Question : Which of the following is a macroeconomic indicator?
Option 1: Consumer price index (CPI)
Option 2: Price elasticity of demand
Option 3: Market equilibrium price
Option 4: Marginal utility
Correct Answer: Consumer price index (CPI)
Solution : The correct answer is (a) Consumer price index (CPI).
The consumer price index (CPI) is a measure of the average price level of goods and services consumed by households. It is used to track inflation and estimate changes in the cost of living. The CPI is a macroeconomic indicator because it provides information about the overall price level in an economy. It reflects the changes in prices of a basket of goods and services typically consumed by households, allowing policymakers and economists to assess the rate of inflation and make informed decisions regarding monetary policy, wage adjustments, and economic planning.
Question : The consumer gets maximum satisfaction at the point where:
Option 1: Marginal utility = Price
Option 2: Marginal utility > Price
Option 3: Marginal utility < Price
Option 4: Marginal cost = Price
Question : The consumer's equilibrium is attained at the point where:
Option 1: Marginal utility is zero
Option 2: Marginal utility is positive
Option 3: Marginal utility is equal to price
Option 4: Marginal utility is equal to income
Question : Which one is not the type of elasticity of demand?
Option 1: Price elasticity of demand
Option 2: Income elasticity of demand
Option 3: Cross elasticity of demand
Option 4: Consumer elasticity of demand
Question : What is the slope of a demand curve?
Option 1: Price
Option 2: Quantity demanded
Option 3: Elasticity
Question : The concept of the consumer's surplus is based on the difference between:
Option 1: Total utility and marginal utility
Option 2: Total utility and price
Option 3: Total utility and consumer income
Option 4: Price and consumer income
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