AHSEC Class 12 Economics Solved Question Paper 2023 [HS 2nd Year Assam Board Solutions]

Get AHSEC Class 12 Economics Solved Question Paper 2023 a detailed analysis and solutions to the HS 2nd Year Economics Question Paper 2023
Are you searching for the AHSEC Class 12 Economics Solved Question Paper 2023? Look no further! This article provides a detailed analysis and solutions to the HS 2nd Year Economics Question Paper 2023 under the Assam Higher Secondary Education Council (AHSEC). For students preparing for board exams, solved papers are a crucial resource for understanding question patterns, marks distribution, and important topics.

AHSEC Class 12 Economics Solved Question Paper 2023 – HS 2nd Year Assam Board Solutions

AHSEC Class 12 Economics Solved Question Paper 2023

2023

ECONOMICS

Full Marks: 80

Pass Marks: 24

Time: Three hours

The figures in the margin indicate full marks for the questions

PART – A

1. Answer the following:  1x6=6

(i) Define personal disposable income.

Ans:- Personal disposable income refers to that part of personal income that is actually available for consumption or savings by households.

(ii) What is the primary objective of commercial bank?

Ans:- The main objective of commercial banks is to provide financial services to the general public and credit facilities to business which helps in ensuring economic stability and growth of the economy.

(iii) Net indirect taxes are estimated as –

(a) Indirect taxes + Subsidies

(b) Subsidies – Indirect taxes

(c) Indirect taxes – Subsidies

(d) Both (b) and (c) (Choose the correct option)

(iv) Give two examples of capital expenditure of the government budget.

Ans:- (i) Expenditure on purchase of land by the Government.

(ii) Loans given by the Central Government to the State Governments.

(v) What type of budget should the government prepare during inflation?

Ans:- Surplus budget refers to a budget where the estimated total receipts exceed the estimated total expenditure. In the case of a surplus budget, the government takes in more money than it invests in the economy. This leads to a fall in the aggregate demand and price level in the economy and helps in tackling the inflationary situation.

(vi) In order to encourage investment in the economy the central bank will adopt which of the following measures?

(a) Increase cash reserve ratio

(b) Reduce cash reserve ratio

(c) Increase bank rate

(d) None of the above (Choose the correct option)

2. Answer the following: 2x6=12

(i) A firm produces goods of Rs. 500 per year and uses intermediate goods of worth Rs. 250. The cost depreciation is Rs. 20 per year. Calculate gross value addition and net value addition by the firm.

Solution:-

Gross value Added = Value of output – Intermediate Goods.

= 500-250

= 250rs.

Net value Added = GVA - Depreciation

= 250 - 20

= 230rs.

Or

What do you understand by the problem of double counting in the context of national income accounting?

Ans:- Counting the value of an article more than once is called double counting. The problem of double counting leads to an overestimation of the value of goods and services produced. Thus, the importance of avoiding double counting lies in avoiding overestimating the value of domestic products.

For example, a farmer produces 10 kg of wheat and sells it for Rs. 800 to a flour mill owner in the market.

A flour miller sells it for Rs. 1000 to the baker.

The baker sells it as bread to the shopkeeper for Rs. 1200.

The shopkeeper sells whole bread to the end consumer for Rs. 1300.

Here, value of output = 800 + 1000 + 1200 + 1300 = Rs. 4300

But here the value of wheat is counted 4 times, the value of production by the miller is counted 3 times. The value of production is counted twice by Baker. Counting the value of an item more than once is called the problem of double counting.

Here value added = 800 + 200+200+100 = 1300, this should be included in national income.

(ii) Calculate national income with the following data.

GDP at market price: Rs. 830 crores

Depreciation: Rs. 120 crores

Net indirect taxes: Rs. 70 crores

Net factor income from abroad: Rs. 40 crores

Solution:-

NNPFC = GDPMP – Depreciation + NFIA – NIT

= 830 – 120 + 40 – 70

= 710 + 40 – 70

= 750 – 70

=680 crores.

Or

Differentiate between nominal GDP and real GDP.

Ans:- Nominal GDP:

(i) Nominal GDP is the gross domestic product without any effect of inflation.

(ii) Nominal GDP of a country is expressed in terms of the prices of goods and services of the current year.

Real GDP:

(i) Real GDP is the inflation-adjusted GDP of a country.

(ii) Real GDP of a country is expressed in terms of base year prices or constant prices of goods and services.

(iii) Write two objectives of government budget.

Ans:- The objectives of the government budget are as follows:

(i) Redistribution of resources equally throughout the country.

(ii) To reduce inequality in terms of earning and wealth creation.

(iv) Write two differences between revenue expenditure and capital expenditure.

Ans:- Revenue expenditure:

(i) Expenditure incurred for maintaining the day-to-day activities of a business.

(ii) There is no increase in the value of the current asset.

Capital expenditure:

(i) Expenditure incurred on acquiring an asset to increase the capacity of an existing asset resulting in an increase in its life.

(ii) The value of existing assets increases.

Or

What is revenue receipt? How it is different from capital receipt?

Ans:- Any income earned from the main business operations of a company or business is known as revenue receipt. These receipts directly affect the profit or loss of the entity because they come from the core business activity. This receipt is recurring in nature and is used to meet the day-to-day expenses of the business.

Revenue receipts come from the main operating activities of the business. Capital receipts are those that come from the financial activities of the business.

(v) What is deficit demand? Write one causes of deficit demand.

Ans:- Deficit demand refers to a situation in which aggregate demand in an economy falls short of the aggregate supply of goods and services at full employment. As a result, the resources of the economy are partially utilized indicating under-employment.

The following are the reasons for the decrease in demand:

(i) Decrease in the propensity to consume.

Or

What are the factors that affect investment demand in an economy?

Ans:- Factors affecting investment demand in an economy are:-

(i) Per Capita Income: The first factor affecting investment is per capita national income.

Simply put, per capita income is national income divided by the number of people in a country. Therefore, the average total income in a country is called per capita income.

(ii) Political and Security: Situation The political and security situation of a country can also affect the value of investment. If the political and security situation in the country is not good, investors withdraw their investments and this leads to a fall in the investment value.

(vi) Write two merits of fixed exchange rate.

Ans:- Merits of Fixed Exchange Rate System:

Following are some of the merits of fixed exchange rate system:-

(i) It ensures stability in foreign exchange which encourages foreign trade.

(ii) There is stability in the value of money which protects it from the ups and downs of the market.

Or

Define spot and forward exchange rate.

Ans:- The spot exchange rate is the current rate at which one currency can be exchanged for another. Based on the demand and supply of currencies, it represents the price of one currency in terms of another and is the most quoted exchange rate in the foreign exchange market.

Forward exchange rate is the exchange rate at which forward transactions are to be honored. It is a type of 'contracted' exchange rate that applies for transactions that have been signed today but are to be honored sometime in the future.

3. Explain the expenditure method of calculating national income. 4

Ans:- The expenditure method of calculating national income or GDP takes into account the final goods and services produced in a country during a given time period.

The formula for calculating national expenditure is:

National Income = C + I + G + (X – M)

Where,

C = consumption by the residents of the nation

I = investment

G = government spending

X = export

M = import

Or National Income = C + I + G + NX

Contd... Download PDF for Complete Solution 👀

Download and Access Assam Board Class 12 Economics Solved Papers (2012-2024) in PDF

We have Complied AHSEC Class 12 Economics Solved Question Papers (2012-2024) in PDF format for you. You can download this PDF to enjoy an ad-free experience with clear and accurate solutions. By doing this, you also help us create more useful and high-quality content for students like you.

Also Read: 

Benefits of Using Solved Question Papers for Assam HS 2nd Year Exams

1. Comprehensive Understanding: Step-by-step solutions help in grasping concepts better.
2. Enhanced Problem-Solving Skills: Practice papers improve analytical and numerical abilities.
3. Increased Confidence: Familiarity with previous question patterns reduces exam stress.

How to Use AHSEC Class 12 Solved Papers Effectively

1. Start with a thorough reading of the solved paper.
2. Attempt to solve questions on your own before referring to solutions.
3. Time your practice to improve speed and accuracy.
4. Revise solutions for challenging questions multiple times.

Final Tips for AHSEC Class 12 Economics Preparation

  • Focus on diagrams and their explanations in Microeconomics.
  • Practice numerical questions in Macroeconomics.
  • Prepare notes for definitions, laws, and key concepts.
  • Revise previous years’ question papers for better insight into trends.
By practicing with the HS 2nd Year Economics Solved Question Paper 2023, you can enhance your preparation and score high in your Assam Board Class 12 exams. Don’t forget to regularly revise and practice to stay ahead.

Stay connected with us on The Treasure Notes for more updates on study materials and solved papers for AHSEC examinations.

Post a Comment

Study Materials

Cookie Consent
Dear Students, We serve cookies on this site to analyze traffic, remember your preferences, and optimize your experience.
Oops!
It seems there is something wrong with your internet connection. Please connect to the internet and start browsing again.
AdBlock Detected!
We have detected that you are using adblocking plugin in your browser.
The revenue we earn by the advertisements is used to manage this website, we request you to whitelist our website in your adblocking plugin.