A disadvantage of the mean as measure of central tendency is that?
Is affected by extreme values
Can only be used for continuous data
Cannot be used to measure the qualities of a population
Cannot be determined in group data
Correct answer is A
The important disadvantage of mean is that it is sensitive to extreme values/outliers, especially when the sample size is small. Therefore, it is not an appropriate measure of central tendency for skewed distribution. Mean cannot be calculated for nominal or nonnominal ordinal data.
The following constitute the criteria for identifying an economic system except?
Ownership of resources
Scarcity of resources
Method of decision making
Motivation for production
Correct answer is B
Economic systems are the means by which countries and governments distribute resources and trade goods and services. They are used to control the five factors of production, including: labor, capital, entrepreneurs, physical resources and information resources. An economic system is a system of production, resource allocation, exchange and distribution of goods and services in a society or a given geographic area.
An outward shift of the production possibility curve shows that
Production is shifting to the left
Resources are under-utilized
Economic growth has taken place
Factors of production are moving outward
Correct answer is D
Increases in the production possibilities curve are represented by shifts outward, or to the right, while decreases are represented by shifts inward, or to the left.
When using a PPC, growth is defined as an increase in potential output over time, and illustrated by an outward shift in the curve. An outward shift of a PPC means that an economy has increased its capacity to produce all goods.
Which of the following can be described as land?
Forest
Diamonds
Roads
Crude oil
Correct answer is C
Land, sometimes referred to as dry land, is the solid surface of Earth that is not permanently covered by water and is immovable.
Economics is regarded as a science because it
Studies laws that govern human behaviour
Uses scientific method to explain human behaviour
Makes use of controlled experiments to explain human behaviour
Makes use of machines to study human behaviour
Correct answer is B
Economics is regarded as a science because it uses scientific methods to build theories that can help explain the behaviour of individuals, groups and organisations. Economics attempts to explain economic behaviour, which arises when scarce resources are exchanged.