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This section includes InterviewSolutions, each offering curated multiple-choice questions to sharpen your Class 11 knowledge and support exam preparation. Choose a topic below to get started.
| 6951. |
Explain any two sources of restricted entry under monopoly |
| Answer» <html><body><p></p>Solution :The two sources of restricted entry under monopoly are as follows:1) Government Licensing: It means that before a firm can enter an industry, it needs to take <a href="https://interviewquestions.tuteehub.com/tag/permission-1151639" style="font-weight:bold;" target="_blank" title="Click to know more about PERMISSION">PERMISSION</a> from the government. Licensing is used to <a href="https://interviewquestions.tuteehub.com/tag/ensure-972238" style="font-weight:bold;" target="_blank" title="Click to know more about ENSURE">ENSURE</a> minimum standards of competency. By not granting licenses to new firms, government aims to assure that only one firm operates in the market.2) <a href="https://interviewquestions.tuteehub.com/tag/patent-1148829" style="font-weight:bold;" target="_blank" title="Click to know more about PATENT">PATENT</a> rights: Certain big private companies are engaged in research and development <a href="https://interviewquestions.tuteehub.com/tag/activities-848359" style="font-weight:bold;" target="_blank" title="Click to know more about ACTIVITIES">ACTIVITIES</a>. At times, they come up with new technologies. As a reward for their risk and investment in research, government grant them patent right. The <a href="https://interviewquestions.tuteehub.com/tag/period-1151023" style="font-weight:bold;" target="_blank" title="Click to know more about PERIOD">PERIOD</a> for which patent rights is known as patent life.</body></html> | |
| 6952. |
Give formula of weighted average. |
| Answer» <html><body><p></p>Solution :`barX_(<a href="https://interviewquestions.tuteehub.com/tag/w-729065" style="font-weight:bold;" target="_blank" title="Click to know more about W">W</a>)=(sumWX)/(sumW)` <br/> Here, `barX_(W)` <a href="https://interviewquestions.tuteehub.com/tag/indicates-1041501" style="font-weight:bold;" target="_blank" title="Click to know more about INDICATES">INDICATES</a> <a href="https://interviewquestions.tuteehub.com/tag/weighted-1451397" style="font-weight:bold;" target="_blank" title="Click to know more about WEIGHTED">WEIGHTED</a> average, W = Weights.</body></html> | |
| 6953. |
AVC of one unit of output is rs 10 while that of 2 units is rs 9. MC of one unit is: |
| Answer» <html><body><p>rs8<br/>rs9<br/>rs10<br/>rs19</p>Answer :<a href="https://interviewquestions.tuteehub.com/tag/c-7168" style="font-weight:bold;" target="_blank" title="Click to know more about C">C</a></body></html> | |
| 6954. |
State any three determinants of indvidual demand other than own price of the good. |
| Answer» <html><body><p></p>Solution :(i) <a href="https://interviewquestions.tuteehub.com/tag/price-1165141" style="font-weight:bold;" target="_blank" title="Click to know more about PRICE">PRICE</a> of substitute goods <br/> (ii) Price of complementary goods. <br/> (iii) <a href="https://interviewquestions.tuteehub.com/tag/income-25499" style="font-weight:bold;" target="_blank" title="Click to know more about INCOME">INCOME</a> of its <a href="https://interviewquestions.tuteehub.com/tag/buyers-906447" style="font-weight:bold;" target="_blank" title="Click to know more about BUYERS">BUYERS</a>. <br/> (or any other three <a href="https://interviewquestions.tuteehub.com/tag/relevant-613818" style="font-weight:bold;" target="_blank" title="Click to know more about RELEVANT">RELEVANT</a> determinants)</body></html> | |
| 6955. |
Explain the causes behind law of demand OR Why is there an inverse relationship between the price of a commodity and its quantity demanded ? |
| Answer» <html><body><p></p>Solution :(i) Law of <a href="https://interviewquestions.tuteehub.com/tag/diminishing-2044202" style="font-weight:bold;" target="_blank" title="Click to know more about DIMINISHING">DIMINISHING</a> Marginal Utility.<br/>(<a href="https://interviewquestions.tuteehub.com/tag/ii-1036832" style="font-weight:bold;" target="_blank" title="Click to know more about II">II</a>) <a href="https://interviewquestions.tuteehub.com/tag/substitution-1231654" style="font-weight:bold;" target="_blank" title="Click to know more about SUBSTITUTION">SUBSTITUTION</a> Effect.<br/>(iii) Income Effect.<br/>(iv) Additional Customers.<br/>(<a href="https://interviewquestions.tuteehub.com/tag/v-722631" style="font-weight:bold;" target="_blank" title="Click to know more about V">V</a>) Different Uses.</body></html> | |
| 6956. |
Explain th method of calculating quartile in case of grouped data ? |
| Answer» | |
| 6957. |
A firm has been operating in the market for a long time. Its profits have been falling considerably. The producer is not able to decide whether to continue with the operation or exit the industry. As a student of economics, suggest him the way. |
| Answer» <html><body><p></p>Solution :It is clear from the question that the price charged by the <a href="https://interviewquestions.tuteehub.com/tag/firm-989667" style="font-weight:bold;" target="_blank" title="Click to know more about FIRM">FIRM</a> is <a href="https://interviewquestions.tuteehub.com/tag/less-1071906" style="font-weight:bold;" target="_blank" title="Click to know more about LESS">LESS</a> than the average cost incurred by it. The firm hasto <a href="https://interviewquestions.tuteehub.com/tag/ensure-972238" style="font-weight:bold;" target="_blank" title="Click to know more about ENSURE">ENSURE</a> the following and accordingly the decision to leave or <a href="https://interviewquestions.tuteehub.com/tag/stay-1226662" style="font-weight:bold;" target="_blank" title="Click to know more about STAY">STAY</a> in the operation can be taken <br/> (i) If the firm is able to recover average variable cost <a href="https://interviewquestions.tuteehub.com/tag/fully-2663010" style="font-weight:bold;" target="_blank" title="Click to know more about FULLY">FULLY</a> and average fixed cost partially, then it may stay in the business and review its plans and policiesto reduce the losses. <br/> (ii) If average variable cost is recovered and average fixed cost is not at all recovered, the firm should close down its operation. It is a shut down point for the firm.</body></html> | |
| 6958. |
As long as Marginal utility is positive, total utility |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/remains-621920" style="font-weight:bold;" target="_blank" title="Click to know more about REMAINS">REMAINS</a> constant<br/>increases<br/>falls<br/>all of these</p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/b-387190" style="font-weight:bold;" target="_blank" title="Click to know more about B">B</a></body></html> | |
| 6959. |
A firm produces 200 units of good X. Actual money spent on producing this good is Rs. 2000. The owner supplied some inputs worth Rs. 800 for which he does not receive any payment. Economic cost calculated to produce this commodity is Rs. 3000. How do you account for the difference in costs. |
| Answer» <html><body><p></p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/economic-448435" style="font-weight:bold;" target="_blank" title="Click to know more about ECONOMIC">ECONOMIC</a> cost=Explicit cost+Implicit cost <br/> Economic cost=(Actual money spent)+(cost of inputs <a href="https://interviewquestions.tuteehub.com/tag/supplied-3090548" style="font-weight:bold;" target="_blank" title="Click to know more about SUPPLIED">SUPPLIED</a> by the owner+Normal Profit) <br/> =<a href="https://interviewquestions.tuteehub.com/tag/3000-306271" style="font-weight:bold;" target="_blank" title="Click to know more about 3000">3000</a>=(2000)+(800+Normal Profit) <br/> Normal Profit = 3000-2800=Rs.200 <br/> Difference in <a href="https://interviewquestions.tuteehub.com/tag/costs-25578" style="font-weight:bold;" target="_blank" title="Click to know more about COSTS">COSTS</a> in normal profit.</body></html> | |
| 6960. |
Median is |
| Answer» <html><body><p>A computed <a href="https://interviewquestions.tuteehub.com/tag/average-13416" style="font-weight:bold;" target="_blank" title="Click to know more about AVERAGE">AVERAGE</a> <br/>A positional average <br/>A <a href="https://interviewquestions.tuteehub.com/tag/simple-1208262" style="font-weight:bold;" target="_blank" title="Click to know more about SIMPLE">SIMPLE</a> average <br/>A <a href="https://interviewquestions.tuteehub.com/tag/weighted-1451397" style="font-weight:bold;" target="_blank" title="Click to know more about WEIGHTED">WEIGHTED</a> average </p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/b-387190" style="font-weight:bold;" target="_blank" title="Click to know more about B">B</a></body></html> | |
| 6961. |
Give two examples of fixed costs. |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :(i) Rent, (<a href="https://interviewquestions.tuteehub.com/tag/ii-1036832" style="font-weight:bold;" target="_blank" title="Click to know more about II">II</a>) Salary of permanent <a href="https://interviewquestions.tuteehub.com/tag/employee-25537" style="font-weight:bold;" target="_blank" title="Click to know more about EMPLOYEE">EMPLOYEE</a>.</body></html> | |
| 6962. |
PPC will shift to the when there is |
| Answer» <html><body><p>underutilisation of resources<br/>growth of resources<br/>technological improvement<br/>loss of resources because of natural <a href="https://interviewquestions.tuteehub.com/tag/calamity-907583" style="font-weight:bold;" target="_blank" title="Click to know more about CALAMITY">CALAMITY</a></p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/ppc-25541" style="font-weight:bold;" target="_blank" title="Click to know more about PPC">PPC</a> will shift to left when there is loss of resources because of natural calamity</body></html> | |
| 6963. |
What is meant by 'shift in supply curve"? |
| Answer» <html><body><p></p>Solution :When the supply changes <a href="https://interviewquestions.tuteehub.com/tag/due-433472" style="font-weight:bold;" target="_blank" title="Click to know more about DUE">DUE</a> to a <a href="https://interviewquestions.tuteehub.com/tag/change-913808" style="font-weight:bold;" target="_blank" title="Click to know more about CHANGE">CHANGE</a> in other factors, at the same price, it results in a shift in the supply curve.</body></html> | |
| 6964. |
How is MC related to TFC ? |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :<a href="https://interviewquestions.tuteehub.com/tag/mc-1091384" style="font-weight:bold;" target="_blank" title="Click to know more about MC">MC</a> is <a href="https://interviewquestions.tuteehub.com/tag/independent-505826" style="font-weight:bold;" target="_blank" title="Click to know more about INDEPENDENT">INDEPENDENT</a> (not <a href="https://interviewquestions.tuteehub.com/tag/relatedbrbr-2983848" style="font-weight:bold;" target="_blank" title="Click to know more about RELATED">RELATED</a> ) of TFCand is affectedonly by <a href="https://interviewquestions.tuteehub.com/tag/change-913808" style="font-weight:bold;" target="_blank" title="Click to know more about CHANGE">CHANGE</a> inTVC.</body></html> | |
| 6965. |
How are the equilibrium price and quantity affected when: (a) Both demand and supply curves shift In the same direction. (b) Demand and supply curves shift in opposite directions. |
| Answer» | |
| 6966. |
Scarcity is a common feature of both developed and developing economy. Still, economising of resources is more important conutries as compared to developed countries? Do you agree? |
| Answer» <html><body><p></p>Solution :Yes, I agree with the given <a href="https://interviewquestions.tuteehub.com/tag/statement-16478" style="font-weight:bold;" target="_blank" title="Click to know more about STATEMENT">STATEMENT</a>. Developing <a href="https://interviewquestions.tuteehub.com/tag/countries-936897" style="font-weight:bold;" target="_blank" title="Click to know more about COUNTRIES">COUNTRIES</a> <a href="https://interviewquestions.tuteehub.com/tag/need-25476" style="font-weight:bold;" target="_blank" title="Click to know more about NEED">NEED</a> more resources as compared to the developed countries. As the resources are scarce, the developing countries should <a href="https://interviewquestions.tuteehub.com/tag/make-546668" style="font-weight:bold;" target="_blank" title="Click to know more about MAKE">MAKE</a> efficient and <a href="https://interviewquestions.tuteehub.com/tag/optimum-1137708" style="font-weight:bold;" target="_blank" title="Click to know more about OPTIMUM">OPTIMUM</a> use of available resources.</body></html> | |
| 6967. |
Give an example each of fixed cost and variable cost. |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :Fixed <a href="https://interviewquestions.tuteehub.com/tag/cost-25707" style="font-weight:bold;" target="_blank" title="Click to know more about COST">COST</a>: <a href="https://interviewquestions.tuteehub.com/tag/rent-1184968" style="font-weight:bold;" target="_blank" title="Click to know more about RENT">RENT</a>, Variable Cost, <a href="https://interviewquestions.tuteehub.com/tag/expenditure-980222" style="font-weight:bold;" target="_blank" title="Click to know more about EXPENDITURE">EXPENDITURE</a> on raw matierals.</body></html> | |
| 6968. |
Cost function is a "____" concept: |
| Answer» <html><body><p>Economical<br/>Functional<br/>Financial<br/>Technical</p>Solution :N//A</body></html> | |
| 6969. |
Why is the study of consumer's equilibrium a subject matter of microeconmics ? |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :<a href="https://interviewquestions.tuteehub.com/tag/consumer-25599" style="font-weight:bold;" target="_blank" title="Click to know more about CONSUMER">CONSUMER</a>'s equilibrium is a <a href="https://interviewquestions.tuteehub.com/tag/subject-1231009" style="font-weight:bold;" target="_blank" title="Click to know more about SUBJECT">SUBJECT</a> matter of microeconomics because it relates to the problem of an <a href="https://interviewquestions.tuteehub.com/tag/individual-1041871" style="font-weight:bold;" target="_blank" title="Click to know more about INDIVIDUAL">INDIVIDUAL</a> unit and not of the entire <a href="https://interviewquestions.tuteehub.com/tag/economy-21801" style="font-weight:bold;" target="_blank" title="Click to know more about ECONOMY">ECONOMY</a>.</body></html> | |
| 6970. |
Why is the short run marginal cost curve 'U'-shaped? |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :Short <a href="https://interviewquestions.tuteehub.com/tag/run-1192138" style="font-weight:bold;" target="_blank" title="Click to know more about RUN">RUN</a> <a href="https://interviewquestions.tuteehub.com/tag/marginal-555038" style="font-weight:bold;" target="_blank" title="Click to know more about MARGINAL">MARGINAL</a> cost <a href="https://interviewquestions.tuteehub.com/tag/curve-941741" style="font-weight:bold;" target="_blank" title="Click to know more about CURVE">CURVE</a> is U-shaped because of the <a href="https://interviewquestions.tuteehub.com/tag/law-184" style="font-weight:bold;" target="_blank" title="Click to know more about LAW">LAW</a> of Variable Proportions.</body></html> | |
| 6971. |
The following table shows number of firms in two different areas 'A' and 'B' according to their annual profits. Present the data by way of Lorenz curve. |
| Answer» | |
| 6972. |
Define secondary data. |
| Answer» <html><body><p></p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/according-366619" style="font-weight:bold;" target="_blank" title="Click to know more about ACCORDING">ACCORDING</a> to Wessel, "<a href="https://interviewquestions.tuteehub.com/tag/data-25577" style="font-weight:bold;" target="_blank" title="Click to know more about DATA">DATA</a> collected by other persons are called secondary data." These data are, therefore , called second-hand data. Since these data have <a href="https://interviewquestions.tuteehub.com/tag/already-1974237" style="font-weight:bold;" target="_blank" title="Click to know more about ALREADY">ALREADY</a> been collected by somebody else, these are <a href="https://interviewquestions.tuteehub.com/tag/available-888895" style="font-weight:bold;" target="_blank" title="Click to know more about AVAILABLE">AVAILABLE</a> in the form of published or unpublished reports.</body></html> | |
| 6973. |
At why point does the SMCcurve cut the SAC curve ? Give reason in support of youranswer. |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :SMC curve cuts the <a href="https://interviewquestions.tuteehub.com/tag/sac-1193010" style="font-weight:bold;" target="_blank" title="Click to know more about SAC">SAC</a> curve at its minimum point. It happens becausewhen SAC <a href="https://interviewquestions.tuteehub.com/tag/falls-983294" style="font-weight:bold;" target="_blank" title="Click to know more about FALLS">FALLS</a>, SMCis less than SAC. When SAC starts rising, SMCis more than SAC. So, it is only when SAC is constant and at its minimum point, that SMC is <a href="https://interviewquestions.tuteehub.com/tag/euqal-8408481" style="font-weight:bold;" target="_blank" title="Click to know more about EUQAL">EUQAL</a> to SAC.</body></html> | |
| 6974. |
An unemployed person, Ramesh is looking out for a job. Ramesh received 2 job offers: one for Rs. 20,000 from ICICI Bank and other offer Rs. 15,000 from HDFC Bank. What is the oportunity cost for Ramesh if he accepts the offer of ICICI Bank? |
| Answer» <html><body><p><br/></p><a href="https://interviewquestions.tuteehub.com/tag/answer-15557" style="font-weight:bold;" target="_blank" title="Click to know more about ANSWER">ANSWER</a> :<a href="https://interviewquestions.tuteehub.com/tag/rs-625947" style="font-weight:bold;" target="_blank" title="Click to know more about RS">RS</a>. 15,000</body></html> | |
| 6975. |
AC is obtained by dividing TC by the level of : |
| Answer» <html><body><p>Labouremployed<br/>Output produced<br/>Units consumed<br/>Output sold</p>Solution :N//A</body></html> | |
| 6976. |
Statistical calculations in classified data are based on |
| Answer» <html><body><p>the <a href="https://interviewquestions.tuteehub.com/tag/actual-361632" style="font-weight:bold;" target="_blank" title="Click to know more about ACTUAL">ACTUAL</a> <a href="https://interviewquestions.tuteehub.com/tag/values-25920" style="font-weight:bold;" target="_blank" title="Click to know more about VALUES">VALUES</a> of observations<br/>the <a href="https://interviewquestions.tuteehub.com/tag/upper-721698" style="font-weight:bold;" target="_blank" title="Click to know more about UPPER">UPPER</a> <a href="https://interviewquestions.tuteehub.com/tag/class-18125" style="font-weight:bold;" target="_blank" title="Click to know more about CLASS">CLASS</a> limits<br/>the <a href="https://interviewquestions.tuteehub.com/tag/lower-1080637" style="font-weight:bold;" target="_blank" title="Click to know more about LOWER">LOWER</a> class limits<br/>the class midpoints</p>Answer :D</body></html> | |
| 6977. |
What is the reason for the long run equilibrium of a firm in monopolistic competition to be associated with zero profit ? |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :The reason why firm in monopolistic competition <a href="https://interviewquestions.tuteehub.com/tag/earns-964173" style="font-weight:bold;" target="_blank" title="Click to know more about EARNS">EARNS</a> zero profit in the long run is free <a href="https://interviewquestions.tuteehub.com/tag/entry-972873" style="font-weight:bold;" target="_blank" title="Click to know more about ENTRY">ENTRY</a> and exit of firms. If firm earns super normal profits in the short run then new firms will <a href="https://interviewquestions.tuteehub.com/tag/enter-446119" style="font-weight:bold;" target="_blank" title="Click to know more about ENTER">ENTER</a> in the long run and if there ae losses then firm will exit in the long run. The <a href="https://interviewquestions.tuteehub.com/tag/result-1187343" style="font-weight:bold;" target="_blank" title="Click to know more about RESULT">RESULT</a> is zero abnormal profits in the long run.</body></html> | |
| 6978. |
Explain the following: (i) Free entry and exist features of perfect comeptition, (ii) Differentiated product. Features of monopolist competition. |
| Answer» <html><body><p></p>Solution :i) 'Freedom of entry' signifies that there are no barriers to the entry of new firms into industry. When the existing firms are earning abnormal profits, the new firms, <a href="https://interviewquestions.tuteehub.com/tag/attracted-7267689" style="font-weight:bold;" target="_blank" title="Click to know more about ATTRACTED">ATTRACTED</a> by the prospects of profit, enter the industry. This raises market supply, which in turn, leads to fall in market price and consequently profits. Te entry continues till each firm is earning just the <a href="https://interviewquestions.tuteehub.com/tag/normal-1123860" style="font-weight:bold;" target="_blank" title="Click to know more about NORMAL">NORMAL</a> profits. 'Freedom to exit' signifies that there are no barriers which restrict the existing firms from leaving the industry. The firms try to leave when they are facing losses. As the firms start leaving, market supply falls, leading to rise in market price and consequently reduction in losses. The firms continue to leave till the losses are wiped out and each existing firm is earning just the normal profits.ii)<a href="https://interviewquestions.tuteehub.com/tag/product-25523" style="font-weight:bold;" target="_blank" title="Click to know more about PRODUCT">PRODUCT</a> differentiation:In monopolistic competition, Each firm is in a position to exercise some degree of monopoly through product differentiation. Product differentiation refers to differentiating the <a href="https://interviewquestions.tuteehub.com/tag/products-18828" style="font-weight:bold;" target="_blank" title="Click to know more about PRODUCTS">PRODUCTS</a> on the basis of brand, size, color, shape, etc. The product of a firm is <a href="https://interviewquestions.tuteehub.com/tag/close-408965" style="font-weight:bold;" target="_blank" title="Click to know more about CLOSE">CLOSE</a>, but not substitute of other firm</body></html> | |
| 6979. |
Explain the effect on equilibrium price and equilibrium quantity in the following cases: (a) Demand curve shifts to the left, (b) Supply increases when the demand is perfectly elastic, (c) Both demand and supply increase in same ratio. |
| Answer» <html><body><p></p>Solution :(a) Both equilibrium price and qunatity <a href="https://interviewquestions.tuteehub.com/tag/demanded-7675308" style="font-weight:bold;" target="_blank" title="Click to know more about DEMANDED">DEMANDED</a> falls.<br/>(<a href="https://interviewquestions.tuteehub.com/tag/b-387190" style="font-weight:bold;" target="_blank" title="Click to know more about B">B</a>) Equilibrium price remains the same whereas equilibrium <a href="https://interviewquestions.tuteehub.com/tag/quantity-1174212" style="font-weight:bold;" target="_blank" title="Click to know more about QUANTITY">QUANTITY</a> <a href="https://interviewquestions.tuteehub.com/tag/increases-1040626" style="font-weight:bold;" target="_blank" title="Click to know more about INCREASES">INCREASES</a>.<br/>(c) Equilibrium quantity increases whereas the equilibrium price remains the same.</body></html> | |
| 6980. |
Like price, quantity to be sold by a firm under perfect competition is also fixed by the market. |
| Answer» <html><body><p></p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/firm-989667" style="font-weight:bold;" target="_blank" title="Click to know more about FIRM">FIRM</a> is free to sell any <a href="https://interviewquestions.tuteehub.com/tag/quantity-1174212" style="font-weight:bold;" target="_blank" title="Click to know more about QUANTITY">QUANTITY</a>. Generally, a perfectly competitive firm produces that <a href="https://interviewquestions.tuteehub.com/tag/level-1072714" style="font-weight:bold;" target="_blank" title="Click to know more about LEVEL">LEVEL</a> of output at which there is minimum <a href="https://interviewquestions.tuteehub.com/tag/average-13416" style="font-weight:bold;" target="_blank" title="Click to know more about AVERAGE">AVERAGE</a> cost.</body></html> | |
| 6981. |
When TP curve is upward sloping and convex to X axis, MP curve is : |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/downward-2061463" style="font-weight:bold;" target="_blank" title="Click to know more about DOWNWARD">DOWNWARD</a> sloping<br/>upward sloping<br/>touches <a href="https://interviewquestions.tuteehub.com/tag/x-746616" style="font-weight:bold;" target="_blank" title="Click to know more about X">X</a> axis<br/>None of these</p>Answer :<a href="https://interviewquestions.tuteehub.com/tag/b-387190" style="font-weight:bold;" target="_blank" title="Click to know more about B">B</a></body></html> | |
| 6982. |
Total product falls when MP |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/falls-983294" style="font-weight:bold;" target="_blank" title="Click to know more about FALLS">FALLS</a> positively<br/>rises<br/>is zero<br/>is negative</p>Answer :D</body></html> | |
| 6983. |
Give relation between TR and MR when price is constant.(ii) AR and MR when price is constant. |
| Answer» <html><body><p></p>Solution :When price is constant, MR = AR = Price. MR and AR coincide, both being <a href="https://interviewquestions.tuteehub.com/tag/parallel-1146369" style="font-weight:bold;" target="_blank" title="Click to know more about PARALLEL">PARALLEL</a> to the X-axis. SInce MR is constant at all output <a href="https://interviewquestions.tuteehub.com/tag/levels-1072811" style="font-weight:bold;" target="_blank" title="Click to know more about LEVELS">LEVELS</a>, TR is a positively sloped straight line making an angle of <a href="https://interviewquestions.tuteehub.com/tag/45-316951" style="font-weight:bold;" target="_blank" title="Click to know more about 45">45</a> <a href="https://interviewquestions.tuteehub.com/tag/degrees-947393" style="font-weight:bold;" target="_blank" title="Click to know more about DEGREES">DEGREES</a> with the axis.<br/>When price is constant, AR = MR or both the curves coincide each other and are parallel to the X-axis</body></html> | |
| 6984. |
"The demand cuve under oligopoly is interminate". Comment |
| Answer» <html><body><p></p>Solution : <a href="https://interviewquestions.tuteehub.com/tag/demand-436956" style="font-weight:bold;" target="_blank" title="Click to know more about DEMAND">DEMAND</a> curve under oligopoly: The demand curve for an oligopoly firm is indeterminate, i.e. it cannot be <a href="https://interviewquestions.tuteehub.com/tag/drawn-2062388" style="font-weight:bold;" target="_blank" title="Click to know more about DRAWN">DRAWN</a> accurately as exact behavior pattern of a producer cannot be <a href="https://interviewquestions.tuteehub.com/tag/ascertained-7317794" style="font-weight:bold;" target="_blank" title="Click to know more about ASCERTAINED">ASCERTAINED</a> with certainty.</body></html> | |
| 6985. |
"In a hypothetical market of mobile phones, the brand AWAAZ was leading the market share. Its nearest competitor VAARTA suddenly changed its strategy by bringing in a new model of the moblile phone at a relatively lesser price in response, AWAAZ to slashed its price. " Based on the above information, identify the form of market represented and discuss any one feature of the market. |
| Answer» <html><body><p></p>Solution :(i) few big firms and large no. of buyers <br/> (ii) Price <a href="https://interviewquestions.tuteehub.com/tag/rigidity-623827" style="font-weight:bold;" target="_blank" title="Click to know more about RIGIDITY">RIGIDITY</a> (Non-price competition) <br/> (<a href="https://interviewquestions.tuteehub.com/tag/iii-497983" style="font-weight:bold;" target="_blank" title="Click to know more about III">III</a>) Barriers to entry of fiems <br/> (<a href="https://interviewquestions.tuteehub.com/tag/iv-501699" style="font-weight:bold;" target="_blank" title="Click to know more about IV">IV</a>) <a href="https://interviewquestions.tuteehub.com/tag/interdependence-517307" style="font-weight:bold;" target="_blank" title="Click to know more about INTERDEPENDENCE">INTERDEPENDENCE</a> <br/> (Note. For detail <a href="https://interviewquestions.tuteehub.com/tag/refer-621103" style="font-weight:bold;" target="_blank" title="Click to know more about REFER">REFER</a> to Section 10.6 of chapter 10)</body></html> | |
| 6986. |
An index number is useful for |
| Answer» <html><body><p>For making government policies <br/>For <a href="https://interviewquestions.tuteehub.com/tag/future-2559" style="font-weight:bold;" target="_blank" title="Click to know more about FUTURE">FUTURE</a> plans by the businessmen <br/>For <a href="https://interviewquestions.tuteehub.com/tag/measuring-1091969" style="font-weight:bold;" target="_blank" title="Click to know more about MEASURING">MEASURING</a> success of <a href="https://interviewquestions.tuteehub.com/tag/planning-15176" style="font-weight:bold;" target="_blank" title="Click to know more about PLANNING">PLANNING</a> <br/>All the above</p>Solution :D</body></html> | |
| 6987. |
Give the meaning of production function. |
| Answer» <html><body><p></p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/production-14556" style="font-weight:bold;" target="_blank" title="Click to know more about PRODUCTION">PRODUCTION</a> <a href="https://interviewquestions.tuteehub.com/tag/function-11303" style="font-weight:bold;" target="_blank" title="Click to know more about FUNCTION">FUNCTION</a> is an expression of the technological <a href="https://interviewquestions.tuteehub.com/tag/relation-1183220" style="font-weight:bold;" target="_blank" title="Click to know more about RELATION">RELATION</a> between <a href="https://interviewquestions.tuteehub.com/tag/physical-600035" style="font-weight:bold;" target="_blank" title="Click to know more about PHYSICAL">PHYSICAL</a> inputs and output of a <a href="https://interviewquestions.tuteehub.com/tag/good-1009017" style="font-weight:bold;" target="_blank" title="Click to know more about GOOD">GOOD</a>.</body></html> | |
| 6988. |
The central problem of ‘how to produce’ is basically the problem of deciding to undertake production with the help of: |
| Answer» <html><body><p>(a) <a href="https://interviewquestions.tuteehub.com/tag/capital-908677" style="font-weight:bold;" target="_blank" title="Click to know more about CAPITAL">CAPITAL</a> only<br/>(b) <a href="https://interviewquestions.tuteehub.com/tag/labour-1065391" style="font-weight:bold;" target="_blank" title="Click to know more about LABOUR">LABOUR</a> only<br/>(<a href="https://interviewquestions.tuteehub.com/tag/c-7168" style="font-weight:bold;" target="_blank" title="Click to know more about C">C</a>) Both capital and labour<br/>(d) How much of capital and labour each</p>Answer :D</body></html> | |
| 6989. |
Rising average product is possible only when MP is more than AP. |
| Answer» <html><body><p></p>Solution :True. When MP is more than <a href="https://interviewquestions.tuteehub.com/tag/ap-380277" style="font-weight:bold;" target="_blank" title="Click to know more about AP">AP</a>, MP <a href="https://interviewquestions.tuteehub.com/tag/pulls-1172384" style="font-weight:bold;" target="_blank" title="Click to know more about PULLS">PULLS</a> AP up. So, rising AP is possible only when `MP <a href="https://interviewquestions.tuteehub.com/tag/gt-1013864" style="font-weight:bold;" target="_blank" title="Click to know more about GT">GT</a> AP`, i.e. before <a href="https://interviewquestions.tuteehub.com/tag/point-1157106" style="font-weight:bold;" target="_blank" title="Click to know more about POINT">POINT</a> E in Fig. 5.5 <br/> <img src="https://d10lpgp6xz60nq.cloudfront.net/physics_images/SG_MIC_ECO_C05_S01_041_S01.png" width="80%"/></body></html> | |
| 6990. |
The total utility derived by Shyam by eating 6 apples of 300 utils. Marginal Utility of the 7^(th) apple is 30 utils. The total utility for 7 apples will be _____ utils |
| Answer» <html><body><p>330<br/>270<br/>300<br/>30</p>Answer :A</body></html> | |
| 6991. |
Area under MC Curve is equal to : |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/tvc-662365" style="font-weight:bold;" target="_blank" title="Click to know more about TVC">TVC</a> <br/>AFC<br/>AVC<br/>AC</p>Solution :N//A</body></html> | |
| 6992. |
Large number of technical raining institutions have been started by the government. State its economic value in the context of production possibilities frontier. |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :The <a href="https://interviewquestions.tuteehub.com/tag/economic-448435" style="font-weight:bold;" target="_blank" title="Click to know more about ECONOMIC">ECONOMIC</a> value of techncal training is that it ralses the production <a href="https://interviewquestions.tuteehub.com/tag/potential-1161228" style="font-weight:bold;" target="_blank" title="Click to know more about POTENTIAL">POTENTIAL</a> of the <a href="https://interviewquestions.tuteehub.com/tag/country-936956" style="font-weight:bold;" target="_blank" title="Click to know more about COUNTRY">COUNTRY</a> by raising the efficiency of the labor.</body></html> | |
| 6993. |
Explain the meaning and need for 'Price Floor'. |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :Price Floor means that producers are not allowed to sell the <a href="https://interviewquestions.tuteehub.com/tag/good-1009017" style="font-weight:bold;" target="_blank" title="Click to know more about GOOD">GOOD</a> or service below some price <a href="https://interviewquestions.tuteehub.com/tag/fixed-457597" style="font-weight:bold;" target="_blank" title="Click to know more about FIXED">FIXED</a> by the government. <br/> The <a href="https://interviewquestions.tuteehub.com/tag/need-25476" style="font-weight:bold;" target="_blank" title="Click to know more about NEED">NEED</a> for price floor arises when government finds that the equilibrium price is too low for the producers.</body></html> | |
| 6994. |
when is the demand for a good said to be perfectly inelastic ? |
| Answer» <html><body><p></p>Solution :The demand for a <a href="https://interviewquestions.tuteehub.com/tag/good-1009017" style="font-weight:bold;" target="_blank" title="Click to know more about GOOD">GOOD</a> is <a href="https://interviewquestions.tuteehub.com/tag/said-629244" style="font-weight:bold;" target="_blank" title="Click to know more about SAID">SAID</a> to be perfectly inelastic when there is no <a href="https://interviewquestions.tuteehub.com/tag/change-913808" style="font-weight:bold;" target="_blank" title="Click to know more about CHANGE">CHANGE</a> in quantity <a href="https://interviewquestions.tuteehub.com/tag/demanded-7675308" style="font-weight:bold;" target="_blank" title="Click to know more about DEMANDED">DEMANDED</a> when the <a href="https://interviewquestions.tuteehub.com/tag/price-1165141" style="font-weight:bold;" target="_blank" title="Click to know more about PRICE">PRICE</a> of the commodity changes.</body></html> | |
| 6995. |
When market demand is more than market supply, it refers to a situation of : |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/excess-978535" style="font-weight:bold;" target="_blank" title="Click to know more about EXCESS">EXCESS</a> Supply<br/>Equilibrium Level<br/>Excess Demand<br/>None of these</p>Answer :(<a href="https://interviewquestions.tuteehub.com/tag/c-7168" style="font-weight:bold;" target="_blank" title="Click to know more about C">C</a>)</body></html> | |
| 6996. |
when change in total cost is divided by change in output, we get : |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/average-13416" style="font-weight:bold;" target="_blank" title="Click to know more about AVERAGE">AVERAGE</a> <a href="https://interviewquestions.tuteehub.com/tag/cost-25707" style="font-weight:bold;" target="_blank" title="Click to know more about COST">COST</a> <br/><a href="https://interviewquestions.tuteehub.com/tag/total-711110" style="font-weight:bold;" target="_blank" title="Click to know more about TOTAL">TOTAL</a> <a href="https://interviewquestions.tuteehub.com/tag/variable-1442996" style="font-weight:bold;" target="_blank" title="Click to know more about VARIABLE">VARIABLE</a> cost<br/>Marginal cost<br/>Average variable cost</p>Solution :N//A</body></html> | |
| 6997. |
"Scarcity and Choice go together commodity. |
| Answer» <html><body><p></p>Solution :We live in a world of scarcity. All of us want better food, clothing, housing, schooling entertainment, <a href="https://interviewquestions.tuteehub.com/tag/etc-975753" style="font-weight:bold;" target="_blank" title="Click to know more about ETC">ETC</a>. But resources are not enough to meet all our <a href="https://interviewquestions.tuteehub.com/tag/wants-1448762" style="font-weight:bold;" target="_blank" title="Click to know more about WANTS">WANTS</a>. Even the richest economy (like U.S.A.) cannot satisfy all the <a href="https://interviewquestions.tuteehub.com/tag/needs-1112903" style="font-weight:bold;" target="_blank" title="Click to know more about NEEDS">NEEDS</a> of people. It <a href="https://interviewquestions.tuteehub.com/tag/means-1091780" style="font-weight:bold;" target="_blank" title="Click to know more about MEANS">MEANS</a>, scarcity of resources is a common feature of very economy and it gives <a href="https://interviewquestions.tuteehub.com/tag/rise-1189674" style="font-weight:bold;" target="_blank" title="Click to know more about RISE">RISE</a> to the problem of choice, i.e., how to make the best possible use of available resources. If resources were available in plenty there would not have been any problem of choice. Hence, economics is concerned with the problem of choice under the condition of scarcity</body></html> | |
| 6998. |
In case of perfect competition, the horizontal straight line demand curve indicates that an individual firm has no control over price of his product. Comment. |
| Answer» <html><body><p></p>Solution :The given statement is correct. An individual firm under perfect <a href="https://interviewquestions.tuteehub.com/tag/competition-423521" style="font-weight:bold;" target="_blank" title="Click to know more about COMPETITION">COMPETITION</a> is a <a href="https://interviewquestions.tuteehub.com/tag/price-1165141" style="font-weight:bold;" target="_blank" title="Click to know more about PRICE">PRICE</a> <a href="https://interviewquestions.tuteehub.com/tag/taker-1238573" style="font-weight:bold;" target="_blank" title="Click to know more about TAKER">TAKER</a> and has to accept the price <a href="https://interviewquestions.tuteehub.com/tag/fixed-457597" style="font-weight:bold;" target="_blank" title="Click to know more about FIXED">FIXED</a> by the market forces of demand and <a href="https://interviewquestions.tuteehub.com/tag/supply-1235254" style="font-weight:bold;" target="_blank" title="Click to know more about SUPPLY">SUPPLY</a>.</body></html> | |
| 6999. |
Explain the law of demand with the help of a demand schedule |
| Answer» | |
| 7000. |
Calculate the missing figures. {:("Units",1,2,3,4,5,),(TU ("in utils"),16,-,-,-,40,),(MU ("in utils"),-,12,8,6,-,):} |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :<img src="https://d10lpgp6xz60nq.cloudfront.net/physics_images/SG_MIC_ECO_C02_S01_003_S01.png" width="80%"/></body></html> | |