1. The wealth definition of economics is given by
(a) Adam Smith              (b) Alfred Marshall
(c) Robbins                     (d) Samuelson

2. Which of the following is concerned with micro
economics?
(a) the size of national output
(b) the level of employment
(c) the change in the level of prices
(d) none of the above

3. When total utility is maximum, marginal utility
is?
(a) zero                 (b) one
(c) positive           (d) negative

4. The concept 'consumer surplus' is associated with
(a) Pigou                   (b) Marshall
(c) Keynes                 (d) Ricardo

5. Who has built up the principle of diminishing
marginal rate of substitution?
(a) J.R. Hicks                  (b) Robertson
(c) Kaldor                      (d) Keynes

6. Indifference curve is also called as
(a) Iso - utility curve
(b) Iso - revenue curve
(c) Iso - profit curve
(d) Iso - cost curve

7. Production means transforming
(a) Inputs into output
(b) Cost into revenue
(c) Demand into revenue
(d) Cost into profit

8. 'Division of labour' is given by
(a) Adam Smith                (b) Marshall
(c) Keynes                         (d) Pigou

9. According to classical economists the law of
diminishing returns is applicable to
(a) Agriculture             (b) Industry
(c) Services                  (d) All the above

10. The law of variable proportion is applicable when
(a) All factors are fixed
(b) All factors are variable
(c) There are only two variable factors
(d) Some factors are fixed and other are variable