MCQ Questions on Central Problems of an Economy: Below, You will find a list of Commerce MCQ Questions as per the latest prescribed syllabus. Ace up your preparation with the Objective Questions available on Central Problems of an Economy and enhance your subject knowledge. Understand the concept clearly by consistently practicing the Multiple Choice Questions and score well in your exams.
MCQ Questions on Central Problems of an Economy
1. The law of scarcity
(a) States that the want of a consumer will never be satisfied completely
(b) Indicates that the want of consumer will be satisfied in a socialistic system
(c) Is only for underdeveloped countries
(d) Is not for rich and developed countries
2. To make a rational decision a person needs
(a) Choices that don’t have trade-offs
(b) Choices that never change
(c) Choices that are consistent with a similar goal every time
(d) Logical choices without error.
3. The central problem of an economy is
(a) Assigning limited resources in a way that unlimited desires and needs of the society are satisfied
(b) Ensuring a minimum income for each citizen.
(c) Assuring that production happens in the most effective way.
(d) Analyzing the demand with market economies.
4. An economy succeeds in producing resources efficiently when
(a) Goods and services are produced without resources being wasted.
(b) The total number of goods manufactured is high.
(c) The resources employe are the best
(d) The resources employed for highly valued uses.
5. Which option is a disadvantage for allocating resources utilizing a market system?
(a) Profits will be less
(b) Impossible to stop the wastage of scarce resources
(c) Notable unemployment may take place
(d) Uneven distribution of income
6. Which branch of economic theory is associated with the difficulty of resources allocation
(b) Micro-economic theory
(c) Macro-economic theory
(d) None of the above
7. The creation of choice is done by
(a) Scarcity of resources
(b) Less choice option
(c) The urgency of needs
(d) Abundance of resources