Statistics MCQ Questions with Answers
45- Methodology of Econometrics deals with
(A) Mathematical formulation of economic theory and choosing the relevant data
(B) Design methods and procedures based on statistical theory about economic variables
(C) Development of methods of estimating parameters and testing its validity
(D) All of the above
46- The term ‘Econometrics’ was introduced in 1926 by
(A) Arthur S. Goldberger
(B) Michael D. Intrilligator
(C) Ragnar Frisch
(D) None of the above
47- Non-negativity condition is an important component of linear programming problem because
(A) variable values should remain under control of decision maker
(B) value of variables makes sense and correspond to real world problems
(C) variables are interrelated in terms of related resources
(D) none of the above
48- A physical operations research model is example of
(A) an iconic model
(B) an analogue model
(C) a verbal model
(D) a mathematical model
49- Transportation problem deals with transportation of
(A) a single product from several sources to a destination
(B) a multi-product from several sources to several destinations
(C) a single product from several sources to several destinations
(D) a single product from a source to several destinations
50- One disadvantage of using North-West corner rule to find initial basic feasible solution to transportation problem is that
(A) It is complicated to use
(B) It does not take into account cost of transportation
(C) It leads to a degenerate solution
(D) All of the above
51- A profit maximization monopolist in two separate markets will ______
(A) Charge the same commodity price in both markets
(B) Always charge a higher commodity price in the market where he sells more
(C) Always charge a higher commodity price in the market where he sells less
(D) Adjust his sales in two markets so that his marginal revenue (MR) in each market just equals his aggregate marginal cost.
52- For a duopolistic market
(A) reaction function express the input of each duopolist as a function of his rival’s output
(B) reaction function express the input of first duopolist as a function of his rival’s output
(C) reaction function express the output of each duopolist as a function of his rival’s output
(D) reaction function express the output of first duopolist as a function of his rival’s output
53- A __________ is able to subdivide his market to such a degree that he sells each successive unit of his commodity for the maximum amount that consumers are willing to pay
(A) Monopolist
(B) Perfect monopolist
(C) Discriminating monopolist
(D) Perfectly discriminating monopolist
54- Select the incorrect assumption for perfect competitive market
(A) Firms produce a homogeneous commodity
(B) Consumers are identical from the seller’s point of view
(C) Firms and consumers both are numerous
(D) Entry into and exit from the market is free for firms and consumers in short run
55- Supply functions of individual firms can be defined for
(A) Short run during which output level can be varied but plant size cannot vary
(B) Very short period during which output level cannot vary
(C) Long run in which all inputs are variable
(D) All of the above
ANSWERS:
45-(D), 46-(C), 47-(B), 48-(A), 49-(C), 50-(B), 51-(D), 52-(C), 53-(D), 54-(D), 55-(D)