Economics SS2 (3rd Assesssment)
  • 1. Want or need refers to
A) a mere desire not backed by ability and willingness
B) all the above
C) a list of need
D) a mere demand
  • 2. An effective demand is a want
A) backed by the ability to pay
B) backed by want
C) backed by desire
D) None of the above
  • 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. 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 lower the price, the lower the quantity supplied
C) the higher the price,the higher the demand
  • 5. Who is the father of Economics
A) John Stuart
B) Adam Smith
C) Alferd Marshal
D) A.C Pigou
  • 6. Economics is regarded as both science and social science
A) Incorrect
B) Partially
C) False
D) True
  • 7. Economics is regarded as science because
A) It adopts philosophical method
B) It adopts socialist methods
C) It adopts scientific methods
D) It adopts humanity method
  • 8. Scarcity is defined as the
A) limited supply of resources
B) abundance supply of goods
C) unlimited supply of resources
D) None of the above
  • 9. There are __________ major types of bar charts
A) four
B) six
C) five
D) three
  • 10. ____________ is also known as forgone alternatives
A) Want
B) Opportunity cost
C) Scale of preference
D) Choice
  • 11. There are _________ major branches of economics
A) six
B) two
C) four
D) Three
  • 12. Exceptional demand is also known as
A) abnormal demand
B) effective demand
C) ineffective demand
D) normal demand
  • 13. One of the following is a cause of exceptional demand
A) all of the above
B) articles of necessity
C) future expectation
D) articles of ostentation
  • 14. A shift in demand is grouped into
A) three
B) two
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 services
B) price of other goods
C) price of the commodity
  • 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) price
B) cost of the production
C) taxation
D) number of producers
  • 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) substandard goods
C) superior or giffen goods
D) inferior or giffen goods
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