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SUBJECT ECONOMICS
Time 3:00 Hrs.
M.M. 100
General Instructions :
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M.M. - 100
General Instructions :
1. First 5 minutes for reading.
2. Attempt all questions at one place only.
3. All questions are compulsory.
1. Question No. 1 -8 are very short answer type question carrying one
marks each.
2. Question No 9 16 are short answer type question carrying three
marks each.
3. Question No. 17 - 24 are also short answer type question carrying
four marks each.
4. Question No. 25 -30 are long answer type question carrying six
marks each.
5. Answer should be brief and to the point.
Q.1 What is a market economy ?
Q. 2 Why is a firm called Price taker?
Q. 3 Define budget set.
Q.4 What is meant by increase in supply ?
Q. 5 Define supply .
Q. 6 What is positive economics ?
Q. 7 What is normative economics ?
Q.8 What is a planned economy ?
Q. 9 Why is a production possibilities curve concave ? Explain.
Q10 Giving examples, explain the meaning of cost in economics.
Q.11 Draw average revenue and marginal revenue curves in a single
diagram of a firm which can sell more unit of a good only by
lowering the price of that good . Explain.
Q. 12 Distinguish between Average Revenue and Marginal Revenue with
the help of a numerical example.
Q. 13 Explain the implication of freedom of entry and exit to the firms
under perfect competition.