AIC Exam 1st Term Economics for SS 2 2022/2023
  • 1. 1. Want or need refers to
A) a mere demand
B) a list of need
C) a mere desire not backed by ability and willingness
D) all the above
  • 2. 2. An effective demand is a want
A) None of the above
B) backed by desire
C) backed by want
D) backed by the ability to pay
  • 3. 3. ________________ is the quantity of any good that producers are willing and able to offer for sale
A) Total production
B) Effective demand
C) Supply
  • 4. 4. The first law of demand States that
A) the lower the price, the lower the quantity supplied
B) the higher the price,the higher the demand
C) all things being equal, the higher the price, the lower the quantity demanded and vice versa
  • 5. 5. Who is the father of Economics?
A) A.C Pigou
B) Adam Smith
C) John Stuart
D) Alferd Marshal
  • 6. 6. Economics is regarded as both science and social science
A) Partially
B) True
C) False
D) Incorrect
  • 7. 7. Economics is regarded as science because
A) It adopts humanity method
B) It adopts philosophical method
C) It adopts socialist methods
D) It adopts scientific methods
  • 8. 8. Scarcity is defined as the
A) unlimited supply of resources
B) None of the above
C) abundance supply of goods
D) limited supply of resources
  • 9. 9. There are __________ major types of bar charts
A) five
B) four
C) three
D) six
  • 10. 10. ____________ is also known as forgone alternatives
A) Scale of preference
B) Opportunity cost
C) Want
D) Choice
  • 11. 11. There are _________ major branches of economics
A) Three
B) two
C) six
D) four
  • 12. 12. Exceptional demand is also known as
A) normal demand
B) effective demand
C) abnormal demand
D) ineffective demand
  • 13. 13. One of the following is a cause of exceptional demand
A) articles of necessity
B) all of the above
C) articles of ostentation
D) future expectation
  • 14. 14. A shift in demand is grouped into
A) two
B) three
C) seven
D) five
  • 15. 15. Natural disasters is one of the factors affecting supply
A) true
B) Not certain
C) false
D) Unknown
  • 16. 16. Decrease in the quantity demanded is caused by
A) price of the commodity
B) Price of other services
C) price of other goods
  • 17. 17. Income of the consumer is one of the factors affecting demand
A) partially
B) Incorrect
C) false
D) true
  • 18. 18. Decrease in the quantity supplied is caused by
A) price
B) taxation
C) number of producers
D) cost of the production
  • 19. 19. __________ occurs when a certain good can serve two or more purposes
A) Composite supply
B) Competitive demand
C) Joint demand
  • 20. 20. Articles of necessity is also known as
A) superior or giffen goods
B) real goods
C) substandard goods
D) inferior or giffen goods
  • 21. 21. _______________ refers to graph showing the possible combinations of two commodities that can be produced given the level of resources and technology.
A) Opportunity cost
B) Production Possibility Boundary
C) Money cost
D) Production
  • 22. 22. Points outside the PPC , are referred as ____________________
A) feasible area
B) Non- feasible area
C) Official use of resources
D) waste of resources
  • 23. 23. Points inside the PPC are said to be ___________________
A) good area
B) attainable
C) non-feasible area
D) feasible area
  • 24. 24. Points inside the PPC, indicate production is feasible but resources are
A) efficient
B) not efficiently used
C) sufficient
D) efficiently used
  • 25. 25. The ________________ can be regraded as the most frequently occurring number in a set of data.
A) mean
B) Mode
C) median
D) arithmetic mean
  • 26. 26. ___________________ is the satisfaction a consumer derives in consuming a good or service.
A) Utility
B) service
C) Commodity
D) Bill
  • 27. 27. _________________ is defined as the limited supply of resources which are used for the satisfaction of unlimited wants.
A) Want
B) Opportunity cost
C) Scarcity
D) Choice
  • 28. 28. ________________ is defined as a system of selecting one out of a number of alternatives
A) Desire
B) Want
C) Need
D) Choice
  • 29. 29. ____________________ refers to the total amount of money that is spent in order to acquire a set of goods and services
A) Money matter
B) Monument
C) Monetary
D) Money cost
  • 30. Rising wages is one of the causes of abnormal supply.
A) Partly
B) True
C) Unknown
D) False
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