Economics - Study Mode

[#336] In the long run in perfect competition
Correct Answer

(A) AR = MR

[#337] Which of the following could provide an example of exceptional demand curves? 1. Demand for "Giffen goods" 2. Demand based on fears of a future rise in prices 3. Demand for second-hand clothes 4. Demand for daily newspapers Select the right answer:
Correct Answer

(B) 1 and 2

[#338] Assertion (A): Consumer's surplus is the difference between the potential price and the actual price. Reason (R): There exists an inverse relationship between the price and the consumer's surplus.
Correct Answer

(A) Both A and R are true and R is the correct explanation of A

[#339] Which of the following points is not an exception to the law of diminishing marginal utility?
Correct Answer

(D) Single requirement

[#340] If an individual is observed to work less in response to an increase in the wage rate for his services, this implies that
Correct Answer

(A) for this individual, leisure is a normal good