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(i) For larger deflection to coil P should be moved at a faster rate.

(ii) Faraday law: The induced emf is directly proportional to rate of change of magnetic flux linked with the circuit.

(a) The principle behind electric generator is Electromagnetic Induction- the phenomenon of producing current in a coil by changing the magnetic field associated with it.

(b) The polarity of the output alternating current changes every 1/100 seconds. 

Alternately: 

In 1 second the output (AC) completes 50 cycles.

(c) The suitability of Muppandal as a site for wind farms stems from its geographical location as it has access to the seasonal monsoon winds.  

(d) City A It is more suitable for a wind-farm as there is consistently high wind-speed in that city throughout the year. 

Net Indirect Tax is the difference between the Indirect tax and subsidy. To find out Market Prices (MP), indirect taxes are added and subsidies are subtracted from Factor Cost (FC) as explained above.

Symbolically:  

Market Price = Factor Cost + Indirect taxes – Subsidies  

= Factor Cost + Net indirect taxes

a.consumption

Excluded

Reason: As it is outside the domestic territory of our country.

Durable

Reason: As it has expected life time of several years and of relatively high value.

True: Such goods contribute to the current output and their imputed value will be included in national income.

An increase in the price of an input increases the cost of production, which in turn increases the marginal cost of the firm. Consequently, the MC curve will shift upward to the left and the supply curve will also shift leftward upward. Therefore, an increase in the input price negatively affects the supply of the firm.

The short run marginal cost (SMC), average variable cost (AVC) and short run average cost (SAC) curves are all U-shaped curves. The reason behind the curves being U-shaped is the law of variable proportion. In the initial stages of production in the short run, due to increasing returns to labour, all the costs (average and marginal) fall. In addition to this in the short run MP of labour also increases, which implies that more output can be produced by per additional unit of labour, leading all the costs curves to fall. Subsequently with the advent of constant returns to labour, the cost curves become constant and reach their minimum point (representing the optimum combination of capital and labour). Beyond this optimum combination, additional units of labour increase the cost, and as MP of labour starts falling, the cost curve starts rising due to decreasing returns to labour.

True: When net factor income from abroad is zero i.e., income from abroad is equal to income to abroad.

If a single transaction is recorded twice or more than twice in the calculation of national income, then it is known as double counting. The problem of double counting is solved by value added method. Theoretically to avoid double counting there may be two alternative ways:

1. Final Product Approach

2. Value Added Approach

1. Final Product Approach: According to this, value of only final products, i.e. which go for final consumption or capital formation should be included. But in practical application of this approach double counting still creeps in as every producer treats the product he sells as final whereas the same might have been used as intermediate product by the buyer. 

2. Value Added Approach: Value added method is most effective in avoiding double counting. According to this, instead of taking value of final goods, only value added at each stage of production by a producing unit is taken. Value added of a firm by subtracting intermediate consumption from value of output.

1. Compensation of employees: The amount earned by employees from their employer, whether in cash or in kind or through any other social security scheme is known as compensation of employees. 

2. Operating Surplus: It is the sum of income from property and income from entrepreneurship. 

3. Mixed Income: Income of own account workers (like farmers, doctors, barbers, etc.) and unincorporated enterprises (like small shopkeepers, repair shops) is known as mixed income. 

Note: (i) To estimate amount of factor payments made by each producing unit. (ii) To add all factor incomes/payments within domestic territory to get domestic income, i.e., NDPFC. 

NDPFC = Compensation of employees + Operating Surplus + Mixed Income 

4. Net factor income from Abroad(NFIA): NFIA is the difference between income earned by normal residents from rest of the world and similar payments made to Non residents within the domestic territory. Addition of NFIA to NDPFC to get NY, i.e., NNPpc. NNPFC = NDPFC + NFIA.

(c) National income at constant prices

Value of output is equal to value added if there are no intermediate costs.

When gross domestic product (GDP) of a given year is estimated on the basis of price of the same year, it is called nominal GDP.

Effective demand refers to that level of output where Aggregate demand is equal to the Aggregate supply. 

If Aggregate Demand exceeds Aggregate Supply, it means buyers are planning to buy more goods and services than producers are planning to produce. Thus, the inventories in hand with the producers will start falling. As a result, producers will plan to raise the production. This will increase the level of income upto the level Aggregate Demand is equal to Aggregate Supply.  

c.An increase in investment

Counting of value of same product more than once in computation of national income is called double counting. It should be avoided to remove chance of over-estimation.

Thus, the importance of avoiding double counting lies in avoiding over estimating the value of domestic product, e.g. a farmer produces one tonne of wheat and sells it for Rs.400 in the market to a flour mill.

The flour mill sells it for Rs. 600 to the baker. The baker sells the bread to the shopkeeper for Rs. 800. The shopkeeper sells the entire bread to the final consumer’s for Rs.900. Thus,
Value of Output = Rs.(400 + 600 + 800 + 900)
= Rs.2700
In fact, the value of the wheat is counted four times, the value of services of the miller thrice and the value of services by the baker twice.
In other words, the value of wheat and value of services of the miller and of the baker have been counted more than once. The counting of the value of. commodity more than once is called double counting.
To avoid the problem of double counting, following two methods are used:

(i) Final output method According to this method, the value of intermediate goods is not considered. Only the value of final goods and services is considered. In the above example, the value of final goods, i.e. bread is Rs. 900.

(ii) Value added method Another method to avoid the problem of double counting is to estimate the total value added at each stage of production. In the above example, the value added at each stage of production is Rs. (400 +200 +200 +100)
= Rs. 900.

d.Combination of income and production method

The first problem that an economy faces is to decide which goods and services are to be produced' Besides this, the economy also needs to decide in what quantities these goods and services should be produced. Let understand this problem with the help of the following example:

Let us suppose that an economy can produce only two types of goods viz consumer goods (such as rice, wheat, Laptops, etc.) and capital goods (such as machinery, guns, bridges, etc.). Now, with the amount of resources available, the economy needs to decide how much and which of the consumer goods should be produced and how much and which of the capital goods should be produced. Thus the economy faces a choice as whether, it wants more of capital goods and less of consumer good service -versa.

(a) Profit earned by branches of a country's bank in other countries: The profits earned by the branches of a country's banks will not be included in the domestic income of that country as the banks are located outside the domestic territory of the country.

(b) Gifts are given by an employer to his employees on Independence day: Gifts by the employer are included in the domestic income as they are a compensation paid in kind'

(c) Purchase of goods by foreign tourists: Purchase of goods by foreigners are exports and thus' are a part of the domestic income

The two examples of Macroeconomics studies are

(i) Study of price behaviour in India.

(ii) Study of unemployment in India

Non-Economic Activities: Those activities which are done out of love, care, affection, self-satisfaction, emotions, sympathy, patriotism, etc. but not for money are known as non-economic activities.

Distinguish between personal income and private income are:

(i) National income is the income generated by factors of production. But personal income is the income received by factors of production. So personal income is a receipt concept.  

(ii) Income of the government sector is included in the national income but not included in personal income.

(iii) National income is the sum total of income of the factors earned in lieu of productive services. But personal income includes both factor income and transfer receipts.  

(iv) Personal income also includes windfall gains, which are, not including in national income.  

(v) Undistributed profits of the companies and corporate profits taxes are the constituents of national income. But these are to be excluded from National income for the calculation of personal income.  

(vi) Interest on national debt is not a part of national income. But it is a part of personal income.

NNPfc = ii + vi + (iii + v) + vii –v – viii – ix 

= 400 + 200 + 100 + 20 + 40 – 20 – 80 -10

NNPfc = 650.

NNPfc = (iv + ix) + ( i + viii + vii + vi + xii) – ii

= 700 + 100 + 200 + 150 + 20 + 30 + 50 – 10

NNPfc = 1240 Cr.

NDPfc = NNPfc – NFIA

= 1240 – (-10) = 1250 

Private sectors income = NDPfc – x 

= 1250 – 250 = 1000

Private Income = Private sector’s income + iii- xi + v 

1000 + 5 – 5 + 10

Private income = 1010.

Two examples of Macroeconomics studies are :

(a) Study of price determination of the commodity in the market.

(b) Study of consumer equilibrium.

Deficit in balance of payments means that total inflows on account of autonomous transactions is less than total outflows on account of such transactions. Deficit in balance of payments implies that the foreign countries have some claims against the domestic country. 

Following are some measures to correct deficit in balance of payments : 

1. Imports substitution 

2. Export promotion 

3. Depreciation of home currency 

4. Exchange control 

5. Restrictions on imports 

6. Control of inflation. 

(b) Government should be concerned with how to reduce unemployment.

As we move along a downward sloping straight line demand curve from left to right, price elasticity of demand goes on falling. Hence, the correct option is (b).

When foreign exchange rate rises, import becomes costly for the domestic customers. This reduces demand for imports using fall is demands for foreign exchange. When foreign exchange rate rises, domestic goods become cheaper for foreign buyers. This raises demand for export, causing rise in the supply of foreign exchange.

Rise in foreign exchange rate means appreciation in the value of foreign currency in relation to the domestic currency, i.e. one unit of foreign currency can buy more goods and services from India.

It makes exports cheaper to foreign buyers and imports costlier to Indian buyers. As a result exports rise and imports fall leading to rise in net exports. A rise in net exports may lead to rise in national income.

Detailed Answer :

When foreign exchange rate rises, import become costly for the domestic customers. This reduces demand for imports using fall is demands for foreign exchange. When foreign exchange rate rises, domestic goods becomes cheaper for foreign buyers. This raises demand for export, causing rise in supply of foreign exchange. 

A deficit in Balance of Payment occurs when during the year autonomous inflows of foreign exchange fall short of autonomous outflows of foreign exchange. Autonomous transactions are the transactions which are independent of other transactions in the Balance of Payments.

Detailed Answer :

The transactions recorded in BOP account are classified as autonomous transactions and accommodating transactions. Autonomous Transactions refer to the international economic transactions taken with the motive of profit. Deficit in the BOP occurs when autonomous foreign exchange receipts fall short of autonomous foreign exchange payments. Autonomous transactions, the transaction not influenced by other transactions in the BOP. 

Macroeconomics is that part of economic theory, which studies the behaviour of an individual unit of an economy, such as individual household, individual firm or industry.

Economics is all about making choice in the presence of scarcity. It is a subject matter that focuses on the problem arising due to the scarcity of resources in relation to our wants

Salt, medicine and school uniform have inelastic demand because these are essential for life.

Demand of goods is the quantities of goods, which are bought by people at various prices, over a given period of time.

Hence, the correct option is (d).

An indifference curve is a curve that depicts various combinations of two goods that provides a consumer with the same level of satisfaction. In other words, it shows those combinations of two goods between which the consumers is indifferent.

(c) price of the good falls, quantity remains same.

(a) Perfectcompetition

(d) All of the above

The demand is elastic (e_D>1) when total expenditure increases with the fall in price

r = ε - V/I

= 9V - 8V/5A

= 0.2 Ω

Equivalent Resistance = R1.R2/ (R1+R2) +R3+ R4.R5/(R4+R5)

= [(4 × 4)/(4 + 4)] + 1 + [(12 × 6)/(12 + 6)] Ω

= 7 Ω