Goods X and Y are perfect substitutes. A consumer's indifference curve for these commodities is represented by a
A. | Upward sloping straight line |
B. | Upward sloping curve which is convex from below |
C. | Downward sloping straight line |
D. | Downward sloping curve which is convex to origin |
Option: C Explanation : Click on Discuss to view users comments. |
The Law of variable proportions comes into being when
A. | All factors are variable |
B. | There is a fixed factor and a variable factor |
C. | There are only two variable factors |
D. | Variable factors yield less |
Option: B Explanation : Click on Discuss to view users comments. |
Match the following :
(A) Cardinal approach 1. Marginal utility
(B) Ordinal approach 2. Alfred Marshall
(C) Hicks-Allen approach 3. J.R. Hicks
(D) Consumer's surplus 4. Indifference curve
5. Revealed preference theory
A. | (A) (B) (C) (D) 4 3 1 2 |
B. | (A) (B) (C) (D) 1 2 3 4 |
C. | (A) (B) (C) (D) 3 4 2 1 |
D. | (A) (B) (C) (D) 2 4 1 3 |
Option: B Explanation : Click on Discuss to view users comments. |