Production and Indian Economy Quiz 4

Uncommon thing between law of variable proportions & returns to scale is-

• Increasing Returns

• Decreasing Returns

• Constant Returns

• None of above

Economies of scale means increasing production with _________ per unit

• Increase in total cost

• Decrease in average cost

• Decrease in marginal cost

• Decrease in total cost

Which one of the following is also known as Long run average cost curve?

• Basket Curve

• Wallet Curve

• Envelope curve

• None of above

Which of the following is an example of external diseconomies?

• Lower salary of firm

• Higher salary of firm

• Tax exemption by Govt.

• High Tax Govt. Policy

Internal economies of scale are noticed at-

• Firm level independent of industry

• Industry level independent of Firm

• At both firm & industry level

• Nowhere

Which of the following is an example of internal diseconomies?

• High salary of firm

• High tax for industry

• Low tax for industry

• Labour - management disputes in firm

Which of the following is an example of External economies?

• Low salary of firm

• tax exemption for industry

• High tax for industry

• Labour - management disputes of firm

With which of the following is the concept of marginal cost closely related?

• Variable cost.

• Fixed cost.

• Opportunity cost.

• Economic cost.

Which of the following does not have non linear shape?

• Total cost curve

• Total Variable cost curve

• Total fixed cost curve

• None of above

Which of the following statements is incorrect?

• About 80 per cent of agricultural area has irrigation facilities.

• About 60 per cent area is rain fed in India.

• Productivity per worker in agriculture is much lower.

• Cropping pattern is quite skewed in India.