Economics Multiple Choice Question – 10 July 2018

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

If the supply curve is vertical then supply is ……. ?

Select ONE answer:

  1. relatively elastic.
  2. relatively inelastic
  3. perfectly inelastic.
  4. perfectly elastic. 

What is the implication on supply of producer objectives and decisions?

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This is multiple choice question is suitable for Economics KS5 classes.

The answer is 3

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Economics Multiple Choice Question – 9 July 2018

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

A supply curve that is horizontal reflects a supply that  ……. ?

Select ONE answer:

  1. is elastic.
  2. has a zero elasticity. 
  3. is inelastic.
  4. is unit elastic. 

Explain how changes in size and age distribution of the population may cause a shift in the demand curve:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This is multiple choice question is suitable for Economics KS5 classes.

The answer is 1

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Economics Multiple Choice Question – 8 July 2018

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

The concept of elasticity of supply measures the responsiveness of the ……. ?

Select ONE answer:

  1. quantity supplied to a change in price.
  2. quantity demanded to a change in quantity supplied.
  3. price to a change in quantity supplied.
  4. quantity supplied to a change in quantity demanded.

Explain how changes in advertising and branding may cause a shift in the demand curve:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This is multiple choice question is suitable for Economics KS5 classes.

The answer is 1

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Economics Multiple Choice Question – 7 July 2018

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

Inferior goods are goods ……. ?

Select ONE answer:

  1. are consumed only by people with inferior taste.
  2. for which the demand increases when income increases.
  3. that are inferior in quality.
  4. that have a negative income elasticity of demand.

Explain how changes in tastes and fashions may cause a shift in the demand curve:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This is multiple choice question is suitable for Economics KS5 classes.

The answer is 4

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Economics Multiple Choice Question – 6 July 2018

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

The income elasticity of demand for restaurant meals is 1.61. So……. ?

Select ONE answer:

  1. if income increases by 16.1 percent, the quantity demanded of restaurant meals will
    increase by 10 percent.
  2. if income increases by 10 percent, the quantity demanded of restaurant meals will increase
    by 16.1 percent.
  3. restaurant meals are an income elastic normal good.
  4. Both answers B and C are correct.

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This is multiple choice question is suitable for Economics KS5 classes.

The answer is 4

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Economics Multiple Choice Question – 5 July 2018

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

The income elasticity of demand is a measure of the responsiveness of …..?

Select ONE answer:

  1. the consumer’s income to a change in the price of the goods he or she consumes.
  2. the quantity of a good demanded to changes in another good’s price.
  3. the quantity of a good demanded to changes in its price.
  4. the quantity of a good demanded to changes in income.

Explain how changes in real incomes may cause a shift in the demand curve:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This is multiple choice question is suitable for Economics KS5 classes.

The answer is 4

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Economics Multiple Choice Question – 4 July 2018

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

A negative value for the cross elasticity of demand between two goods indicates

Select ONE answer:

  1. that one of the goods is normal and the other is inferior.
  2. that the goods are substitutes.
  3. that the goods are complements.
  4. that each good is price inelastic.

Explain how changes in the prices of substitutes and complementary goods may cause a shift in the demand curve:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This is multiple choice question is suitable for Economics KS5 classes.

The answer is 3

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This work is licensed under a Creative Commons Attribution 4.0 International License.