External economies refer to the

A. cost-saving advantage a firm enjoys when by being close to other firm in the same industry

B. disadvantage to a firm that is close to other firms

C. economies of large scale production

D. economies of low scale production

E. artificial scarcity of goods

To the economist, efficiency of resource use means

A. the maximum use of resource to achieve minimum objectives

B. the reduction of cost for adequate output

C. realting value of input to that of output

D. using appropriate resources for desired wants

E. maximizing output from a given amount of resource

The shape of the average cost (AC) shows that as production increases

A. total cost decreases

B. average cost decreases and then increases

C. average cost increaeses

D. marginal cost steadily increase

E. total cost remains constant

One of the advantages of localization of industry is that firms

A. make abnormal profits

B. are given tax holidays

C. are unified under one management

D. pay high wages

E. can have a large pool of skilled labours

Which of the following is not a type of industry?

A. export

B. construction

C. Mining

D. Manufacturing

E. Transport

In a joint-stock company the shareholders are the

A. owners

B. managers

C. chief executives

D. company advisers

E. day-to-day decision makers

The distribution of goods by the price system is distorted when

A. there is a high degree of competition among producers

B. producers and consumers operate freely

C. factors of production are mobile

D. no aalowance is made for social costs and social benefits

E. there is price control measure in the system

An appropriate industrialization strategy in an under-populated country is

A. import substitution

B. capital intensive

C. the contract method

D. the use of foreigners in the factories

E. labour intensive

The power of trade union may be weakened when there is

A. optimum population

B. a weak government in power

C. over population

D. a civilian government in power

E. under-population

Malthus' contention is that

A. population increase in arithmetic progression while food production increased in geometric progresion

B. population increased in geometric progression whil food production increased in arithmetic progression

C. population and food growth rate will, in future, be at par

D. nations have to get enough manpower to cultivate available land for food

E. output from agriculture decreased as more and more of the poorer lands were brought into cultivation