MCQ Collection
USAT Economics MCQs
Practice USAT Economics questions with answers and explanations.
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Correct Answer: D. Fall
Explanation:
An outward supply shift generally lowers equilibrium price.
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Correct Answer: A. The additional cost of producing one more unit
Explanation:
Marginal cost measures the change in total cost from one additional unit.
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Correct Answer: B. A larger percentage as taxable income rises
Explanation:
A progressive tax rate increases with taxable income.
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Correct Answer: B. Policy interest rate
Explanation:
Central banks use interest rates and related tools to influence money and credit.
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Correct Answer: C. People able and willing to work but without a job
Explanation:
Standard unemployment concerns job-seekers without employment.
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Correct Answer: A. The value of the best alternative forgone
Explanation:
Opportunity cost is the benefit sacrificed by choosing one alternative over the next best.
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Correct Answer: B. Price rises, other factors constant
Explanation:
The law of demand describes an inverse price–quantity relationship, ceteris paribus.
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Correct Answer: C. A sustained rise in the general price level
Explanation:
Inflation is a continuing increase in the overall price level.
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Correct Answer: D. The market value of final goods and services produced domestically
Explanation:
GDP measures final domestic production over a period.
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Correct Answer: A. Monopoly
Explanation:
A monopoly has a single seller.
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Correct Answer: B. Policy interest rate
Explanation:
Central banks use interest rates and related tools to influence money and credit.
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Correct Answer: C. People able and willing to work but without a job
Explanation:
Standard unemployment concerns job-seekers without employment.
