Diminishing marginal utility is the basis of:
1.Law of supply
2.Law of demand
3.Law of returns
4.None of the above
Utility and usefulness are:
1.Equal
2.Different
3.Similar
4.Unrelated
Human wants are:
1.One thousand
2.Few
3. Innumerable
4.Countable
Indifference curves are convex to the origin because:
1.Two goods are perfect substitutes
2.Two goods are imperfect substitutes
3.Two goods are perfect complementary goods
4.None of the above
Rotten eggs are:
1.Free good
2.Economic good
3.Service
4.Wealth
Utility is most closely related to the term:
1.Useful
2.Useless
3.Necessary
4.Satisfaction
When MU = 0 TU is:
1.Minimum
2.Maximum
3.Laws of return
4.None of the above
A consumer is in equilibrium when marginal utilities are:
1.Minimum
2.Highest
3.Equal
4.Increasing
A consumers spending is restricted because of:
1.Marginal utility
2. Budget constraint
3.Demand curve
4.Utility maximisation
Demand curve slopes downward because of the law of:
1. Consumer equilibrium
2.Utility maximisation
3.Utility minimisation
4.Diminishing marginal utility
In economics one or more persons sharing common consumer budget is called:
1.Business firm
2.Gathering
3.Organisation
4.Household
Law of Equi-marginal Utlity is a law of:
1. Production of wealth
2.Consumption of wealth
3.Distribution of wealth
4.Exchange of wealth
Law of substitution is another name for law of:
1.Law of Diminishing MU
2.Law of Equi-MU
3. Law of Demand
4.Satisfaction
Quality of a commodity that satisfies some human want or need is called:
1.Service
2.Demand
3.Utility
4.Efficiency
The term marginal in economics means:
1.Unimportant
2.Additional
3.The minimum unit
4.Just barely passing
When marginal is negative it must be true that:
1.The average is negative
2.The average is decreasing
3.The total is negative
4.The total is decreasing
When MU is positive TU:
1.Increases
2.Decreases
3.Remains constant
4.Is highest