An expansionary monetary policy shifts ------------to the---------

• A) IS curve; left.
• B) LM curve; right.
• C) LM curve; left.
• D) IS curve; right.

"Change in consumer confidence" is an example of:

• A) Production Shock
• B) Supply Shock
• C) IS Shock
• D) LM Shock

The major difficulty for underdeveloped country to measure the economic growth is:

• A) Lack of skilled manpower.
• B) All of the given options.
• C) Lack of supply of empirical data.
• D) Preoccupation with other more important problems.

In the IS-LM model, an increase in money supply shifts ---------

• A) LM curve to the left.
• B) IS curve to the left.
• C) LM curve to the right.
• D) IS curve to the right.

Nominal exchange rate is denoted by---------------

• A) e.
• B) r*.
• C) P*.
• D) E.

As risk premium increases, interest rate --------, money demand --------- and LM* curve shifts rightward.

• A) Decreases; increases
• B) Decreases; decreases
• C) Increases; Increases
• D) Increases; decreases

Diseconomies of scale arise in which of the following conditions?

• A) If cost elasticity is equal to one
• B) If cost elasticity is less than one
• C) If cost elasticity is more than one
• D) If cost elasticity is equal to zero

If TFC= 200, Price = 10 and AVC = 5, than Break even output level will be:

• A) 50
• B) 40
• C) 20
• D) 30

In which of the following cases, cost elasticity will be less than one?

• A) When percentage change in cost is less than the percentage change in output
• B) When percentage change in cost is greater than the percentage change in output
• C) When percentage change in cost is equal to the percentage change in output
• D) When percentage change in cost is less than the percentage change in input

Engineering technique uses knowledge of the ___________ relationship between inputs and outputs:

• A) Negative
• B) Monetary
• C) Neutral
• D) physical

Economies of scale arise in which of the following conditions?

• A) If cost elasticity is more than one
• B) If cost elasticity is equal to one
• C) If cost elasticity is less than one
• D) If cost elasticity is equal to zero

In the production process, if there is an increase in the cost of raw material then which of the following will happen?

• A) Cost function will remain the same
• B) Cost function will shift downward
• C) Cost function will shift upward
• D) None of the given options

Theory of duality was developed in:

• A) 1930
• B) 1949
• C) 1947
• D) 1939

Difference between accounting and economic costs arises because economic cost also includes:

• A) Opportunity cost
• B) Variable cost
• C) Fixed cost
• D) Total cost

Collectively slack variables and surplus variables are called as:

• A) Dummy Variable
• B) Dependent variable
• C) Explanatory variable
• D) Independent variable

Which of the following computer soft wares are used to solve the problem of linear programming?

• A) LINDO
• B) Fore Profit software
• C) All of the given soft wares
• D) MS Excel Solver

Who introduced the concept of linear programming?

• A) John von Neumann
• B) Leonid Kantorovich
• C) Joel Dean
• D) George B Dantzig

which of the following is used to calculate optimal number of plants:

• A) None of the above
• B) Optimal multi plant activity level / Optimal Production per plant
• C) Optimal Production per plant / Optimal multi plant activity level
• D) Optimal multi plant activity level - Optimal Production per plant

which of the following aspects of production are dealt in engineering technique:

• A) Technical aspects
• B) None of the above
• C) Administrative aspects
• D) Cost aspects

A linear programming problem has an optimal solution if it occurs at which of the following points?

• A) Corner point of the feasible space
• B) Mid point of the non feasible space
• C) Corner point of the non feasible space
• D) Mid point of the feasible space