CBSE Guess > Papers > Question Papers > Class XII > 2005 > Economics > Compartment Delhi Set-I

ECONOMICS 2005 (Set I—Compartment Delhi)

SECTION - A

Q. 1. Answer the following questions: 1x4

a) State any two causes of an economic problem.
b) Define demand schedule.
c) What is equilibrium price?
d) Draw average revenue curve of a firm under perfect competition.

Q. 2. Explain the central problem of ‘for whom to produce’. 3

Q. 3. Define utility. Describe the law of diminishing marginal utility. 3

Q. 4. Price elasticity of demand of a good is (-)2. 40 units of this good are bought at a price of Rs. 10 per unit. How many units will be bought at a price of Rs. 11 per unit? Calculate. 3

Q. 5. Explain the effect of ‘technological changes’ on the supply of a product. 3

Q. 6. Define marginal revenue. State the relation between total revenue and Margi- nal revenue. 4

Q. 7. Calculate total variable cost and marginal cost at each given level of output from the following table: 4

Q. 8. Explain the feature ‘large number of buyers and sellers’ of a perfectly compe- titive market. 4

Or

Explain the feature ‘differentiated products’ of a market with monopolistic competition.

Q. 9. Explain the chain of effects on demand, supply and price of a commodity caused by a leftward shift of its demand curve. Use diagram. 6

Q. 10. Explain the law of demand and the reasons behind it. Use diagram. 6

Q. 11. All the inputs, used in production of a good, are increased in the same prop- ortion. What are its possible effects on ‘total physical product’? Explain by using numerical examples. 6

Or

Explain the Law of Variable Proportions and the reasons behind it.

Q. 12. Distinguish between fixed cost and variable cost and give one example of each. Draw Average Total Cost, Average Variable Cost and Marginal Cost Curves in a single diagram. 3, 3

SECTION - B

Q. 13. Answer the following questions: 1X4

a) Define macroeconomics.
b) Give one example showing the difference between micro- economics and macroeconomics.
c) What is a government budget?
d) A country’s balance of trade is Rs. 100 ct-ores and value of export of
goods is Rs. 175 crores. Find out value of import of goods.

Q. 14. Calculate Gross Value Added at Factor Cost from the following data: 3

Q. 15. State the meaning and components of aggregate demand. 3

Q. 16. As a result of increase in investment by Rs. 20 crores, national income rises by Rs. 100 crores Find out Marginal Propensity to Consume. 3

Q. 17. Distinguish between revenue receipts and capital receipts in a government budget. Give one example of each. 3

Q. 18. Explain the ‘medium of exchange’ function of money. 4

Or

Explain the ‘measure of value’ function of money.

Q. 19. Explain the ‘acceptance of deposits’ function of commercial banks. 4

Q. 20. Explain the concept of ‘revenue deficit’ in a government budget. What does this deficit indicate? 4

Q. 21. State two sources of demand and two sources of supply of foreign exchange.4

Q. 22. Differentiate between factor payment and transfer payment. Explain briefly the concept of ‘mixed income of self-employed’. 3+3

Q. 23. Calculate (i) Net Domestic Product at Factor Cost, and (ii) Personal Income from the following data: 3+3

Q. 24. Explain and graphically represent the concept of deflationary gap. Explain any one-measure of removing this gap. 4+2

Or

Explain and graphically represent the concept of inflationary gap. Explain any one measure of removing this gap.