Question : Any factor of production can earn economic rent when the supply is:
Option 1: perfectly elastic
Option 2: perfectly inelastic
Option 3: elastic in nature
Option 4: all of the above
Correct Answer: perfectly inelastic
Solution : The correct answer is perfectly inelastic.
Where supply is fully inelastic, any factor of production can generate economic rent. Economic rent is the remuneration received by a component of production that exceeds its potential cost. The value of the next best alternative use of the component of production is referred to as the opportunity cost. When a factor of production's supply is perfectly inelastic, the quantity provided does not fluctuate in response to price fluctuations. This signifies that the factor of production is limited and difficult to replace.
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Question : Surplus earned by a factor other than land in a short period is referred to as:
Option 1: economic rent
Option 2: net rent
Option 3: quasi-rent
Option 4: super-normal rent
Question : Which of the following is not a factor which should be kept in mind when planning meals for a family?
Option 1: Environment
Option 2: Nutritional need
Option 3: Economic factor
Option 4: Season
Question : Which of the following best indicates the economic growth of a nation?
Option 1: Agriculture income
Option 2: Per capita income
Option 3: Gross industrial production
Option 4: Inflation
Question : Select the most appropriate ANTONYM of the given word.
FLEXIBLE
Option 1: elastic
Option 2: ductile
Option 3: pliable
Option 4: rigid
Question : Which of the following procedures treats spinal stenosis (stricture)?
Option 1: Laminoplasty
Option 2: Corpectomy
Option 3: Foraminotomy
Option 4: All of the above
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