Karachi Institute of Economics and Technology – City

Campus
Course: Seminar in Economics
Faculty: Syed Ghayyur Alam
Class ID: 103590 TotalMarks 05
:
Examination: Quiz 1 Date: Feb 13, 2020

Student Student ID:

Name:

1-Economics may be defined as: c) linear

d) hyperbola
a) allocation of unlimited resources
b) management of scarce resources
c) satisfaction of all wants 6- Points along the production possibility frontier
d) none of the above are considered as:

a) inefficient
2- Opportunity cost is: b) over efficient
c) efficient
a) explicit cost d) none of the above
b) cost of hiring factors
c) cost of next best alternative
d) none of the above. 7- An economic growth leads to:

a) an upward shift in PPF

3- Economic resource is: b) a downward shift in PPF
c) no change in PPF
a) unlimited d) none of the above
b) available free of cost
c) limited or scarce
d) none of the above 8- An output market is an arrangement for the
exchange of:

4- A market economy is the one where mostly a) capital goods

resources are owned and controlled by: b) foreign currency
c) consumer goods
a) the government d) semi-finished products
b) the private individuals
c) both a) and b)
d) none of the above 9- The main objective of the government in an
economic system is to maximize:

a) profit
5- If the opportunity cost of production between b) utility
two given outputs is constant then PPF is: c) production
d) welfare
a) concave
b) convex
10- Which of the statement is normative?

a) unemployment should be lower

b) diamond is a luxury product
c) water is a necessity
d) Inflation is high