Question : Administered prices refer to:

Option 1: Prices are determined by forces of demand and supply.

Option 2: Prices determined by sellers in the market

Option 3: Prices determined by an external authority which is usually the government

Option 4: None

Question : Demand in economics means:

Option 1: aggregate demand

Option 2: market demand

Option 3: individual demand

Option 4: demand backed by purchasing power

Question : What is speed?

Option 1: It is the distance covered by an object in a unit of time

Option 2: It is the velocity of an object per unit time

Option 3: It is the force applied on covering a unit distance

Option 4: It is the acceleration of an object per unit time

Question : A product has an initial quantity demanded of 100 units at a price of INR 10 per unit. Due to a price change, the new quantity demanded is 120 units. Calculate the price elasticity of demand.

Option 1: 0.5

Option 2: 1.5

Option 3: 2.0

Option 4: 2.5

Question : Which of the statement is correct
A: The horizontal summing of the individual demand curves results in the market demand curve.
B: The market demand curve is flatter than the individual demand curve.

Option 1: Only A true

Option 2: Only B true

Option 3: Both are true

Option 4: Both are false