The “Factors of Production” are:

• A. Land and labour
• B. Capital and organisation
• C. All of them
• D. None of them

The “Law of demand” is based upon:

• A. Law of diminishing marginal utility
• B. Law of increasing returns ·
• C. Principle of decreasing income level’
• D. Formula of investment viz a viz profitability

“Giffen’s Paradox” explains the relationship between:

• A. Supply and demand
• B. Price and demand
• C. Supply and price
• D. Income and demand

“Equilibrium’means:

• A. A state of balance
• B. An art of keeping the business profitable
• C. Dealing with two competitors simultaneously
• D. Maintaining relationship between investment and profit

Macro-economics is also called:

• A. Income theory
• B. Price theory
• C. Business theory
• D. Investment theory

Economics is basically:

• A. A positive science
• B. A normative science
• C. Both of them
• D. None of them

A “Normative Science” explains:

• A. What is?
• B. What ought to be?
• C. What will be?
• D. Investment theory

“Micro” means:

• A. A tenth part
• B. A thousandth part
• C. A hundredth part
• D. A millionth part

Economics is also called as

• A. An art of possibility
• B. A science of choices
• C. A game of money
• D. A circus of, fortune

Who authored the book titled as “An Enquiry into the Nature and Causes of the Wealth of Nations”?

• A. Fa walker
• B. J.m. keynes
• C. Adam smith
• D. Lionel robbins