Managerial Economics Quiz - 4

1. Fast food chains are not a corporatised service.
[A]TRUE
[B]FALSE



2. Free riders' is a term associated with the people who would like to have benefit of a good without sharing the cost of its supply.
[A]TRUE
[B]FALSE



3. Generally, the larger the income of a consumer, his demand for overall commodities tends to be relatively elastic.
[A]TRUE
[B]FALSE



4. Giffen goods are superior goods.
[A]TRUE
[B]FALSE



5. Given the price, if the cost of production of a commodity decreases because of the use of improved technique of production, there will be increase in supply.
[A]TRUE
[B]FALSE



6. If demand falls and supply is constant the equilibrium price falls
[A]TRUE
[B]FALSE



7. If demand falls and supply is constant the equilibrium price falls.
[A]TRUE
[B]FALSE



8. In a free-enterprise economy, the problems of what how and for whom are solved by a planning committee
[A]TRUE
[B]FALSE



9. In a market economy, characterized by Capitalism, there is full interference by the State in the economic activities of consumers and producers.
[A]TRUE
[B]FALSE



10. In a market system of an economy procedures are guided by profit motive.
[A]TRUE
[B]FALSE



11. In a market system of economy, there is no harmony between individual interests and interests of the community.
[A]TRUE
[B]FALSE



12. In any business, while formulating a profit policy, the possibility of emergence of rival firms must be taken in to account.
[A]TRUE
[B]FALSE



13. In case of a Joint Stock Company the liability of the share holders is unlimited.
[A]TRUE
[B]FALSE



14. In case of a partnership firm of business organization a minor can become partner of the firm.
[A]TRUE
[B]FALSE



15. In case of a partnership firm, the liability of a partner is limited
[A]TRUE
[B]FALSE