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81.

Which of the following is not a feature of iso-product curves? Iso-product curves:

A.	Are downward sloping to the right	B.	Show different input combination producing the same output
C.	Intersect each other	D.	Are convex to the origin

82.

Some economists refer to iso-product curves as:

A.	Engels curve	B.	Production indifference curve
C.	Budget line	D.	Ridge line

83.

Which one of the following is also known as plant curves?

A.	Long-run average cost (LAC) curves	B.	Short-run average cost (SAC) curves
C.	Average variable cost (AVC) curves	D.	Average total cost (ATC) curves

84.

What is the shape of the average fixed cost (AFC) curve?

A.	U-shape	B.	Horizontal upto a point and then rising
C.	Sloping down towards the right	D.	Rectangular hyperbola

85.

An increase in the supply of a commodity is caused by:

A.	Improvements in its technology	B.	Fall in the prices of other commodities
C.	Fall in the prices of factors of production	D.	All of the above

86.

Elasticity of supply refers to the degree of responsiveness of supply of a commodity to changes in its:

A.	Demand	B.	Price
C.	Costs of production	D.	State of technology

87.

The cost of one thing in terms of the alternative given up is known as:

A.	Production cost	B.	Physical cost
C.	Real cost	D.	Opportunity cost

88.

According to current thinking, the law of diminishing returns applies to:

A.	All fields of production	B.	Agriculture
C.	Mining	D.	Manufacturing

89.

Identify the correct statement:

A.	The average product is at its maximum when the marginal product is equal to the average product	B.	The law of increasing returns relates to the effect of changes in factor proportions
C.	Economies of scale arise only because of indivisibilities of factors of production	D.	The production possibility curve and the transformation curve are different curves

90.

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

A.	Variable cost	B.	Fixed cost
C.	Implicit cost	D.	Explicit cost