Verbal ReasoningGMAT Focus Edition

GMAT Economics practice questions

Reading comprehension passages on economics, markets, and business test dense-reading skill. Practice economics-themed RC passages.

Free Economics practice

5 sample questions

Practice Question 1easyReading Comprehension

According to the passage, what is one primary advantage of perfect competition in a market?

Firms can easily influence market prices.

There are significant barriers to entry.

Resources are allocated efficiently.

Products are sold above their marginal cost.

Firms face little to no competitive pressure.

Practice Question 2easyReading Comprehension

What is the author's primary purpose in discussing the concept of perfect competition within the passage?

To explain why perfect competition is unattainable in real markets.

To criticize the inefficiencies of real-world markets.

To establish a standard for evaluating real-world market performance.

To argue for the elimination of barriers to market entry.

To highlight the superiority of small firms in competitive markets.

Practice Question 3mediumReading Comprehension

Based on the passage, which challenge is associated with the adoption of AI in business?

Increased operational costs

Ethical implications regarding data privacy

Decreased customer satisfaction

Inability to automate routine tasks

Limited data processing capabilities

Practice Question 4hardReading Comprehension

Based on the passage, which of the following is most likely a consequence of using non-probability sampling methods in surveys?

Improved accuracy in representing the general population.

Increased logistical and financial efficiency.

A heightened risk of introducing bias into the survey results.

Enhanced reliability and validity of the data collected.

Higher participation rates compared to probability sampling.

Practice Question 5very_easyReading Comprehension

What is the primary purpose of the passage?

To advocate for the exclusive use of random sampling.

To compare surveys with other forms of data collection.

To provide a detailed history of survey methods.

To criticize the use of surveys in political research.

To explain the factors affecting the reliability of survey data.

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GMAT Economics practice questions

Free Economics practice

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