Which term is used for an engagement in risky business with the idea of making a large profit in short time ?

Related Mcqs:

1. A firm that makes profit in addition to normal profit is making ?

   A. Economic profit
   B. Accounting profit
   C. Normal profit
   D. supernormal profit

2. The short run marginal cost curve cuts the short run total cost curve and short run average variable cost curve ?

   A. At their lowest points
   B. When they are declining
   C. When they are increasing
   D. When marginal revenue is zero

3. With whom would you associate the following quote” The business of business is business” ?

   A. Milton Friedman
   B. Adam smith
   C. Alfred Marshal
   D. Karl Marx

4. Term the covering of a short position by purchasing a long contract, usually resulting from the short of a commodity ?

   A. Short-positioning
   B. Buyback
   C. Drawback
   D. None of them

5. Real business cycle theory suggests that ____ not important in explaining short-term fluctuations around actual output ?

   A. aggregate supply is
   B. aggregate demand is
   C. potential output is
   D. real variables are

6. Real business cycle theorists argue that _________ can explain short- and long-term fluctuation in output?

   A. imperfect labor markets
   B. rational expectations
   C. intertertemporal decisions of households, firms and government
   D. sun spot cycles

7. The idea that the money supply should change to accommodate changes in aggregate demand is associated with the idea of ?

   A. Margaret Thatcher
   B. Ronald Reagan
   C. Milton Friedman
   D. John Maynard Keynes

8. When economists use the term real business cycle theory they are suggesting that business cycles are caused by ?

   A. Shifts in aggregate supply
   B. changes in export demand due to the state of the world economy
   C. business confidence
   D. business expectations

9. A firm in perfectly competitive industry is producing 50 units, its profit-maximising quantity. Industry price is £2 and total fixed costs and total variable cost are £25 and £40 respectively. The firm’s economic profit is ?

   A. £35
   B. £15
   C. £30
   D. £60

10. In monopolistic competition of firms are making abnormal profit other firms will enter and ?

    A. The marginal cost will shift outwards
    B. the demand curve will shift inwards
    C. The average cost will shift downwards
    D. The average variable cost will increase