher the price lower the cost of production ; (c) Lower the price lower the demand for the product; (d) Higher the price higher the quantity the seller is prepared to supply in market

Last Answer : (d) Higher the price higher the quantity the seller is prepared to supply in market 

The supply of goods means …………… (a) Quantity offered for sale at a given price and time ; (b) Quantity produced by the manufacturer ; (c) Quantity available with the supplier (d) Consumers disposal income

Description : The supply of goods means …………… (a) Quantity offered for sale at a given price and time ; (b) Quantity produced by the manufacturer ; (c) Quantity available with the supplier (d) Consumers disposal income

Last Answer : (a) Quantity offered for sale at a given price and time ;

Which of these is not a determinant of aggregate supply (a) Quantity demanded ; (b) Price of the product under consideration ; (c) Relative price of other goods ; (d) Future expectations about prices

Description : Which of these is not a determinant of aggregate supply (a) Quantity demanded ; (b) Price of the product under consideration ; (c) Relative price of other goods ; (d) Future expectations about prices 

Last Answer : (a) Quantity demanded ;

The maximum quantity that a supplier is prepared to supply in the market at a given price is called (a) Economic order quantity ; (b) Optimum quantity ; (c) Supply quantity ; (d) Both or quantity

Description : The maximum quantity that a supplier is prepared to supply in the market at a given price is called (a) Economic order quantity ; (b) Optimum quantity ; (c) Supply quantity ; (d) Both or quantity

Last Answer : ; (c) Supply quantity ;

The minimum price that a supplier expect to make available a specific quantity for sale is called (a) Demand price ; (b) Administered price ; (c) Cost price ; (d) Supply price

Description : The minimum price that a supplier expect to make available a specific quantity for sale is called (a) Demand price ; (b) Administered price ; (c) Cost price ; (d) Supply price

Last Answer :  (d) Supply price

Which of the following statement is true (a) Monopolist are price takers ; (b) Monopoly firm earn abnormal profits; (c) A Monopoly firm faces straight demand line ; (d) Supply curve of a monopoly firm is positive sloped

Description : Which of the following statement is true (a) Monopolist are price takers ; (b) Monopoly firm earn abnormal profits; (c) A Monopoly firm faces straight demand line ; (d) Supply curve of a monopoly firm is positive sloped

Last Answer : (a) Monopolist are price takers ;

A positive sloped supply curve for a product represents (a) Supply will move with movement in the price in the opposite direction; (b) Supply will move with the movement in the price in the same direction; (c) Both ; (d) None

Description : A positive sloped supply curve for a product represents (a) Supply will move with movement in the price in the opposite direction; (b) Supply will move with the movement in the price in the same direction; (c) Both ; (d) None

Last Answer : (b) Supply will move with the movement in the price in the same direction; 

Supply curve passing through any point on Y axis(Price) will have elasticity (a) Less than 1 ; (b) More than 1 ; (c) Just One ; (d) Zero

Description : Supply curve passing through any point on Y axis(Price) will have elasticity (a) Less than 1 ; (b) More than 1 ; (c) Just One ; (d) Zero

Last Answer :  (b) More than 1

Long run supply curve of a constant cost industry is (a) Horizontal line at a price that is equal to the long run minimum average cost of production; (b) Horizontal line overlapping X axis ; (c) Vertical line at mid of X axis ; (d) Vertical line overlapping Y axis

Description : Long run supply curve of a constant cost industry is (a) Horizontal line at a price that is equal to the long run minimum average cost of production; (b) Horizontal line overlapping X axis ; (c) Vertical line at mid of X axis ; (d) Vertical line overlapping Y axis 

Last Answer : (a) Horizontal line at a price that is equal to the long run minimum average cost of production; 

An increase in price will result in an increase in total revenue if (a) Percentage change in quantity demanded in greater than the percentage change in price (b) Percentage change in quantity demanded is less than the percentage change in price (c) Percentage change in quantity demanded is equal to the percentage change in price (d) None

Description : An increase in price will result in an increase in total revenue if (a) Percentage change in quantity demanded in greater than the percentage change in price (b) Percentage change in quantity demanded ... (c) Percentage change in quantity demanded is equal to the percentage change in price (d) None

Last Answer : (b) Percentage change in quantity demanded is less than the percentage change in price  

A decrease in price will result in an increase in total revenue if (a) Percentage change in quantity demanded in greater than the percentage change in price (b) Percentage change in quantity demanded is less than the percentage change in price (c) Percentage change in quantity demanded is equal to the percentage change in price (d) None

Description : A decrease in price will result in an increase in total revenue if (a) Percentage change in quantity demanded in greater than the percentage change in price (b) Percentage change in quantity demanded ... (c) Percentage change in quantity demanded is equal to the percentage change in price (d) None

Last Answer : (a) Percentage change in quantity demanded in greater than the percentage change in price 

According to traditional approach the factor responsible for operation of downward slope of demand curve are (a) Change in number of consumers ; (b) Law of decreasing marginal utility (c) Alternative uses of goods ; (d) All the three

Description : According to traditional approach the factor responsible for operation of downward slope of demand curve are (a) Change in number of consumers ; (b) Law of decreasing marginal utility (c) Alternative uses of goods ; (d) All the three

Last Answer : (d) All the three

Total output is maximum when (a) MP =0 ; (b) MP is increasing ; (c) MP is decreasing ; (d) MP is constant

Description : Total output is maximum when (a) MP =0 ; (b) MP is increasing ; (c) MP is decreasing ; (d) MP is constant

Last Answer : (a) MP =0 ;

Under increasing returns the supply curve is - (1) positively sloped from is to right (2) negatively sloped from left to right (3) parallel to the quantity-axis (4) parallel to the price -axis

Description : Under increasing returns the supply curve is - (1) positively sloped from is to right (2) negatively sloped from left to right (3) parallel to the quantity-axis (4) parallel to the price -axis

Last Answer : (1) positively sloped from is to right Explanation: Supply curve, in economics, is a graphic representation of the relationship between product price and quantity of product that a seller is willing and ... i.e as the price of a commodity increases in the market, the amount supplied increases).