1. Microeconomics deals with

A) The behavior of the electronics industry
B) The activities of individual unit
C) The behavior of firms
D) Economic aggregates



2. Production possibility curve is ___to origin.

A) Concave
B) Convex
C) Parallel to X-axis
D) Parallel to Y-axis



3. In economics the central problem is:____

A) Scarcity
B) Allocation
C) Consumption
D) Money



4. Socialist economy is a ___

A) Planned economy
B) Mixed economy
C) Profit oriented economy
D) None of the above



5. In capitalism, all economic activities are guided by ___

A) Market forces
B) Central government
C) State government
D) Supreme Court