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12th Standard English Medium Economics Subject Creative 5 Mark Questions with Solution Part - II

12th Standard

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Economics

Time : 01:00:00 Hrs
Total Marks : 125

    5 Marks

    25 x 5 = 125
  1. Explain the Demerits of capitalism.

  2. Explain the three sector model of economy with chart.

  3. Discuss the features of Capitalist economy.

  4. Discuss the Iimitations of National Income as an index of economic welfare.

  5. Discuss the concept of “Factor Cost”.

  6. Consider the following are the only transactions take place in an economy:
    (i) Industry A imports goods worth Rs. 100. It sells goods worth Rs. 400 to industry B, goods worth Rs. 200 to industry C, and goods worth Rs. 1,000 for private consumption.
    (ii) Industry B sells goods worth Rs. 500 to industry C and goods worth Rs. 800 for private consumption.
    (iii) Industry C sells goods worth Rs. 600 to private consumption. and exports goods, valued at Rs. 500.
    (iv) Depreciation cost during the year amounts to Rs. 100,
    (v) Government realises taxes of the value of Rs. 100. Calculate the following with the help of net value added method from the data given above
    (a) GNPMP
    (b) GNPFC
    (c) NNPMP and
    (d) NNPFC

  7. In each of the following scenarios, classify the individual as frictionally, structurally, or cyclically unemployed. Explain your classification.
    (a) There has been a general economic slow down. Because of weak demand, Kumar has lost his portering job at the railway station.
    (b) Sathish, a newly qualified dental graduate, is looking for a place to set up practice.
    (c) Latha is thrown out of work by the introduction of a more mechanized production process.
    (d) Devi, a computer programmer with a large bank, quit her job two months ago in search of a better-paid programming position. She is still looking.

  8. Explain consumption function with the help of diagram.

  9. What are the factors on which MEC depends? Also give details on the factors which influence MEC.

  10. Draw a consumption table where autonomous consumption is Rs.200 and the marginal propensity to consume is .8. Make sure to start with an income level of Rs.0 and increase by Rs.100 each time up to an income level of Rs.400. Without completing the table any further determine the level of income where consumption and income are equal. Prove this algebraically.

  11. Explain the short and long run factors of MEC.

  12. Explain other types of inflation (on the basis of inducement).

  13. Explain the evolution of money.

  14. Distinguish between Fisher’s and Cambridge Equation.

  15. Solve and discuss the following using Marshall “Cash Balance Approach”.
    (i) Suppose money supply in cash and bank deposits (M) = Rs. 1,000.
    (ii) The total annual national income (R) = 10,000 units.
    (iii) The goods (income) which the community wants to hold in money (K), say one-fifth of Y = 2,000 units.

  16. What are the objectives of ARDC? Explain.

  17. Discuss Cheap and Dear Money policy.

  18. Write the History, Administration and Brief Functions of RBI.

  19. Explain the disadvantages of FDI.

  20. Explain the determinants of Equilibrium Exchange Rate.

  21. State the importance of the comparative advantage of international trade.

  22. Elaborate various Gains from International Trade?

  23. State the objectives of SAARC.

  24. Write a note on relation between India and World Bank.

  25. Write anote on “Special Drawing Rights”.

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