Production Possibilities Curve is also known as

1

(a)

Demand curve

(b)

Supply curve

(c)

Indifference curve

(d)

Transformation curve

Assume that when price is Rs 20, the quantity demanded is 15 units and when price is ns, the quantity demanded is 16 units. Based on this information what is the marginal revenue resulting from an increase in output from 15 units to 16 units?

1

(a)

Rs 18

(b)

Rs 16

(c)

Rs 12

(d)

Rs 28

For open -end classification, which of the following is the best measure of central tendency

1

(a)

Arithmetic mean

(b)

Geometric mean

(c)

Median

(d)

Mode

When demand curve is Rectangular hyperbola, ED > 1.

1

(a) True

(b) False

1. If TU remains the same; MU may be negative or positive

   1

   (a) True

   (b) False

2. When the quantity of a variable input is increased from 3 units to 4 units, the total output increases from 70 units to 85 units. The marginal product of the variable input is 15 units.

   1

   (a) False

   (b) True

The number of observations falling within a class is called:

1

(a)

Density

(b)

Frequency

(c)

Both (a) and (b)

(d)

None of these

'Limitation of study' mentions:

1

(a)

Sample Size

(b)

Assumptions

(c)

Methodological limitations

(d)

All of the above

Which one of the following statements is correct?

1

(a)

When the marginal cost is rising, the average cost must also be rising.

(b)

When the average cost is rising, the marginal cost must be falling.

(c)

When the average cost is rising, the marginal cost is above the average cost.

(d)

When the average cost is falling, the marginal cost must be rising.

Elasticity of supply is measured by dividing the percentage change in quantity supplied of a good by ____________

1

(a)

percentage change in income

(b)

percentage change in quantity demanded of good

(c)

percentage change in price

(d)

percentage change in taste and preference

In case of Giffen goods, the demand curve will be:

1

(a)

horizontal.

(b)

downward-sloping to the right.

(c)

vertical.

(d)

upward-sloping to the right.

Who is known as father of economics?

1

(a)

Marshall

(b)

Adam Smith

(c)

J B Say 

(d)

Robbins

1. Suppose the price elasticity of demand for a good is -0.2. How will the expenditure on the good be affected if there is a 10% increase in the price of the good?

   3

   (a)

   Total expenditure will rise if there is 10% rise in the price of the good since its demand is inelastic (Given ED = 0.2).

2. Give two examples of variable costs.

   3

   (a)

   (l) Raw materials.
   (II) Labour engaged on production

Comment on the following statement: "When average product and marginal product are equal, marginal product is at its maximum."

3

(a)

The statement is false because if average product is equal to marginal product, average product is at its maximum.

What is meant by 'market period'?

3

(a)

Market period refers to a very short period in which no adjustment can take place in supply in response to a change in demand /price.

1. Define marginal revenue.

   3

   (a)

   The amount received from the sale of additional unit of output is known as Marginal Revenue.

2. What are the two methods for determination of producer's equilibrium?

   3

   (a)

   (i) TR - TC Approach
   (ii) MR - MC Approach

Explain the effects on the market equillibrium by imposing ban on the sale of GUTKHA in Delhi

4

(a)

Due to the ban on the sale of GUTKHA in Delhi, the supply of GUTKHA will be reduced and the firms producing GUTKHA will shift their factors of production in the production of other related goods. Consumer demand of GUTKHA will reduce and hence in this way both the demand and supply of GUTKHA will reduce.
 Value: Social health conciousness

Differentiate between increase in supply ·and expansion in supply [increase in quantity supplied].

4

(a)

What are the essentials of a good statistical table?

4

(a)

Explain different types of two-dimensional diagrams.

4

(a)

1. Mr.Y works on some confidential data of ABC Ltd. One day, he got a call from some outsider to share one of the data he was working on. Mr.Y denied the same and did not disclose the information to the stranger? What value is reflected in this case?

   4

   (a)

   The value of honesty is reflected here as Mr. Y did not disclose the information which could have been used against the interest of the company he is working for.

2. A consumer consumes only two goods X and Y and is in equilibrium. Price of X falls. Explain the reaction of the consumer through the Utility Analysis.

   4

   (a)

1. Complete the following table.

   Price(Rs)	10	11	12	13	14	15	16
   Units sold	-	9	-	7	-	5	-
   TR(Rs)	100	-	96	-	84	-	64
   MR(Rs)	-	-	-	-	-	-	-

   4

   (a)

2. Selling cost is a nail in the coffin of consumer's sovereignty. How?

   4

   (a)

1. Calculate missing frequency if mean is known to be 26 from the data given below using direct method​​​​​​​​​​​​​​

   Marks	0-10	10-20	20-30	30-40	40-50	50-60
   No of students	8	12	20	10	6	4

   6

   (a)

2. Discuss the central problems of an economy

   6

   (a)

Calculate median from the following data set.

Marks in Economics	0-10	10-20	20-30	30-40	40-50	50-60	60-70	70-80
No. of students	5	15	18	12	20	15	7	3

6

(a)

Discuss the importance of Statistics in Economics.

6

(a)

Explain merits and demerits of graphic presentation.

6

(a)

Which values are of utmost importance in making of a project?

6

(a)

1. The yield of wheat and rice per acre for4 10 districts of a state is as under:

   District	1	2	3	4	5	6	7	8	9	10
   Wheat	12	10	15	19	21	16	18	9	25	10
   Rice	22	29	12	23	18	15	12	34	18	12

   Calculate for each crop
   (i) Range
   (ii) Q.D.
   (iii) Mean deviation about mean
   (iv) Mean deviation about median
   (v) Standard deviation
   (vi) Which crop has greater variation?
   (vii) Compare the values of different measures for each crop.

   6

   (a)

2. Explain the need of weights in index numbers. Explain commonly used weighting schemes.

   6

   (a)