Here Are 399 Short Questions With Answers Related To
ECONOMICS
1. **Question:** What is the measure of responsiveness of quantity supplied to a
change in price?
- **Answer:** Price elasticity of supply
2. **Question:** Which term describes the relationship between the quantity of
a good that consumers are willing to buy and the price of that good?
- **Answer:** Demand
3. **Question:** When the price of a good decreases, causing the quantity
demanded to increase, it is an example of:
- **Answer:** Law of demand
4. **Question:** The total value of all final goods and services produced within a
country's borders in a specific time period is called:
- **Answer:** Gross Domestic Product (GDP)
5. **Question:** What is the term for the difference between total revenue and
explicit costs?
- **Answer:** Accounting profit
,6. **Question:** When the quantity demanded of a good equals the quantity
supplied, the market is in:
- **Answer:** Equilibrium
7. **Question:** The concept that additional units of a good yield diminishing
additional satisfaction is known as:
- **Answer:** Diminishing marginal utility
8. **Question:** What type of unemployment is caused by changes in the
business cycle?
- **Answer:** Cyclical unemployment
9. **Question:** A tax that takes a larger percentage of income from higher-
income individuals is known as a:
- **Answer:** Progressive tax
10. **Question:** The process of converting inputs into outputs is known as:
- **Answer:** Production
11. **Question:** Which term describes the measure of responsiveness of
quantity supplied to a change in price?
- **Answer:** Price elasticity of supply
,12. **Question:** The measure of responsiveness of quantity demanded to a
change in price is known as:
- **Answer:** Price elasticity of demand
13. **Question:** When a market produces the quantity of output at which
marginal cost equals marginal revenue, it is in:
- **Answer:** Profit-maximizing equilibrium
14. **Question:** What term refers to the difference between total revenue and
explicit costs?
- **Answer:** Accounting profit
15. **Question:** Which policy is used by governments to influence economic
activity through changes in taxation and government spending?
- **Answer:** Fiscal policy
16. **Question:** The percentage of disposable income that is saved is known as
the:
- **Answer:** Saving rate
17. **Question:** When the price of a good decreases, the quantity demanded
increases. This is an example of:
- **Answer:** Law of demand
, 18. **Question:** The total value of all final goods and services produced within
a country's borders in a specific time period is:
- **Answer:** Gross Domestic Product (GDP)
19. **Question:** Which term describes a situation where the quantity supplied
exceeds the quantity demanded?
- **Answer:** Surplus
20. **Question:** The relationship between the quantity of a good that
consumers are willing to buy and the price of that good is known as:
- **Answer:** Demand
21. **Question:** What term describes the distribution of a country's total
income among its population?
- **Answer:** Income distribution
22. **Question:** The measure of responsiveness of quantity supplied to a
change in price is called:
- **Answer:** Price elasticity of supply
23. **Question:** The measure of responsiveness of quantity demanded to a
change in price is known as:
- **Answer:** Price elasticity of demand
ECONOMICS
1. **Question:** What is the measure of responsiveness of quantity supplied to a
change in price?
- **Answer:** Price elasticity of supply
2. **Question:** Which term describes the relationship between the quantity of
a good that consumers are willing to buy and the price of that good?
- **Answer:** Demand
3. **Question:** When the price of a good decreases, causing the quantity
demanded to increase, it is an example of:
- **Answer:** Law of demand
4. **Question:** The total value of all final goods and services produced within a
country's borders in a specific time period is called:
- **Answer:** Gross Domestic Product (GDP)
5. **Question:** What is the term for the difference between total revenue and
explicit costs?
- **Answer:** Accounting profit
,6. **Question:** When the quantity demanded of a good equals the quantity
supplied, the market is in:
- **Answer:** Equilibrium
7. **Question:** The concept that additional units of a good yield diminishing
additional satisfaction is known as:
- **Answer:** Diminishing marginal utility
8. **Question:** What type of unemployment is caused by changes in the
business cycle?
- **Answer:** Cyclical unemployment
9. **Question:** A tax that takes a larger percentage of income from higher-
income individuals is known as a:
- **Answer:** Progressive tax
10. **Question:** The process of converting inputs into outputs is known as:
- **Answer:** Production
11. **Question:** Which term describes the measure of responsiveness of
quantity supplied to a change in price?
- **Answer:** Price elasticity of supply
,12. **Question:** The measure of responsiveness of quantity demanded to a
change in price is known as:
- **Answer:** Price elasticity of demand
13. **Question:** When a market produces the quantity of output at which
marginal cost equals marginal revenue, it is in:
- **Answer:** Profit-maximizing equilibrium
14. **Question:** What term refers to the difference between total revenue and
explicit costs?
- **Answer:** Accounting profit
15. **Question:** Which policy is used by governments to influence economic
activity through changes in taxation and government spending?
- **Answer:** Fiscal policy
16. **Question:** The percentage of disposable income that is saved is known as
the:
- **Answer:** Saving rate
17. **Question:** When the price of a good decreases, the quantity demanded
increases. This is an example of:
- **Answer:** Law of demand
, 18. **Question:** The total value of all final goods and services produced within
a country's borders in a specific time period is:
- **Answer:** Gross Domestic Product (GDP)
19. **Question:** Which term describes a situation where the quantity supplied
exceeds the quantity demanded?
- **Answer:** Surplus
20. **Question:** The relationship between the quantity of a good that
consumers are willing to buy and the price of that good is known as:
- **Answer:** Demand
21. **Question:** What term describes the distribution of a country's total
income among its population?
- **Answer:** Income distribution
22. **Question:** The measure of responsiveness of quantity supplied to a
change in price is called:
- **Answer:** Price elasticity of supply
23. **Question:** The measure of responsiveness of quantity demanded to a
change in price is known as:
- **Answer:** Price elasticity of demand