Chapter 1: Introduction to Micro Economics — Online MCQ Test
ECONOMICS · CLASS 11th · Tamil Nadu State Board
Practice Chapter 1: Introduction to Micro Economics with a free chapter-wise online MCQ test.
This chapter covers: This chapter covers basic economic concepts nature scope and definitions of economics. Students examine micro vs macroeconomics economic laws fundamental economic problems and prod....
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Chapter 1: Introduction to Micro Economics — Important Questions & Answers
Who is known as the 'Father of Economics'?
- A. Alfred Marshall
- B. Adam Smith
- C. Lionel Robbins
- D. Paul Samuelson
Answer: B. Adam Smith
Adam Smith is considered the father of economics for his classic work 'An Inquiry into the Nature and Causes of the Wealth of Nations'.
Adam Smith is considered the father of economics for his classic work 'An Inquiry into the Nature and Causes of the Wealth of Nations'.
Which of the following is the core concern of Microeconomics?
- A. National income
- B. General price level
- C. Individual economic units
- D. Aggregate employment
Answer: C. Individual economic units
Microeconomics focuses on the study of the behavior of individual units like a consumer, a firm, or an industry.
Microeconomics focuses on the study of the behavior of individual units like a consumer, a firm, or an industry.
If a country faces a 'Production Possibility Curve' (PPC) that shifts outward, what does this indicate?
- A. Decrease in resources
- B. Economic growth
- C. Inefficient production
- D. Constant technology
Answer: B. Economic growth
An outward shift of the PPC indicates economic growth due to an increase in resources or improvements in technology.
An outward shift of the PPC indicates economic growth due to an increase in resources or improvements in technology.
Why is the study of scarcity essential in economics?
- A. Resources are unlimited but wants are limited.
- B. Resources are limited and wants are unlimited.
- C. Resources and wants are both unlimited.
- D. It helps in ignoring the price mechanism.
Answer: B. Resources are limited and wants are unlimited.
Economics arises because human wants are infinite, while the resources available to satisfy them are scarce.
Economics arises because human wants are infinite, while the resources available to satisfy them are scarce.
The concept of 'Marginal' in economics usually refers to:
- A. The total change in value
- B. The average of all values
- C. The change resulting from an additional unit
- D. The fixed cost of production
Answer: C. The change resulting from an additional unit
In economics, 'marginal' means incremental—the additional change when one more unit of input or output is added.
In economics, 'marginal' means incremental—the additional change when one more unit of input or output is added.