A normal supply curve has a positive slope which indicates that
Sellers are willing to sell more at a lower price
Sellers are indifferent to prices
Sellers are willing to sell more at a higher price
There is always a fixed supply
Correct answer is C
A supply curve will normally slope upwards (positive) because sellers like it when they're selling at higher prices than lower ones. So they're more willing to sell at higher prices than lower ones.
Households make economic decisions because they want to
Make more profit
Increase their salaries and wages
Increase their purchases
Maximize their satisfaction
Correct answer is D
Households make consumption decisions and own factors of production. Economic decisions are those decisions in which people (or families or countries) have to choose what to do in a condition of scarcity. This means that people have to make economic decisions because they want more things than they can actually get. Therefore, they have to choose between various options and they do this by deciding on how to maximize their untility.
Which of following is not a feature of socialism?
Collective ownership of productive resources
Freedom of enterprise
Production is not based on the profit motive
Maximization of public welfare
Correct answer is A
The main feature of socialism is the common ownership of means of production and distribution.
In a centrally planned economy, what to produce is
Determined by the forces of demand and supply
Driven by profit motive
Determined by consumers
The responsibility of state's bureaucrats
Correct answer is D
A centrally planned economy is an economic system in which a single authority, such as a government, makes economic decisions regarding the manufacturing and the distribution of products.
A basic economic problem of any society is
High level of illiteracy
Irregular power supply
Population growth
Resource allocation
Correct answer is D
The fundamental economic problem is the issue of scarcity and how best to produce and distribute these scare resources. Scarcity means there is a finite supply of goods and raw materials. Finite resources means they are limited and can run out.