**2021**

**ECONOMICS**

__Full Marks: 100__

**Pass Marks: 30**

**Time: 3 hours**

**The figures in the margin
indicate full marks fOr the questions**

**PART – A**

**1. Answer the following as
directed:**

(a) What do you
understand by market
economy? 1

(b) OppOrtunity cost
is also known as _______ cost. (Fill in the
blank) 1

(c) Define
utility. 1

(d) What is the shape
of average product curve? 1

(e) What is the
relation between marginal cost curve of a firm and its supply
curve? 1

(f) What
is
price-ceiling? 1

2. What are the central
problems of an economy? 2

Or

What does a production
possibility curve indicate? 2

3. Write the law of
diminishing marginal
utility. 2

Or

What is complementary good?
Write with example. 2

4. What do you understand
by fixed factOr and variable factOr of
production? 2

5. State the law of variable
propOrtion. 2

Or

What is market supply? How
is the market supply curve
derived? 1+1=2

6. Write the conditions fOr
determining profit maximizing output fOr a firm under perfect
competition. 2

Or

“Firms under monopolistic
competition produce differentiated products.” Interpret the
sentence. 2

7. (a) What does a budget
line
indicate? 1

(b) The slope of the budget
line is _______. (Fill in the
blank) 1

Or

What do you understand by
‘monotonic preferences’? 2

8. Prepare an imaginary
demand schedule and on its basis, draw a demand
curve. 4

Or

Discuss the characteristics
of indifference
curve. 4

9. The following table
gives total cost (TC) schedule of a firm. Determine total variable cost (TVC),
average variable cost (AVC), average cost (AC) and marginal cost (MC)
schedule: 4

Quantity
of Output (Q): |
0 |
1 |
2 |
3 |
4 |

Total
Cost (TC) : |
10 |
40 |
60 |
80 |
95 |

Or

(a) Define average fixed
cost. 1

(b) When a firm produces 4
units of output, its total cost is Rs. 40 and total variable cost is Rs. 20.
Calculate average fixed
cost. 2

(c) Draw an average fixed
cost
curve. 1

10. Write four differences
between perfectly competitive market and monopoly
market. 4

Or

Write the characteristics
of monopolistic competitive market. 4

11. Define the
following: 1x4=4

(a) NOrmal
profit.

(b) Super-nOrmal
profit.

(c) Break-even
point.

(d) Shut-down
point.

12. Briefly discuss two
factOrs that affect supply curve of a
firm. 4

Or

Diagrammatically explain
how market equilibrium is attained. 4

13. (a) What is marginal
revenue of a
firm? 1

(b) Write the difference
between revenue and profit of a
firm. 1

(c) FOr a firm under
perfect competition, show that Price (P) = Average Revenue (AR) = Marginal
Revenue (MR). 4

Or

(a) Define production
function. 1

(b) What does an isoquant
indicate? 1

(c) The slope of an
isoquant is _______ (positive / negative / zero). (Fill in the blank with cOrrect
option) 1

(d) The production function
fOr a firm is given as , where Q is quantity of output, L is the amount of
labour employed and K is the amount of capital employed. Find total output when
the firm employs 5 units of labour and 2 units of capital. Estimate total
output if labour employed fails to 0 unit and capital employed increases to 10
units. 3

14. What do you understand
by movement along the demand curve and shift in the demand curve? Explain with
the help of
diagram. 6

Or

(a) What does price
elasticity of demand
indicate? 1

(b) Write the fOrmula of
calculating price elasticity of demand. 1

(c) What do you understand
by ‘elastic demand’ and ‘inelastic demand’? 2

(d) When the price of a
commodity is Rs. 4, then 25 units of it is demanded. When the price increases
to Rs. 5, the quantity demanded falls to 20 units. Calculate price elasticity
of
demand. 2

**PART – B**

15. Answer the following as
directed:

(a) Who
is known as the father of
economics? 1

(b) Give
the meaning of statistics in plural sense. 1

(c) What
is primary data? 1

(d) Statistics
deals only with quantitative data. (Write whether the statement is True Or
False) 1

(e) Arithmetic
mean is mostly affected by _______. (Fill in the
blank) 1

(f) Index
numbers are also termed as _______. (Fill in the
blank) 1

16. Write two impOrtance’s
of statistics in economics. 2

Or

Mention any two limitations
of
statistics. 2

17. Write two advantages of
direct personal investigation method of data
collection. 2

Or

Write two advantages of
classification of data. 2

18. What do you understand
by class frequency and class
interval? 2

Or

Write two differences
between discrete and continuous
variable. 2

19. Write two
characteristics of a good
average. 2

20. Write two merits of
mode. 2

21. Write the fOrmula of
calculating median fOr continuous frequency distribution. 2

Or

Give the fOrmula of
calculating arithmetic mean by step deviation method in case of continuous
series. 2

22. What are the advantages
of sampling method of data collection over the census method?
4

Or

Write the characteristics
of a good
questionnaire. 4

23. Briefly discuss the impOrtance
of index number. 4

*Or*

Mention the steps in
constructing index
number. 4

24. Define cOrrelation.
What do you understand by positive, negative and zero cOrrelation? Write with
example. 1+1+1+1=4

Or

Explain the concept of
scatter diagram. 4

25. What is range? Write
one merit and two demerits of
range. 1+1+2=4

Or

Write a shOrt note on
‘measures of
dispersion’. 4

26. Discuss the limitations
of
median. 4

Or

Determine median fOr the
following distribution: 4

Wages
(in Rs.) |
20 |
21 |
22 |
23 |
24 |
25 |
26 |
27 |
28 |

No.
of WOrkers: |
8 |
10 |
11 |
16 |
20 |
25 |
19 |
9 |
6 |

27. Briefly discuss the
merits and demerits of arithmetic mean. 6

Or

(a) What do you understand
by measures of central tendency? 1

(b) What are the three main
types of measures of central tendency? Define each of them. 1+3=4

(c) Write the empirical
relation between mean, median and
mode. 1

28. Briefly discuss four
advantages and two disadvantages of diagrammatic presentation of data. 4+2=6

Or

What do you understand by
tabulation of data? Briefly discuss the objective of tabulation of
data. 2+4=6

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