Economics quiz

Utility refers to

• Usefulness

• Satisfaction

• Anticipated satisfaction

• Pleasure

What is not a determinant of demand

• Consumer's expectations

• Consumer's taste and preference

• Income of consumers

• Prices of unrelated goods

A group of people decrease demand due to common product due to which of following

• Veblen effect

• Bandwagon effect

• Snob effect

• None

The demand for which type of goods do not decrease with the increase in its price

• Comforts

• Luxury

• Necessities

• All the above

For what types of goods does demand fall with a rise in income levels of households

• Inferior goods

• Necessities

• Substitute goods

• Complementary goods

If the price of good X increases demand for good Y also increases the two goods are

• Normal goods

• Complementary goods

• Substitute goods

• None

Change in demand due to increase in real income of a consumer is

• Income effect

• Substitution effect

• Marginal effect

• None

Veblen effect slopes towards

• Downward

• Positive

• Negative

• Upwards

Who coined the term Demonstration effect

• Adam smith

• Veblen

• Alfred marshal

• James duesenbure

High price goods are consumed by status seeking rich people to satisfy their need for conspicuous consumption

• Vablen effect

• Snob effect

• Demonstration effect

• Bandwagon effect