Datasets:

Michael-Santoso

/

full_dataset

like 0

Question: What is an advantage for a worker in part-time rather than full-time employment? A a higher wage B greater employment protection C more opportunity for other activities D greater chance of promotion Answer: C

Question: Which factor is likely to cause an increase in people’s savings? A an increase in tax rates B an increase in the interest rate C a reduction in economic uncertainty D a reduction in real wages Answer: B

Question: On completing your studies, you decide you want to work in an organisation that is big enough to give you a chance of promotion but where weekend or shift work will not normally be required. Which would be the best one to choose? A a dental surgery B a hairdressing salon C an income tax office D a newspaper publisher Answer: C

Question: A firm’s average revenue is $10. It sells 2000 units. What is the firm’s total revenue and the price of the product? Total revenue ($) Price ($) A 10 10 B 2 000 200 C 20 000 10 D 20 000 200 Answer: C

Question: 0 6 150 7 140 8 100 What will happen if price rises from $5 to $6 per kilo? A Total revenue will rise. B Demand will rise. C Total revenue will fall. D Total costs will rise. 20 What is a variable cost for a firm? A the cost of raw materials B the interest payments on loans C the rent of the factory D the insurance on the factory buildings Answer: A

Question: What advantage does a company risk losing when it expands? A access to finance B national reputation C personal contact D skilled labour Answer: C

Question: A firm adds up the costs of rent, insurance and initial investment in machinery. It then divides that total by the number of units produced. What has been calculated? A average fixed cost B average revenue C average total cost D average variable cost Answer: A

Question: What might a government decrease if it wished to slow down the rate of growth in an economy? A expenditure on defence B goods and services (value added) tax C interest rates D the rate of income tax Answer: A

Question: What is most likely to cause the government to have a budget surplus? A a decrease in government spending B a decrease in private sector investment C an increase in unemployment D an increase in the wages of public sector employees Answer: A

Question: Which aim of government policy is most likely to be achieved by an increase in interest rates? A economic growth B greater equality of income C full employment D price stability Answer: D

Question: What may a government change when it uses monetary policy? A budget deficit B minimum lending rate C regional assistance D rate of income tax Answer: B

Question: When is a tax progressive? A when some goods have a higher tax than others B when the tax is on incomes rather than on goods or services C when the rate of tax increases as income increases D when the tax is linked to the rate of inflation Answer: C

Question: What would contribute to a fall in the value of the UK pound (£)? A a fall in interest rates in other countries B a rise in the number of foreign tourists visiting the UK C the removal of import tariffs by the USA D the value of UK imports increasing more than the value of UK exports Answer: D

Question: What is meant by the depreciation of a currency? A a fall in its external value B a fall in its internal value C a rise in its external value D a rise in its internal value Answer: A

Question: In 2003 Japan experienced a decline in economic output. What might cause a decline in economic output? A a decrease in income tax B a decrease in sales tax C an increase in unemployment D an increase in company investment Answer: C

Question: What is the most likely cause of population migration to cities in developing countries? A an ageing population B higher unemployment rates in cities C higher wages in cities D higher land values in cities Answer: C

Question: What is likely to be higher in a developing country, such as Kenya, than in a developed country, such as Switzerland? A birth rate B GDP per head C life expectancy D net investment per head Answer: A

Question: What is likely to happen as a developing country becomes more developed? A A higher percentage of children will attend school. B Infant mortality will rise. C Life expectancy will fall. D The agricultural sector will increase in importance. Answer: A

Question: Nigeria decides to introduce a policy that limits imports of Japanese cars to 15 % of the total market. What is this policy called? A an embargo B a quota C a subsidy D a tariff Answer: B

Question: The central area of a country produces tea for which it has an ideal climate. The coastal area produces coconuts because its climate is different. Assuming there is no change in market conditions, what will happen if this country subsequently produces only tea in both areas? A It will increase its costs of production. B It will increase the productivity of its land. C It will increase its total income. D It will make the best use of its resources. Answer: A

Question: What might encourage international specialisation between countries? A free trade B inefficiencies in production C labour immobility D tariffs Answer: A

Question: The following is a headline from a newspaper. USA to impose tariffs of 40 % on imported steel What is the most likely result of these tariffs? A a fall in the cost of producing cars in the USA B a fall in the exports of steel from the USA C a rise in employment in the USA’s steel industry D a trade deficit for the USA Answer: C

Question: Construction companies are building new houses on land previously used for farming. What is the opportunity cost to society of this activity? A improved living conditions B less congestion in city centres C more homes for new homeowners D some farm output Answer: D

Question: If a planned economy became a mixed economy, which industry would be most likely to remain under government control? A agriculture B coal mining C defence D motor car production Answer: C

Question: A boat owner employs a crew to catch fish to sell on the market. Which factors of production are involved in this activity? A labour, capital and enterprise only B land, labour and capital only C land, labour and enterprise only D land, labour, capital and enterprise Answer: D

Question: What is the most likely outcome of increased specialisation in a water bottling plant? A higher costs per bottle B higher wage rates C increased job satisfaction D increased output of bottles of water Answer: D

Question: What is a characteristic of a public corporation? A It issues shares to the general public. B It is owned by the government. C Its objective is to maximise profits. D It is owned by more than twenty shareholders. Answer: B

Question: What best describes a multi-national company? A a company that is owned by the government B a company that has many shareholders C a company that trades internationally D a company that produces in more than one country Answer: D

Question: What is usually a function of a trade union? A to determine the amount of dividend paid B to negotiate wage levels with employers C to recommend redundancies D to take responsibility for organising sales of companies’ products Answer: B

Question: Tea and sugar are complementary goods. What will happen if the price of tea falls, other things being equal? A The demand curve for sugar will move to the right. B The demand curve for tea will move to the right. C The price of sugar will fall. D The supply curve of sugar will move to the left. Answer: A

Question: The price of a good is temporarily above the market equilibrium price. What must happen for the market to be brought back to equilibrium? quantity demanded quantity supplied A rises rises B rises falls C falls rises D falls falls Answer: B

Question: What is not held constant in calculating a demand schedule? A the incomes of consumers B the prices of complementary goods C the price of the good itself D the tastes of consumers Answer: C

Question: As petrol prices increase, demand for petrol remains constant. What does this say about the price elasticity of petrol? A The demand is price-elastic. B The demand is price-inelastic. C The supply is price-elastic. D The supply is price-inelastic. Answer: B

Question: The price elasticity of demand for a good is unitary. What would be the effect of a 1 % fall in its price? A to increase total revenue by 0.1 % B to leave quantity demanded unchanged C to leave total revenue unchanged D to reduce quantity demanded by 1 % Answer: C

Question: What is an important influence on price elasticity of demand? A average earnings B tastes of consumers C the cost of living D the number of close substitutes Answer: D

Question: Why is a surgeon likely to have a higher wage rate than a hospital porter? A The surgeon has been in the job a longer time. B The surgeon has a longer training period. C The surgeon is older. D The surgeon is in a trade union. Answer: B

Question: What is an advantage for a worker in part-time rather than full-time employment? A a higher wage B greater employment protection C more opportunity for other activities D greater chance of promotion Answer: C

Question: Which factor is likely to cause an increase in people’s savings? A an increase in tax rates B an increase in the interest rate C a reduction in economic uncertainty D a reduction in real wages Answer: B

Question: What is likely to cause wages in an occupation to be low? A a high level of responsibility B high unemployment C the need for special skills D unpleasant working conditions Answer: B

Question: A firm’s average revenue is $10. It sells 2000 units. What is the firm’s total revenue and the price of the product? Total revenue ($) Price ($) A 10 10 B 2 000 200 C 20 000 10 D 20 000 200 Answer: C

Question: 0 6 150 7 140 8 100 What will happen if price rises from $5 to $6 per kilo? A Total revenue will rise. B Demand will rise. C Total revenue will fall. D Total costs will rise. 20 An entrepreneur can use either capital or labour in the production process. The actual combination changes as the prices of the factors alter. When is capital most likely to replace labour? price of capital price of labour A constant falling B falling rising C rising constant D falling falling Answer: B

Question: What is happening when a firm is experiencing economies of scale? A It has rising long-run average costs. B It is operating in the short run. C Its fixed costs are less than variable costs. D Its output is increasing faster than its inputs. Answer: D

Question: When is a firm most likely to undertake capital investment? A when it has increasing demand for its product B when it has increasing variable cost C when it has a decreasing rate of profit D when it has decreasing availability of finance Answer: A

Question: What might a government decrease if it wished to slow down the rate of growth in an economy? A expenditure on defence B goods and services (value added) tax C interest rates D the rate of income tax Answer: A

Question: Why might policies to promote economic growth result in inflation? A They increase competition. B They increase saving. C They increase spending. D They increase unemployment. Answer: C

Question: Which aim of government policy is most likely to be achieved by an increase in interest rates? A economic growth B greater equality of income C full employment D price stability Answer: D

Question: Why might a government encourage a monopoly? A It can have high average costs. B It can compete against foreign firms. C It can prevent innovation. D It can make excessive profits. Answer: B

Question: What is meant by the incidence of a tax? A how the revenue raised by the tax is spent B how the tax is collected C why the tax is imposed D where the burden of the tax is finally felt Answer: D

Question: What would contribute to a fall in the value of the UK pound (£)? A a fall in interest rates in other countries B a rise in the number of foreign tourists visiting the UK C the removal of import tariffs by the USA D the value of UK imports increasing more than the value of UK exports Answer: D

Question: What is meant by the depreciation of a currency? A a fall in its external value B a fall in its internal value C a rise in its external value D a rise in its internal value Answer: A

Question: What is most likely to lead to inflation? A a decrease in consumer spending B a decrease in employment in the public sector C an increase in the cost of factor inputs D an increase in income tax Answer: C

Question: What is the most likely cause of population migration to cities in developing countries? A an ageing population B higher unemployment rates in cities C higher wages in cities D higher land values in cities Answer: C

Question: What is the most likely cause of a fall in the population growth of a developing country? A a decrease in the birth rate B a decrease in emigration C a decrease in immigration D a decrease in the standard of living Answer: A

Question: What is most likely to be found in a developing country? A a large proportion of professional people B a large proportion of income spent on entertainment C a small proportion of very old people D a small average family size Answer: C

Question: Assuming nothing else is changed, what will be the effect if a country imposes tariffs? A increased import prices B increased export prices C reduced government revenue D reduced home production Answer: A

Question: The central area of a country produces tea for which it has an ideal climate. The coastal area produces coconuts because its climate is different. Assuming there is no change in market conditions, what will happen if this country subsequently produces only tea in both areas? A It will increase its costs of production. B It will increase the productivity of its land. C It will increase its total income. D It will make the best use of its resources. Answer: A

Question: More people decide to travel by bus and train rather than by car because government subsidies result in reduced fares. What will be the effect on the private benefit for passengers and external benefit? private benefit for passengers external benefit A falls falls B falls rises C rises falls D rises rises Answer: D

Question: Which of the effects of economic development would be classed as an external cost? A higher wages B increased pollution C increased production D more advanced technology Answer: B

Question: What is an example of the factor of production ‘capital’? A a truck B a truck driver C a truck driver’s savings D a truck driver’s wage Answer: A

Question: What makes specialisation easier? A the imposition of taxation B the protection of trade C the system of barter D the use of money Answer: D

Question: In a market economy, who determines the allocation of resources? A central authorities only B firms only C consumers and firms only D central authorities and firms only Answer: C

Question: A government is faced with the choice of raising taxation or cutting public spending. Of what is this an example? A conservation of resources B monetary policy C opportunity cost D substitution of factors Answer: C

Question: Each country of Southern Africa has a mixed economy. Which statement about a mixed economy is correct? A The government employs most primary sector workers. B The government owns all major secondary sector industries. C The government owns the transport network. D The government provides public and merit goods. Answer: D

Question: When will a trade union be most effective in pursuing its members' interests? A The economy is in recession with rising unemployment. B The employers have few orders for the product. C The government passes a law to increase competition in the labour market. D The members' wages make up a small part of total costs. Answer: D

Question: What is the main advantage that a public limited company has over a private limited company? A It operates in the public sector. B Its shares can be sold on the stock exchange. C It is managed by a director. D Its shareholders have limited liability. Answer: B

Question: What is the function of a stock exchange? A It enables shareholders to sell their shares. B It fixes fair prices for shares. C It promises to buy unsold shares. D It sets the number of shares. Answer: A

Question: A French company employs French people, is located only in France, sells shares on the stock exchange but uses other firms to transport its products to other countries. What type of company is this? A a co-operative B a private company C a public company D a multi-national Answer: C

Question: In many countries, the price of personal computers has fallen while the quantity sold has risen. What is the most likely reason for these changes? A Advertising campaigns for computers increased. B Computer production technology improved. C Computer software became cheaper. D Real incomes rose. Answer: B

Question: Which group is likely to save the largest proportion of its income? A employed workers B retired people C school students D unemployed workers Answer: A

Question: What is not included in a person’s stock of wealth? A a gold watch B annual income C an oil painting D company shares Answer: B

Question: Which asset is the most illiquid? A cash B money order C government bonds D a house Answer: D

Question: Which service is most likely to be supplied by a small business? A banking B dental treatment C heart surgery D rail travel Answer: B

Question: A British firm, Dyson, moved production of its vacuum cleaners from the UK to Malaysia. Why might it have made this change? A average costs would fall B average revenue would rise C market share would fall D transport costs would rise Answer: A

Question: What is a fixed cost of production? A the commission paid to sales staff B the cost of using the telephone C the interest paid on a bank loan D the money spent on repairs Answer: C

Question: What is not equal to the average revenue? A the price of each unit B the profit from each unit C the revenue from each unit D the total revenue divided by output Answer: B

Question: The information below refers to an economy for a financial year. Government expenditure = $2 866 million Government revenue = $1 940 million What was the budget balance of the Government in that year? A $926 million in deficit B $4 806 million in deficit C $926 million in surplus D $4 806 million in surplus Answer: A

Question: A local tax will usually be A raised by a central government. B used to provide a national road network. C different from region to region. D raised by using import tariffs. Answer: C

Question: A government establishes a body to control monopolies and mergers. Who is this intended to protect? A consumers B foreign investors C multi-nationals D the government Answer: A

Question: Frictional unemployment occurs when A workers are temporarily between jobs. B there is a general fall in total demand. C certain major industries go into economic decline. D new technology reduces the need for labour. Answer: A

Question: What is a reason for collecting national income statistics? A to calculate population changes B to compare standards of living C to fix exchange rates D to keep inflation low Answer: B

Question: Nepal 93 2 5 UK 2 42 56 What can be concluded from the table? A Iran has fewer people working in manufacturing than the UK. B Nepal is a developed economy. C Services are more developed in Iran than Nepal. D The UK is dependent on agriculture. 29 In rural areas in developing countries women often do unpaid work on traditional activities. Why might this mean that the GDP is not a good measure of the standard of living in those countries? A The GDP does not include international trade. B The GDP only refers to companies in urban areas. C The work is not counted in GDP statistics. D The work is not economically important. Answer: C

Question: Two industries in Namibia are fishing and tourism. The value of the currency of Namibia fell in 2001. If there were no other changes, what resulted from the fall? A Imported goods in Namibian shops became cheaper. B The price of Namibia’s fish sold in foreign markets became cheaper. C The volume of Namibia’s exports decreased. D Tourists were discouraged by higher prices in Namibia. Answer: B

Question: Which country is likely to have the lowest standard of living? birth rate death rate life expectancy infant mortality A 25 10 57 24 B 43 31 40 42 C 25 5 72 22 D 36 14 48 56 Answer: B

Question: In 2005, world population had grown to 6.5 billion with an increase of more than 4 billion since 1950. What is most likely to have been the cause of this? A an increase in the death rate in developed countries B an increase in the birth rate in developing countries C an increase in migration from developing to developed countries D an increase in the death rate in developing countries Answer: B

Question: At the G8 Economic Summit in 2005, it was decided to cancel much of the debt which African countries owed to European and North American countries. This will have the same effect as a transfer of resources from A developed countries to developing countries. B developing countries to developed countries. C market economies to planned economies. D planned economies to market economies. Answer: A

Question: A government decides to reduce the size of the quota on a good. What is likely to happen? A The balance of trade will worsen. B The good will become cheaper. C The government’s revenue will decline. D There will be less of the good imported. Answer: D

Question: Which combination would offer increased trade protection for an economy? domestic subsidies tariffs A bigger higher B bigger lower C smaller higher D smaller lower Answer: A

Question: Why may it be better to increase public expenditure while reducing private expenditure? A Goods and services which the market ignores can be provided. B Government officials are likely to be more careful spending money than private individuals. C The profit motive makes government departments more efficient than private firms. D The government is the best judge of the satisfaction gained from goods and services. Answer: A

Question: Zambia is the fifth largest producer and the second largest exporter of copper in the world. Copper brings Zambia 85 % of all the money Zambia earns in trade. What can be concluded from this? A Copper prices are high because Zambia is a large producer. B Manufacturing production in Zambia is very diversified. C Zambia can influence the world price of copper. D Zambia produces copper more cheaply than all other countries. Answer: C

Question: What will result if Europe reduces trade barriers to increase imports of clothing and food from Asia and Africa? A greater choice for European consumers B increased income for European producers C lower unemployment in the European clothing industry D slower economic growth in Asia and Africa Answer: A

Question: $2 bn is invested in developing a country’s natural resources and infrastructure. Which two factors of production does this refer to directly? A capital and labour B capital and land C enterprise and land D labour and land Answer: B

Question: What makes specialisation easier? A the imposition of taxation B the protection of trade C the system of barter D the use of money Answer: D

Question: A free market economy is more likely than a planned economy to encourage development because A equality of income is encouraged. B factors of production would be employed efficiently. C government intervention uses taxes and subsidies. D social costs are taken into consideration. Answer: B

Question: An economy is producing at X. food machines 100 0 75 150 200 X Y What is the opportunity cost of choosing to produce at Y instead of X? A 25 machines B 50 units of food C 75 machines D 150 units of food Answer: B

Question: Each country of Southern Africa has a mixed economy. Which statement about a mixed economy is correct? A The government employs most primary sector workers. B The government owns all major secondary sector industries. C The government owns the transport network. D The government provides public and merit goods. Answer: D

Question: When will a trade union be most effective in pursuing its members' interests? A The economy is in recession with rising unemployment. B The employers have few orders for the product. C The government passes a law to increase competition in the labour market. D The members' wages make up a small part of total costs. Answer: D

Question: What is the function of a stock exchange? A It enables shareholders to sell their shares. B It fixes fair prices for shares. C It promises to buy unsold shares. D It sets the number of shares. Answer: A

Question: A French company employs French people, is located only in France, sells shares on the stock exchange but uses other firms to transport its products to other countries. What type of company is this? A a co-operative B a private company C a public company D a multi-national Answer: C

Question: A firm produces a good with a price elasticity of demand greater than 1. What must the firm experience if there is a fall in the price of this good? A a decrease in costs B a decrease in sales C an increase in revenue D an increase in profits Answer: C

Question: Which group is likely to save the largest proportion of its income? A employed workers B retired people C school students D unemployed workers Answer: A