MCQ Chapter 3A Economics Class 12 Maharashtra Board Demand Analysis 1. What is the basis of demand according to the concept of utility?PriceIncomeUtilityPopulationQuestion 1 of 202. In economics, what does demand mean?A simple desireA desire backed by willingness and ability to payThe price of a commodityThe utility of a commodityQuestion 2 of 203. If a person desires a television but lacks purchasing power, what is it called?DemandUtilityDesireNeedQuestion 3 of 204. According to Benham’s definition, what is demand at a given price?The utility of a commodityThe amount bought per unit of time at that priceThe desire for a commodityThe total income of the consumerQuestion 4 of 205. What is a key feature of demand as a relative concept?It is independent of timeIt is expressed with reference to time and priceIt depends only on incomeIt is constant regardless of priceQuestion 5 of 206. What does a demand schedule represent?The utility of a commodityThe functional relationship between price and quantity demandedThe income of consumersThe size of the populationQuestion 6 of 207. What is an individual demand schedule?A table showing market demandA table showing quantities demanded by one consumer at various pricesA graph of market demandA list of substitute goodsQuestion 7 of 208. What does an individual demand curve illustrate?Market demandThe relationship between income and demandThe graphical representation of an individual demand scheduleThe price of substitute goodsQuestion 8 of 209. Why does the individual demand curve slope downward?Due to a direct relationship between price and quantity demandedDue to an inverse relationship between price and quantity demandedDue to constant income levelsDue to unchanging tastesQuestion 9 of 2010. What is market demand?Demand$ The total demand for a commodity by one consumerThe total demand for a commodity by all consumers at a given priceThe demand for substitute goodsThe demand for complementary goodsQuestion 10 of 2011. How is a market demand schedule created?By summing individual incomesBy a horizontal summation of individual demand schedulesBy analyzing substitute goodsBy calculating utilityQuestion 11 of 2012. What does the market demand curve represent?The demand for complementary goodsA horizontal summation of individual demand curvesThe income effectThe substitution effectQuestion 12 of 2013. Why does the market demand curve slope downward?Due to a direct relationship between price and demandDue to an inverse relationship between price and market demandDue to constant population sizeDue to unchanging tastesQuestion 13 of 2014. What is one reason for the downward slope of the demand curve?Increasing marginal utilityLaw of Diminishing Marginal UtilityConstant income effectRising substitution effectQuestion 14 of 2015. What happens to purchasing power when the price of a normal good falls?It decreasesIt remains constantIt increasesIt becomes irrelevantQuestion 15 of 2016. What is the substitution effect?Buying more of a commodity when its price risesBuying more of a substitute when the price of a commodity risesBuying less of a substitute when the price of a commodity fallsBuying more of a complementary goodQuestion 16 of 2017. Why does demand rise when a commodity’s price falls, according to multi-purpose uses?Because it becomes a prestige goodBecause it can be used for several needsBecause of increasing marginal utilityBecause of government policyQuestion 17 of 2018. What happens when the price of a commodity falls, according to the concept of new consumers?Existing consumers buy lessNew consumers can afford the commodityThe commodity becomes a prestige goodThe commodity’s utility decreasesQuestion 18 of 2019. What is direct demand?Demand for goods used in productionDemand for goods that satisfy wants directlyDemand for substitute goodsDemand for complementary goodsQuestion 19 of 2020. What is another name for indirect demand?Joint demandDerived demandComposite demandCompetitive demandQuestion 20 of 20 Loading...
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