Professional Documents
Culture Documents
Grade 8
MCQ
1.What is the opportunity cost to the individual of the extra earnings when moving
from position X toposition Y?
A $20
B $80
C 4 hours leisure
D 8 hours leisure
4.The table shows how employment in five industries changed in a country between
1985 and 2000.
What is the opportunity cost to the village of increasing the production of food from
200 to 300 units?
A 50 units of clothing
B 100 units of clothing
C 200 units of clothing
D 250 units of clothing
10. Why did planned economies often experience long queues for consumer goods?
A The factors of production were able to move freely.
B The distribution of goods was inefficient.
C The output decisions were taken to maximise profits.
D The needs of consumers determined production.
11 The diagram shows the choices for an individual between leisure and earnings.
What is the opportunity cost to the individual of the extra earnings when moving
from position X
to position Y?
A $20
B $80
C 4 hours of leisure per day
D 8 hours of leisure per day
13 Cleaning the streets can be an unpleasant job and yet in many countries it is
badly paid.
What is likely to be the reason for this?
A There is a high degree of trade union membership among these workers.
B There is a high supply of labour because the work is unskilled.
C There is a high demand for staff in busy urban areas.
D There is a long working year because there are few holidays.
14. A person planning for old age saves in the form of money rather than goods.
Which function does money perform when this is done?
A medium of exchange
B standard of deferred payment
C store of value
D unit of account
15 Which of the following factors is likely to cause wages in an occupation to be low?
Aextra responsibility
B rising unemployment
C the need for special skills
D unpleasant working conditions
16 What may cause an individual to save a higher proportion of their income?
A a belief that the price of goods will rise in the future
B a fall in the rate of interest paid by the countrys banks
C a fear that income will fall in the future
D a rise in the individuals wish to enjoy higher consumption immediately
17 On completing your studies, you decide you want to work in an organisation which is big
enoughto give you a chance of promotion, but where shift work will not normally be required.
Which of the following would be the best one to choose?
A a government office
B a hairdressing salon
C a hospital emergency department
D a local electricians
18.The table shows the proportion of income saved for different age groups.
30 As a result of a decrease in the demand for coal, several coal mines were closed.
What type of unemployment would this cause?
A cyclical
B frictional
C seasonal
D structural
33 In 2007 the average annual pay of a scientist in the UK was 37 290. The
average annual pay of a laboratory technician was 26 157.
What could explain this difference in earnings?
A Laboratory technicians have stronger bargaining power than scientists.
B Laboratory technicians have to work more unsociable hours than scientists.
C The period of training for scientists is longer than that for laboratory technicians.
D The supply of scientists is high relative to demand for their services.