Which of the following would be studied in microeconomics?
The total number of workers employed in a country
The general level of prices in the Malaysian economy
The output and price of lamb in Malaysia
The production of the entire economy
Which of the following does not illustrate opportunity cost?
If spent more on shoes, I must spend less on food
If I study today for the test tomorrow, I must give up watching my favorite movie
If I buy the PSP, I must do without a 35” television
An increment in consumer spending now means more spending in the future
Which of the following is not a characteristic of an inelastic demand?
There is a large number of substitution goods for customers
The period of time for which demand is given is very short
The buyer spends a small percentage of his income on a product
The product is regarded by consumers as a necessity
An increase in demand means that
the demand curve has shifted to the left
price has declined and therefore consumers want to purchase more of the product
the demand curve has shifted to the right
given supply, the price of the product can be expected to decline
Ceteris paribus, the supply of flour is positively sloped because
the price will increase when farmers get higher profits
an increase in the price of flour will cause the quantity supplied to increase at the same rate
an increase in the demand for flour will cause an increase in the demand of flour
the high price will motivate farmers to increase flour production
The price of goods tend to stabilize if quantity
demanded exceeds quantity supplied
supplied is stabilize
demanded equals to quantity supplied
supplied exceeds quantity demanded
Which of the following is a short run adjustment?
A local bakery hires two additional workers
The number of plantations in Malaysia declines by 5%
Eight new firms enter the electronic industry
Proton constructs a new assembly plant in Malacca
The law of diminishing marginal return describes the
Relationship between inputs and outputs in the short run
Relationship between total costs and total revenues
Relationship between inputs and outputs in the long run
Profit maximizing position of a firm
A decrease in the price of product X causes an increase in the demand for product Y.
Product X and Y are mostly likely to be
Milo and Vico
Nasi lemak and Capati
Strawberries and Grape
Video recorders and video tapes
Assume the government has intervened in the market and imposed a floor price on good YY and a ceiling price on good ZZ.
What would be the effect on the market for good YY and good ZZ?
Shortage in both markets
Surplus in both markets
A surplus in the good YY market and an increase in the quantity of good ZZ
A surplus in the good YY market and a shortage in good ZZ market