Economics - Study Mode
[#891] When supply of money declines, then price of goods:
Correct Answer
(B) decreases
[#892] As a consumer increases his consumption of a commodity, the total utility he derives from its consumption increases but at a diminishing rate. This is
Correct Answer
(C) a hypothesis
[#893] The 'law of diminishing returns' can apply to a business only when:
Correct Answer
(B) At least one factor of production is fixed
[#894] Cardinal utility analysis of consumer's behaviour is based on which combination of the following assumptions: I. Utility is measurable is terms of cardinal numbers II. Constancy of the marginal utility of money III. Utilities of different goods are interdependent IV. Gossen's first law of consumption Choose the correct answer
Correct Answer
(B) Only I, II and IV
[#895] Price discrimination is profitable and possible if the two markets have
Correct Answer
(B) Different elasticity of demand