Economics Multiple Choice Question – 29 July 2021

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

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To improve its financial position a government decided to reduce expenditure on investment in the public sector.  Despite this, there was NOT a fall in economic growth

What was the MOST likely effect of the government’s action?

Select ONE answer:

  1. An original budget deficit was reduced.
  2. An original budget surplus was reduced.
  3. Consumer expenditure decreased.
  4. Public sector productivity decreased.

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

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

This multiple-choice question is suitable for Economics KS4 and KS5 classes.

The answer is 1

  1. Correct
  2. Not correct
  3. Not correct
  4. Not correct

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Economics Multiple Choice Question – 28 July 2021

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

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Consumers receive an increase in their incomes.

Which circumstances will cause the quantity of the product sold to increase the most?

Select ONE answer:

  1. nature of the product – inferior good  /  price elasticity of supply of the product – price elastic
  2. nature of the product – inferior good  /  price elasticity of supply of the product – price inelastic
  3. nature of the product – normal good  /  price elasticity of supply of the product – price elastic
  4. nature of the product – normal good  /  price elasticity of supply of the product – price inelastic

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

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

This multiple-choice question is suitable for Economics KS4 and KS5 classes.

The answer is 3

  1. Not correct
  2. Not correct
  3. Correct
  4. Not correct

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Economics Multiple Choice Question – 27 July 2021

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

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What is cross elasticity of demand?

Select ONE answer:

  1. the responsiveness of price of good X due to a change in demand of good Y
  2. the responsiveness of quantity demanded of a good due to a change in its price
  3. the responsiveness of quantity demanded of good X due to a change in quantity of good Y
  4. the responsiveness of quantity demanded of good X due to a change in the price of good Y

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

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

This multiple-choice question is suitable for Economics KS4 and KS5 classes.

The answer is 4

  1. Not correct
  2. Not correct
  3. Not correct
  4. Correct

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Economics Multiple Choice Question – 26 July 2021

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

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How is the market supply of a product in a competitive market obtained?

Select ONE answer:

  1. by aggregating the supply of all firms producing the product
  2. by averaging the supply of all firms producing the product
  3. by calculating the supply of the typical firm producing the product
  4. by estimating the supply of the largest firm producing the product

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

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

This multiple-choice question is suitable for Economics KS4 and KS5 classes.

The answer is 1

  1. Correct
  2. Not correct
  3. Not correct
  4. Not correct

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

Economics Multiple Choice Question – 25 July 2021

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

Photo by Kelly Lacy on Pexels.com

The tariff on Russian goods entering the Uk falls from 20% to 10%.

What will be the most likely effect on the producer and consumer surplus in the UK?

Select ONE answer:

  1. UK producer surplus – Decrease  /  UK consumer surplus – Increase
  2. UK producer surplus – Decrease  /  UK consumer surplus – No Change
  3. UK producer surplus – Increase  /  UK consumer surplus – Increase
  4. UK producer surplus – Increase  /  UK consumer surplus – No Change

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

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

This multiple-choice question is suitable for Economics KS4 and KS5 classes.

The answer is 1

  1. Correct
  2. Not correct
  3. Not correct
  4. Not correct

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