Practice MCQ Questions and answers on Supply-Side Policies & Sources of Comparative Advantage Mcqs

A. subsidies to encourage firms that moves

B. tax concessions for firms that move.

C. improved infrastructure

D. all of the above

A. market-orientated economists

B. left-wing theorists

C. Keynesian.

D. new-Keynesian

A. publicly held stock to private individuals

B. corporately owned businesses to individuals

C. government businesses to the private sector.

D. privately owned businesses to the government sector

A. the charities economy

B. the demand side of the economy

C. the underground economy

D. the supply side of the country

A. there is no income effect when tax rates are changed

B. the income effect of a wage change is greater than the substitution effect of a wage change.

C. there is no substitution effect when tax rates are changed

D. the substitution effect of a wage change is greater than the income effect of a wage change

A. An increase in the minimum wage that would cause consumer spending to increase

B. investment tax credits for businesses to encourage investment

C. Restrictions placed on the amount that can be imported.

D. An increase in government spending that would lead to increased aggregate demand

A. bureaucracy

B. bad luck

C. poor communications

D. the low level of government grants and by the fact that some projects would have gone ahead anyway

A. New classical economists.

B. Left wing theorists

C. interventionist policies.

D. monetarists.

A. Technological change has made it possible for many industries to become more competitive

B. Because few real natural monopolies exist, there is rarely a reason for government regulation.

C. Many instances of government regulation have succeeded in reducing competition in industries where competition may be beneficial

D. All of the above

A. reduce poverty

B. reduce unemployment

C. weaken the power of trade unions

D. help small businesses