The most important factors of production are ?

Related Mcqs:

1. Hollis Chenery and Alan Strout identity three development stages in which growth proceeds at the highest rate permitted by the most limiting factors These factors are ?

   I- the skill limit
   II- the savings gap
   III- the fiscal gap
   IV- the foreign exchange gap

   A. I and II only
   B. II and IV only
   C. I, II and III only
   D. I, II and IV only

2. The theory that states that a country has a comparative advantage in the production of a product if that country is relatively well endowed with inputs used intensively in the production of that product is the?

   A. Ricardo Malthus theorem
   B. Heckscher Ohlin theorem
   C. Lucas-Laffer theorem
   D. Friedman Samuelson theorem

3. Which index combines measures of calorie availability (in relation to requirement) the growth of per capita daily energy supply food production food staples self-sufficiency, and variability of food production and consumption ?

   A. food sufficiency index
   B. food security index
   C. food self-intake index
   D. food growth index

4. If a country has a bowed out (concave to the origin) production possibility frontier then production is said to be subject to ?

   A. constant opportunity costs
   B. decreasing opportunity costs
   C. first increasing and then decreasing opportunity costs
   D. increasing opportunity costs

5. If a country has a liner (downward sloping) production possibilities frontier, then production is said to be subjected to ?

   A. constant opportunity costs
   B. decreasing opportunity costs
   C. first increasing and then decreasing opportunity costs
   D. increasing opportunity costs

6. If both input and output markets are competitive and firms are profit maximizing, then in equilibrium each factor of production earns ?

   A. an amount equal to the price of output times total output
   B. the amount allocated by the political process
   C. an equal share of output
   D. the value of its marginal product

7. An individual firm’s demand for a factor of production ?

   A. Slopes downward because an increase in the production of output reduces the price at which the output can be sold in a competitive market, thereby reducing the value of the marginal producing the value of the marginal product as more of the factor is use
   B. Slopes downward due to the factor’s diminishing marginal product
   C. slopes upward due to the factor’s increasing marginal product
   D. is perfectly elastic (horizontal) if the factor market is perfectly competitive

8. Two of the major factors contributing to growth are ?

   A. resources and efficiency
   B. money and efficiency
   C. money and luck
   D. resources and a good climate

9. All of the following factors can affect the attractiveness of a market segment EXCEPT ?

   A. the presence of many strong and aggressive competitors
   B. the likelihood of government monitoring
   C. actual or potential substitute products
   D. the power of buyers in the segments

10. Holding all factors constant except one and increasing a variable factor is expected to lead to steadily decreased marginal product of that factor, this is an example of ?

    A. decreasing returns to scale
    B. The law of diminishing returns
    C. constant returns to scale
    D. an inefficient production technique