- Question 1
Define marginal revenue. VIEW SOLUTION
- Question 2
Unemployment is reduced due to the measures taken by the government. State its economic value in the context of production possibilities frontier. VIEW SOLUTION
- Question 3
Give meaning of 'returns to a factor.' VIEW SOLUTION
- Question 4
What is perfect oligopoly? VIEW SOLUTION
- Question 5
Define indifference map. VIEW SOLUTION
- Question 6
What is the behaviour of average fixed cost as output is increased? Why is it so? VIEW SOLUTION
- Question 7
State the relation between marginal revenue and average revenue.
OR
State the relation between total cost and marginal cost. VIEW SOLUTION
- Question 8
Why are the firms said to be interdependent in an oligopoly market? Explain. VIEW SOLUTION
- Question 9
Explain the central problem 'for whom to produce.' VIEW SOLUTION
- Question 10
A consumer buys 30 units of a good at a price of Rs. 10 per unit. Price elasticity of demand for the good is (−) 1. How many units the consumer will buy at a price of Rs. 9 per unit ? Calculate.
VIEW SOLUTION
- Question 11
What is market demand for a good? Name the factors determining market demand. VIEW SOLUTION
- Question 12
State the behaviour of marginal product in the law of variable proportions. Explain the causes of this behaviour. VIEW SOLUTION
- Question 13
A consumer consumes only two goods. Explain consumer's equilibrium with the help of utility analysis.
OR
A consumer consumes only two goods A and B and is in equilibrium. Show that when price of good B falls, demand for B rises. Answer this question with the help of utility analysis.VIEW SOLUTION
- Question 14
From the following information about a firm, find the firms equilibrium output in terms of marginal cost and marginal revenue. Give reasons. Also find profit at this output.
Output (units) Total Revenue (Rs.) Total Cost (Rs.) 1 7 8 2 14 15 3 21 21 4 28 28 5 35 36
- Question 15
Market for a product is in equilibrium. Supply of the product "decreases." Explain the chain of effects of this change till the market again reaches equilibrium. Use diagram.
VIEW SOLUTION
- Question 16
Explain the conditions of consumer's equilibrium with the help of the indifference curve analysis.
OrExplain the three properties of the indifference curves.
VIEW SOLUTION