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