Economics MCQS

[abdulhafeez]

Asalam u alaikum everyone,

can someone explain me this MCQ ?

8 What benefit is likely to result from the extension of specialisation within manufacturing?

A For a consumer, there are more individually made goods available.
B For a consumer, there could be a lower cost of living.
C For an employee, job satisfaction will increase.
D For an employee, the nature of work is more varied.


the answer is B in marking scheme..

 

[Zubair Junjunia]

Asalam u alaikum everyone,

can someone explain me this MCQ ?

8 What benefit is likely to result from the extension of specialisation within manufacturing?

A For a consumer, there are more individually made goods available.
B For a consumer, there could be a lower cost of living.
C For an employee, job satisfaction will increase.
D For an employee, the nature of work is more varied.


the answer is B in marking scheme..

Its not A obviously cos specialization means that all goods are same now.
C and D is incorrect too because specialization makes u do the same thing over and over again.

Ur left with B which is the most plausible answer

 

[NazimMansour]

Whats up Zubair ^

 

[abdulhafeez]

Its not A obviously cos specialization means that all goods are same now.
C and D is incorrect too because specialization makes u do the same thing over and over again.

Ur left with B which is the most plausible answer

but how do you explain lower cost of living in this situation, let's forget about this MCQ for a moment...

 

[Zubair Junjunia]

but how do you explain lower cost of living in this situation, let's forget about this MCQ for a moment...

Alright, when a country/industry specializes, it does so to reduce production costs. The advantage of specializing is that it improves efficiency and also increases production because people get more skilled in that specific area. Therefore, the cost of products would start to fall and there is then a possibility that the living costs would decreases because the costs of goods have fallen.

 

[abdulhafeez]

ohhhhhhhhhhhhhhh okay.. I got it! JAZAK ALLAH KHAIR

 

[abdulhafeez]

one more MCQ

explain this too please

An economy has one bank and no government controls. a 20 % cash to total deposits ratio is adequate to meet the normal demands of custormers.
How much additional credit could finally be created if $1000 in cash is deposited in the bank.

A) $800
B) $1000
C) $1200
D) $4000

the answer is D

 

[Zubair Junjunia]

one more MCQ

explain this too please

An economy has one bank and no government controls. a 20 % cash to total deposits ratio is adequate to meet the normal demands of custormers.
How much additional credit could finally be created if $1000 in cash is deposited in the bank.

A) $800
B) $1000
C) $1200
D) $4000

the answer is D

Alright so the ratio is =

Cash : Totals
20 : 100

If cash = 1000
then,

20 : 100
1000 : x

1000 divided by 20 = 50
50 multiplied by 100 = 5000

Now the question asks 'additional credit' so it is =
5000 - 1000 = 4000 = D

Is this even eco btw?

 

[bilal khan ksa]

http://papers.xtremepapers.com/CIE/Cambridge IGCSE/Economics (0455)/0455_s13_qp_11.pdf
Q23 please.

 

[m10cr7]

http://papers.xtremepapers.com/CIE/Cambridge IGCSE/Economics (0455)/0455_s13_qp_11.pdf
Q23 please.

As you can see from the question, demand is perfectly price inelastic, this means that demand will be the same at all possible prices. Hence the tax causes the equilibirium price to rise and the burden of the tax will fall entirely upon the customer. This is because petrol is a necessity, so the producer can charge all the extra tax on the customer

Hope you understand

 

[husnain99]

What will be the exact answer ? Help would be much appreciated