PPSCFPSCNTSPakistan govt jobs
Subject
Marketeconomics-mcqs › market
Published
31 May 2019
Last updated
28 May 2026

Browse all Market MCQs

If both wheat buyers and sellers anticipate a future rise in wheat prices, what effect is expected on the current market equilibrium price and quantity of wheat?

Multiple choice question for Market. Select an option, then review the explanation below.

Choose the correct answer

Explanation

When both buyers and sellers expect wheat prices to increase, sellers may hold back supply to sell later at higher prices, reducing current supply, while buyers may increase demand to purchase before prices rise. These opposing forces cause the equilibrium price to rise, but the net effect on quantity is uncertain.

Practice related questions from the same subject.

  1. 1.Broadcasting firms use satellite TV subscriptions and signal detection tools primarily to combat which issue?
  2. 2.Which of the following is a classic example of a public good?
  3. 3.Which of the following factors can lead to market failure?
  4. 4.When a neighbor burns yard debris and smoke enters your home, what type of externality does this represent?
  5. 5.Why is a competitive equilibrium considered Pareto efficient?

PakQuizHub — free MCQs and past papers for Pakistan government job tests. Content is for educational practice only.