brodidit for students
Basic concepts of economics
Class 9 · Economics · 12 questions
Name: ____________________ Date: ____________
The reward of labour is called:
- A Rent
- B Wages
- C Interest
- D Profit
The reward of land is called:
- A Interest
- B Wages
- C Profit
- D Rent
The reward of capital is called:
- A Wages
- B Interest
- C Profit
- D Rent
The reward of the entrepreneur is called:
- A Wages
- B Rent
- C Interest
- D Profit
Which of these is a service?
- A Teaching
- B Bread
- C A pen
- D A table
Scarcity means that:
- A Goods are free
- B Resources are limited in relation to wants
- C Wants are limited
- D There is plenty of everything
The value of the next best alternative that is given up is the:
- A Demand
- B Profit
- C Opportunity cost
- D Utility
According to the law of demand, when the price of a good rises, the quantity demanded:
- A Falls
- B Becomes infinite
- C Stays the same
- D Rises
Moving goods from a factory to a shop where they are needed creates:
- A Possession utility
- B Form utility
- C Time utility
- D Place utility
Which of these is a need?
- A Food
- B A luxury car
- C A gold watch
- D A new phone
The power of a good to satisfy a want is called:
- A Utility
- B Income
- C Scarcity
- D Cost
Which of these is a factor of production?
- A Advertising only
- B Money in the bank only
- C Land
- D A tax
Answer key
1. B, 2. D, 3. B, 4. D, 5. A, 6. B, 7. C, 8. A, 9. D, 10. A, 11. A, 12. C
Labour earns wages.
Land earns rent.
Capital earns interest.
The entrepreneur bears risk and earns profit.
A service is an activity, such as teaching or medical care.
Scarcity is the central problem of economics.
This is the definition of opportunity cost.
Other things being equal, a higher price reduces quantity demanded.
Utility from changing the place of goods is place utility.
Food is essential for life.
Utility is the satisfaction a good can give.
The four factors are land, labour, capital and entrepreneur.