Economics SS2 (3rd Assesssment)
  • 1. Want or need refers to
A) a list of need
B) a mere desire not backed by ability and willingness
C) a mere demand
D) all the above
  • 2. An effective demand is a want
A) backed by desire
B) backed by want
C) backed by the ability to pay
D) None of the above
  • 3. ________________ is the quantity of any good that producers are willing and able to offer for sale
A) Supply
B) Total production
C) Effective demand
  • 4. The first law of demand States that
A) all things being equal, the higher the price, the lower the quantity demanded and vice versa
B) the higher the price,the higher the demand
C) the lower the price, the lower the quantity supplied
  • 5. Who is the father of Economics
A) John Stuart
B) A.C Pigou
C) Alferd Marshal
D) Adam Smith
  • 6. Economics is regarded as both science and social science
A) Incorrect
B) Partially
C) True
D) False
  • 7. Economics is regarded as science because
A) It adopts scientific methods
B) It adopts socialist methods
C) It adopts philosophical method
D) It adopts humanity method
  • 8. Scarcity is defined as the
A) None of the above
B) abundance supply of goods
C) unlimited supply of resources
D) limited supply of resources
  • 9. There are __________ major types of bar charts
A) six
B) four
C) three
D) five
  • 10. ____________ is also known as forgone alternatives
A) Opportunity cost
B) Want
C) Choice
D) Scale of preference
  • 11. There are _________ major branches of economics
A) Three
B) two
C) six
D) four
  • 12. Exceptional demand is also known as
A) normal demand
B) abnormal demand
C) effective demand
D) ineffective demand
  • 13. One of the following is a cause of exceptional demand
A) future expectation
B) all of the above
C) articles of ostentation
D) articles of necessity
  • 14. A shift in demand is grouped into
A) two
B) three
C) seven
D) five
  • 15. Natural disasters is one of the factors affecting supply
A) true
B) false
  • 16. Decrease in the quantity demanded is caused by
A) price of other goods
B) price of the commodity
C) Price of other services
  • 17. Income of the consumer is one of the factors affecting demand
A) false
B) partially
C) true
  • 18. Decrease in the quantity supplied is caused by
A) number of producers
B) price
C) taxation
D) cost of the production
  • 19. __________ occurs when a certain good can serve two or more purposes
A) Composite supply
B) Competitive demand
C) Joint demand
  • 20. Articles of necessity is also known as
A) real goods
B) inferior or giffen goods
C) substandard goods
D) superior or giffen goods
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