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The final-term examination of international department in DongShan foreign language school
Grade two:Economics
Question paper maker:jerry Lu Date:20th Jan
Section I: Multiple questions
1. A consumer allocates his expenditure over time. What would cause an increase in the opportunity cost of current consumption to the consumer?
A a decrease in his current income
B a decrease in interest rates
C an increase in his current income
D an increase in interest rates
2. In the diagram the original production possibility curve is LM.
What might cause the curve to shift to NP?
A technological progress
B unemployment of resources
C the depletion of natural resources
D a reallocation of resource
3. A government proposes to introduce a road congestion charge which would require private motorists to pay a toll for road use.
Which statement relating to the proposal is normative?
A Bus passengers will benefit at the expense of motorists.
B Motorists with higher incomes will be prepared to pay the charge in return for reduced journey times.
C Motorists with lower incomes will not be able to afford to use the roads.
D The proposal will be unfair to motorists who have no alternative means of transport.
4. What would encourage the growth of the international division of labour?
A an improvement in transport systems
B instability in international exchange rates
C restrictions on the movement of resources
D the widespread introduction of tariffs
5 Which piece of information would enable you to construct the market demand curve for a product?
A the equilibrium price of the product
B the number of consumers who would purchase the product at each price
C the number of firms in the industry
D the quantity that each consumer would be willing and able to buy at each price
6 What is most likely to increase the demand for compact disc players?
A a fall in disposable incomes
B a fall in the price of cinema tickets
C a fall in the price of compact discs
D a fall in the price of vide
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