PODAR INTERNATIONAL SCHOOL

Grade 8
Subject: - Economics

Final Exam Portion

Topic: - Chapter 7: - Demand

1. What is measured on the vertical axis of a demand diagram?

A. Cost
B. Price
C. Quantity demanded
D. Wants

2. What happens to people’s willingness and ability to buy a product when its price
falls?

3. An increase in demand is represented by:

A. A movement down the demand curve
B. A movement up the demand curve
C. A shift to the left of the demand curve
D. A shift to the right of the demand curve

4. The price of a product rises. What will happen to the demand for its complement?
A. It will contract
B. It will extend
C. It will decrease
D. It will increase
5.
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7.

8.
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10.
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12.
13.

14.

Demand MCQ Ans :-

 Q:1 B Q:8 B
Q:2 A Q:9 C
Q:3 D Q:10 B
Q:4 C Q:11 A
Q:5 B Q:12 C
Q:6 A Q:13 D
Q:7 A Q:14 B

Topic: - Chapter 8:- Supply

1. What is the relationship between demand and price and the relationship between
supply and price?

2. What does a market supply curve show?

A. The proportion of total output produced by different firms in the industry
B. Proportion of total output sold
C. The relationship between the total quantity supplied and demand for the product
D. The relationship between the total quantity supplied and the price of the product

3. How would an increase in supply be illustrated?

A. A movement up the supply curve
B. A movement down the supply curve
C. A shift to the left of the supply curve
D. A shift to the right of the supply curve

4. What would cause an increase in the supply of milk?

A. An increase in the price of cattle feed
B. An increase in wages paid to farm workers
C. The introduction of a subsidy to cattle farmers
D. The outbreak of a disease affecting cow

5.
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7.
8.

9.
10.

11.

12.

Supply MCQ Answers

Q:1 C Q:7 C
Q:2 D Q:8 A
Q:3 D Q:9 D
Q:4 C Q:10 D
Q:5 C Q:11 D
Q:6 A Q:12 B
Topic: - Chapter 9:- Price Determination

1. Equilibrium price is the price at which:

A. Everything that is produced is sold
B. The amount consumers demand is equal to the amount sellers supply
C. The number of buyers equals the number of sellers
D. Supply exceeds demand

2. A market is experiencing a shortage. What will happen to price and sales as the
market moves back to equilibrium?

3. If there is excess demand in a market, what is the relationship between price and
equilibrium price, and sales and equilibrium sales?

4. A market is operating with a disequilibrium price. What must this mean?

A. Demand and supply are not equal
B. Shortages do not exist
C. The price mechanism is not working
D. There is no opportunity cost involved

5.
6.

7.
9.

10.

Price Determination MCQ

Q:1 B Q:6 D
Q:2 D Q:7 C
Q:3 C Q:8 D
Q:4 A Q:9 C
Q:5 C

Topic: - Chapter 10:- Price Changes

1. The diagram shows a change in the market for coffee. What could explain this
change?
A. A rise in the price of coffee
B. A rise in the price of tea
C. A successful advertising campaign for tea
D. A health report indicating that drinking coffee can cause headaches

2. Which diagram best illustrates the effect of an increase in income on the market for a
normal good?

3. What effect would a decrease in the supply of a product have on its price and demand?
 4.

5.

Price Changes MCQ Ans

Q:1 B
Q:2 A
Q:3 C
Q:4 A
Q:5 D

Topic: - Chapter:- Population

1. What is meant by the gender distribution of a population?
A. The proportion of females and males in the population
B. The proportion of people over retirement age in the population
C. Where females and males in the population live
D. Where people over retirement age live

2. Which of the following is most likely to cause a rise in the average age of a country’s
population?
A. A fall in the death rate and birth rate
B. A fall in the death rate and a rise in the birth rate
C. A rise in the death rate and a fall in the birth rate
D. A rise in the death rate and birth rate

3.

4.

5.

6.
7.

8. There is decrease in a country’s birth rate

What can lead to an increase in the country’s population at the same time
A-zero net migration and a fall in the fertility rate
B-zero net migration and a fall in infant mortality
C-positive net migration and a fall in the death rate
D-positive net migration and a fall in the fertility rate

POPULATION MCQ ANSWER

Q:1 A Q:7 B
Q:2 A Q:8 C
Q:3 C
Q:4 A
Q:5 A
Q:6 C
Topic: - Chapter:- Living Standards

1.

2.

3.

4.

\
5.

6.

7.

8.

Living Standard MCQ

Q:1 D Q:5 B
 Q:2 B Q:6 C
Q:3 C Q:7 D
Q:4 C Q:8 A

Topic: - Chapter:- Poverty

1.

2. Which government measure may reduce absolute poverty?

A. A cut in government expenditure on state education
B. An increase in the rate of interest
C. Granting subsidies to builders of low-cost housing
D. The imposition of a tax on food

3.

4.

5. What may cause a more uneven distribution of income?

A. An increase in the national minimum wage
B. An increase in state benefits
C. A reduction in the top rates of tax
D. A reduction in unemployment

6. What could cause a decrease in absolute poverty but a rise in relative poverty?
A. The income of the rich rising by less than the income of the poor
 B. The income of the rich rising by more than the income of the poor
C. The income of the rich falling by less than the income of the poor
D. The income of the rich falling by more than the income of the poor
7.

8.

POVERTY MCQ
Q:1 B Q:6 B
Q:2 C Q7 D
Q:3 A Q8 B
Q:4 A
Q:5 C

Topic: - Chapter:- Differences in economic development between countries

1.
2. What is often found in a country with low real GDP per head?
A. A high proportion of the population in higher education
B. A high savings ratio
C. A low infant mortality rate
D. A low investment rate

3. Why is a country’s savings ratio likely to increase as it experiences economic development?

A. Average income per head will rise
B. Interest rates tend will rise
C. Investment will decline
D. The range of saving institutions to choose from will decline

4.

5. What is usually found in a developing country?

A. Primary products are important exports.
B. The agricultural industry has high productivity.
C. There is a high level of investment in education.
D. There is a low birth rate

6. What is usually found in a developed country?

A. a high GDP per head with a low level of employment
B. a high level of labour skills with a low level of car ownership
C. a high rate of adult literacy with a low level of poverty
D. a high rate of population growth with a low level of labour productivity

7. What is most likely to be found in a typical developing country?

A. a good education sector
 B. a small average family size
C. a small percentage of very old people
D. high spending on entertainment

8. What is most likely cause of a fall in the population growth of a developing country
A. a decrease in the birth rate
B. a decrease in emigration
C. a decrease in immigration
D. a decrease in the standard of living
9. In producing a table of economic statistics about a developed country (Italy) and a developing
country (Ethiopia) one pair of statistics has been placed in the wrong columns.
Which is it most likely to be?

10. The table gives information on standards of living in four countries.

On the basis of this information which country has the highest standard of living?
A- Brazil
B- India
C- Rwanda
D-Uganda

Differences in economic development between countries MCQ

Q:1 B Q:6 C
Q:2 D Q:7 C
Q:3 A Q:8 A
Q:4 A Q:9 C
Q:5 A
Q:10 A