1. The short run Average Cost (A.C.) curve is U shaped.
[A]TRUE
[B]FALSE
2. The subject matter of macro – economics includes the theory of income and employment at an individual level.
[A]TRUE
[B]FALSE
3. The sum of total fixed costs and total variable costs is the total cost.
[A]TRUE
[B]FALSE
4. The supply curve slopes downwards from left to right.
[A]TRUE
[B]FALSE
5. The supply of factory made goods of daily consumption is inelastic.
[A]TRUE
[B]FALSE
6. The wage and salary earners who get fixed income in terms of money are benefited during inflation.
[A]TRUE
[B]FALSE
7. There are no real exceptions to the law of demand
[A]TRUE
[B]FALSE
8. There is considerable slush money with politicians & Government servants.
[A]TRUE
[B]FALSE
9. There is no separation of ownership and management in case of a Joint Stock Company.
[A]TRUE
[B]FALSE
10. There never was in any country at any time 'pure capitalism' or 'pure communism.'
[A]TRUE
[B]FALSE
11. To solve the unemployment problem, the level of effective demand must decrease.
[A]TRUE
[B]FALSE
12. Under perfect competition single seller can influence the price.
[A]TRUE
[B]FALSE
13. Under perfect competition there are large number of buyers and few sellers.
[A]TRUE
[B]FALSE
14. Under perfect competition, price is determined by the interaction of total demand and total supply in the market.
[A]TRUE
[B]FALSE
15. Under perfect competition,firms are free to enter and exit in the market.
[A]TRUE
[B]FALSE
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