Question 1

if all factors of production are increased in a given proportion, output also increased in a same proportion:
A)second degree
B)first degree
C)third degree
D)none

Accepted Answer

When all factors of production are increased in a given proportion and output also increases in the same proportion, it is referred to as first degree or constant returns to scale. This means that the production function is linear and exhibits a direct one-to-one relationship between input increases and output increases.

Question 2

The amount of a productive factor that is essential to produce a unit of product is called:
A)technical coefficient
B)fixed proportion
C)variable proportion
D)none

Accepted Answer

The technical coefficient refers to the amount of a productive factor (such as labor, capital, or materials) that is required to produce one unit of output. It is a measure of the input-output relationship in the production process.

Question 3

The ratio of the factors (K/L):
A)apk
B)apl
C)mpl
D)mpk

Accepted Answer

The ratio of the factors (K/L) is equal to the marginal product of capital (MPK) divided by the marginal product of labor (MPL).

Question 4

Marginal rate of substitution between factors is equal to the ratio of :
A)mpx/mpy
B)mpl/mpk
C)mrsxy/mrs
D)none

Accepted Answer

The marginal rate of substitution between factors (such as labor and capital) is equal to the ratio of their marginal products, which is represented by mpl/mpk (marginal product of labor/marginal product of capital).

Question 5

The elasticity of substitution under cob- Douglas function:
A)2
B)1
C)0
D)3

Accepted Answer

The elasticity of substitution under the Cobb-Douglas production function is 1, indicating that inputs can be substituted for each other at a constant rate.

Question 6

If $\propto$ + = 1 is related to:
A)constant
B)increase
C)decrease
D)none

Accepted Answer

The symbols ? + = 1 can be interpreted as a representation of a constant value, where the equation or expression always equals 1, regardless of the operations or symbols used.

Question 7

The percentage change in output caused by a given percentage change in a variable factor is:
A)output elasticity
B)income elasticity
C)price elasticity
D)none

Accepted Answer

Output elasticity measures the percentage change in output resulting from a percentage change in a variable factor, reflecting the responsiveness of output to changes in that factor.

Question 8

If output is exhausted by the distributive shares of all factors:
A)euler theorem
B)output elasticity
C)labour share
D)none

Accepted Answer

Euler's theorem states that if the production function is homogeneous of degree one (linearly homogeneous), then the output is exactly exhausted by the payments to all factors of production. This means that the sum of the distributive shares (like wages for labor, rent for land, interest for capital) equals the total output.

Question 9

Who is invented the linear programming technique:
A)h. thail
B)george b danzig
C)galton
D)karl pearson

Accepted Answer

George B. Dantzig is credited with the development of the simplex algorithm, which is a method used in linear programming for solving optimization problems.

Question 10

Those which meet or satisfy the constraints of the problem:
A)technical
B)objective
C)feasible
D)optimum

Accepted Answer

Feasible solutions are those that meet or satisfy the constraints of a problem, meaning they are possible and practical to implement within the given limitations.

Question 11

one of the assumptions of LPP:
A)linearity
B)elasticity
C)equilibrium
D)none

Accepted Answer

The assumption of linearity in Linear Programming Problems (LPP) means that both the objective function and the constraints are linear. This is a fundamental assumption that allows for the use of linear algebra to find optimal solutions.

Question 12

One of the applications of LPP:
A)objectivity
B)diet problem
C)constraint
D)none

Accepted Answer

The diet problem is a classic example of a Linear Programming Problem (LPP) where the goal is to select a set of foods that meets certain nutritional requirements at a minimum cost.

Question 13

The term 'econometrics' was coined by:
A)marsahll
B)pawel
C)ragner frisch
D)clompa

Accepted Answer

Ragner Frisch, a Norwegian economist and joint winner of the first Nobel Prize in Economic Sciences in 1969, is credited with coining the term 'econometrics' to describe the discipline that applies mathematical and statistical methods to economic data.

Question 14

Error term serves the purpose of…………………….. assumption in economics:
A)dynamic
B)static
C)comparative
D)none of the above

Accepted Answer

The error term in economic models does not specifically serve the purpose of dynamic, static, or comparative assumptions. It is used to account for the variation in the dependent variable that is not explained by the independent variables in the model.

Question 15

Econometrics model is ………….model.
A)exogenous
B)endogenous
C)identified
D)either exogenous or endogenous

Accepted Answer

Econometric models can include both exogenous and endogenous variables, depending on the structure of the model and the nature of the variables being analyzed.

Question 16

The starting point of econometric analysis is:
A)model specification
B)formulation of alternative hypothesis
C)formulation of null hypothesis
D)collection of data

Accepted Answer

The answer of The starting point of econometric analysis is:
A)model...

Question 17

Regressor refers to:
A)independent variable
B)dependent variable
C)error term
D)dummy variable

Accepted Answer

A regressor is another term for an independent variable, which is a variable that is manipulated to determine its effect on the dependent variable.

Question 18

In perfect linear model, we assume that regression coefficient remains………..
A)variable until some point
B)variable through out
C)constant to some point
D)constant through out

Accepted Answer

In a perfect linear model, the assumption is that the regression coefficient remains constant throughout the entire range of data. This means that the relationship between the independent and dependent variables does not change.

Question 19

In econometric models, t+1 indicates:
A)net addition
B)current value with some fluctuations
C)expected value
D)none of these

Accepted Answer

In econometric models, t+1 often indicates a future or expected value, typically in the context of time series data where t represents the current time period and t+1 represents the next time period.

Question 20

Quota sample is………………….sample.
A)probability sample
B)non probability sample
C)convenient sample
D)judgment sample

Accepted Answer

Quota sampling is a type of non-probability sampling where the researcher selects a sample that reflects certain characteristics of the population. It does not involve random selection, hence it is classified as a non-probability sample.

Quiz 2: Econometrics and Factors of Production

if all factors of production are increased in a given proportion, output also increased in a same proportion:

The amount of a productive factor that is essential to produce a unit of product is called:

The ratio of the factors (K/L) :

Marginal rate of substitution between factors is equal to the ratio of :

The elasticity of substitution under cob- Douglas function:

If $\propto$ + = 1 is related to:

The percentage change in output caused by a given percentage change in a variable factor is:

If output is exhausted by the distributive shares of all factors:

Who is invented the linear programming technique:

Those which meet or satisfy the constraints of the problem:

one of the assumptions of LPP:

One of the applications of LPP:

The term 'econometrics' was coined by:

Error term serves the purpose of…………………….. assumption in economics:

Econometrics model is ………….model.

The starting point of econometric analysis is:

Regressor refers to:

In perfect linear model, we assume that regression coefficient remains………..

In econometric models, t+1 indicates:

Quota sample is………………….sample.