Explain the implications of the feature 'large number of buyers' in a perfectly competitive market. |
Or |
Explain the implications of the feature 'homogeneous products' in a perfectly competitive market. |
Define marginal cost. Explain its relation with average cost. |
Or |
Define variable cost. Explain the behaviour of total variable cost as output increases. |
Market for a good is in equilibrium. There is ?increase? in supply of the good. Explain the chain of effects of this change. Use diagram. |
Or |
Distinguish between ?non-collusive? ad ?collusive? oligopoly. Explain the following features of oligopoly: |
(i) Few firms |
(ii) Non-price competition |
When price of a foreign currency falls, the demand for that foreign currency rises. Explain why. |
Or |
When price of a foreign currency falls, the supply of that foreign currency also falls. Explain? Why? |
Explain the 'redistribution of income' objective of a government budget. |
Or |
Explain the 'economy stability' objective of a government budget. |
From the following data about a government budget find (a) Revenue deficit, (b) fiscal deficit and (c) primary deficit | ||
S. No. | Items | (Rs. Arab) |
(i) | Tax revenue | 47 |
(ii) | Capital receipts | 34 |
(iii) | Non-tax revenue | 10 |
(iv) | Borrowings | 32 |
(v) | Revenue expenditure | 80 |
(vi) | Interest payments | 20 |
Giving reasons, explain the treatment assigned to the following while estimating National Income: |
(i) Family members working free on the farm owned by the family. |
(ii) Payment of interest on borrowings by general government. |
Explain the role of the following in correcting the inflationary gap in an economy: |
(i) Legal reserves |
(ii) Bank rate |
Or |
Explain the role of the following in correcting the deflationary gap in an economy: |
(i) Open market operations |
(ii) Margin requirements |
Explain the following functions of the central bank: |
(i) Bank of issue |
(ii) Banker's bank |
Calculate (a) 'Net Domestic Product at Factor Cost'from the following: | ||
(Rs. crores) | ||
(i) | Domestic product accruing to government | 300 |
(ii) | Wages and salaries | 1,000 |
(iii) | Net current transfers to abroad | (-) 20 |
(iv) | Rent | 100 |
(v) | Interest paid by the production units | 130 |
(vi) | National debt interest | 30 |
(vii) | Corporation tax | 50 |
(viii) | Current transfers by government | 40 |
(ix) | Contribution to social security schemes by employees | 200 |
(x) | Dividends | 100 |
(xi) | Undistributed profits | 20 |
(xii) | Net factor income to abroad | 0 |
You need to login to perform this action.
You will be redirected in
3 sec