A price ceiling set below the equilibrium price generally results in: MCQ with Answer and Explanation

Question

Share Report Error

A price ceiling set below the equilibrium price generally results in:

A. surplus

B. shortage

C. increase in supply

D. equilibrium

Answer: Option B

Solution (By JKSSB Mock Tests)

A price ceiling below equilibrium creates excess demand or a shortage.

This question belongs to: Economy GK Economy Set 1

Request complete Subject PDF

Discuss this Question (0)

No comments yet. Be the first to start the discussion!

Practice More Economy Set 1 Questions

Question #1

The 'Goods and Services Tax Compensation Cess' is levied to compensate states for:

A. loss of import revenue

B. loss due to natural calamities

C. loss due to bank failures

D. loss of revenue due to GST implementation for a transition period

View Answer & Solution Discuss

Get Complete Subject PDF for Economy GK

Correct Answer: Option D

Explanation:
GST Compensation Cess compensates states for revenue loss due to GST implementation for five years.

This question belongs to: Economy GK Economy Set 1

Question #2

The 'National Statistical Office' in India is responsible for:

A. collection and publication of statistical data including national accounts

B. conducting elections

C. regulation of stock exchanges

D. currency printing

View Answer & Solution Discuss

Get Complete Subject PDF for Economy GK

Correct Answer: Option A

Explanation:
NSO collects and publishes official statistics including national accounts and price indices.

This question belongs to: Economy GK Economy Set 1

Question #3

Which of the following is a feature of the 'Data-Driven Network Effects'?

A. The feedback loop whereby more users generate more data, which improves the service and attracts still more users

B. Only traditional network effects without data

C. The absence of any feedback loops

D. Network effects that are independent of data

View Answer & Solution Discuss

Get Complete Subject PDF for Economy GK

Correct Answer: Option A

Explanation:
Data-driven network effects arise when additional users generate data that improve the quality of the service (e.g., through better recommendations or predictions), which in turn attracts more users, creating a self-reinforcing cycle.

This question belongs to: Economy GK Economy Set 1

Explore All Economy Set 1 MCQs