1. Study of an economy includes: Alternative forms of an economy like ___ economy.

A) Capitalism
B) Socialism
C) Mixed
D) All of above



2. During the eighteenth and the early part of nineteenth century, Adam Smith, considered to be the founding father of modern economics, along with economists like-X. Alfred MarshallY. J. B. SayZ. Walker

A) Y & X
B) X, Y & Z
C) Y only
D) Z & Y



3. Which of the following would be considered a disadvantage of allocating resources using a market system?

A) Income will tend to be unevenly distributed
B) Significant unemployment may occur
C) It cannot prevent the wastage of scarce economic resources
D) Profits will tend to be low



4. Which of the following can be treated as characteristic of economic wants?1. Even if satisfied, the wants have a tendency to re-emerge.2. With the passage of time, the wants tend to increase in number and in variety.

A) 1 but not 2
B) 2 but not 1
C) Both 1 & 2
D) Neither 1 nor 2



5. Welfare definitions of economics were propounded by-

A) Adam Smith
B) Alfred Marshall
C) Samuelson
D) Lionel Robbins