Economics - Study Mode
[#1206] Giffen goods are those goods
Correct Answer
(A) For which demand increases as price increases
Explanation
Solution: Giffen goods are those goods for which demand increases as price increases. A Giffen good has an upward-sloping demand curve, which is contrary to the fundamental law of demand, which states that the quantity demanded for a product falls as the price increases, resulting in a downward slope for the demand curve.
[#1207] Which aspect of taxation involves normative economics?
Correct Answer
(C) The "fairness" of the tax
[#1208] For a cotton seller in India, dumping refers to selling the cotton at
Correct Answer
(A) Lower price in Mumbai and higher price in Delhi
[#1209] Cost plus pricing is considered appropriate for which combination of the following? i. Product Tailoring ii. Public Utility pricing iii. Refusal pricing iv. Monopoly pricing Choose the correct answer
Correct Answer
(C) Only (i), (ii) and (iii)
[#1210] If all inputs are increased in the same proportion, than it is the case of 1. short-run production function 2. long-run production function 3. laws of variable proportion 4. laws of returns to scale Select the correct answer
Correct Answer
(D) Both 2 and 4