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Quiz # 04 will be opened on August 12, 2015 and last date to attempt quiz will be August 13, 2015.
Quiz will cover Lessons 22-37.
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1 When the marginal revenue product of labor is less than
the marginal input cost of labor then the profit
maximizing firm will:
2 If leakages into the circular flow of income rise, then
the value of multiplier will:
3 Firms in monopolistic competition advertise their
products to increase sales and thus the level of profits.
From society’s point of view, which of the following is
the advantage of advertising?
4 The level of aggregate demand will decrease if the
5 If Aggregate expenditures are more than aggregate
production then their will be:
6 Which of the following international accounts records
the purchase and sale of financial assets and real
estate between Pakistan and other nations?
7 Gross National Product (GNP) is:
8 According to the quantity theory of money, if there
is inflation, what must have caused it?
9 Suppose the marginal physical product of labor equals
Rs. 1500. If the price of good that workers produce is
Rs. 50, then the value of marginal product of labour equals:
10 A __________ occurs when a country purchases more from
abroad than other countries purchase from it.
11 Unemployment benefits may increase the unemployment
rate because unemployment benefits:
12 Suppose Gross Domestic Product (GDP) in 2007 equals
Rs. 720,000. If the values of indirect taxes and
depreciation allowance are Rs. 250,000 and Rs. 40,000
respectively, the value of net domestic product (NDP) is:
13 If a Japanese mobile priced at 3,000 yen can be
purchased for $10, the exchange rate is:
14 In cement industry, collusion of different firms
15 An economist will define the exchange rate between
two currencies as the: