Chapter 1 ECONOMICS : Introduction — Online MCQ Test
ECONOMICS · CLASS 11 INTER I YEAR · Andhra State Board
Practice Chapter 1 ECONOMICS : Introduction with a free chapter-wise online MCQ test.
This chapter covers: This chapter covers basic definitions of economics micro vs macroeconomics economic concepts human wants scarcity choice and economic systems..
AI-generated questions from basic to board-exam level, with instant results and explanations.
Chapter 1 ECONOMICS : Introduction — Important Questions & Answers
What is economics mainly concerned with in the study of human behaviour?
- A. Unlimited resources and unlimited wants
- B. Allocation of scarce resources among alternative uses
- C. Only the production of goods
- D. Only the exchange of money
Answer: B. Allocation of scarce resources among alternative uses
Economics studies how scarce resources are allocated to satisfy human wants that have alternative uses. Scarcity and choice are central ideas in economics.
Economics studies how scarce resources are allocated to satisfy human wants that have alternative uses. Scarcity and choice are central ideas in economics.
Which of the following is a microeconomics topic?
- A. National income
- B. General price level
- C. Demand of an individual consumer
- D. Inflation in the whole economy
Answer: C. Demand of an individual consumer
Microeconomics deals with individual units such as a consumer, a firm, or a particular market. Demand of an individual consumer is therefore a microeconomics topic.
Microeconomics deals with individual units such as a consumer, a firm, or a particular market. Demand of an individual consumer is therefore a microeconomics topic.
A student has only ₹100 and wants to buy both a notebook and a pen, but can afford only one of them. This situation best represents:
- A. Unlimited choice
- B. Scarcity and choice
- C. No opportunity cost
- D. Economic abundance
Answer: B. Scarcity and choice
Because the student's money is limited, not all wants can be satisfied. This creates scarcity and forces a choice.
Because the student's money is limited, not all wants can be satisfied. This creates scarcity and forces a choice.
Why is economics called a science of choice?
- A. Because it studies only mathematical formulas
- B. Because resources are scarce and people must choose among alternatives
- C. Because all wants can be satisfied fully
- D. Because it studies only government policy
Answer: B. Because resources are scarce and people must choose among alternatives
Economics is called a science of choice because scarcity makes it necessary to choose one alternative over another. Every choice involves giving up something else.
Economics is called a science of choice because scarcity makes it necessary to choose one alternative over another. Every choice involves giving up something else.
Which statement is the best answer to the question: 'Why does scarcity exist even in rich countries?'
- A. Because wants are limited
- B. Because resources are unlimited
- C. Because human wants are unlimited while resources remain limited
- D. Because money alone creates scarcity
Answer: C. Because human wants are unlimited while resources remain limited
Scarcity exists not because people are poor, but because human wants are unlimited and resources are limited everywhere. Even rich countries must make choices.
Scarcity exists not because people are poor, but because human wants are unlimited and resources are limited everywhere. Even rich countries must make choices.