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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.
| 7051. |
A consumer consumes only two goods X and Y. let P_(x) and P_(y) be their prices and Q_(x) and Q_(y). The qunatities of these two goods respectively . Let m be the income. The budget line equationis |
| Answer» <html><body><p>`P_(<a href="https://interviewquestions.tuteehub.com/tag/x-746616" style="font-weight:bold;" target="_blank" title="Click to know more about X">X</a>).Q_(x)+P_(y).Q_(x)=m`<br/>`P_(x).Q_(x)+P_(y).Q_(x) <a href="https://interviewquestions.tuteehub.com/tag/gt-1013864" style="font-weight:bold;" target="_blank" title="Click to know more about GT">GT</a> m` <br/>`P_(x).Q_(x)+P_(y).Q_(x) ge m`<br/>`P_x.Q_(x)+P_(y).Q_(x) le m` </p>Answer :A</body></html> | |
| 7052. |
Which of the following is not an essential condition of "Pure Competition"? |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/large-1066424" style="font-weight:bold;" target="_blank" title="Click to know more about LARGE">LARGE</a> <a href="https://interviewquestions.tuteehub.com/tag/number-582134" style="font-weight:bold;" target="_blank" title="Click to know more about NUMBER">NUMBER</a> of <a href="https://interviewquestions.tuteehub.com/tag/buyers-906447" style="font-weight:bold;" target="_blank" title="Click to know more about BUYERS">BUYERS</a> and sellers<br/>Homogenous Product<br/>Freedom of entry<br/>Absence of <a href="https://interviewquestions.tuteehub.com/tag/transport-10176" style="font-weight:bold;" target="_blank" title="Click to know more about TRANSPORT">TRANSPORT</a> Cost</p>Solution :N/a</body></html> | |
| 7053. |
Give the formula for estimating mode in case of continuous series. |
| Answer» <html><body><p></p>Solution :The following formula is used to calculate the exact value of the <a href="https://interviewquestions.tuteehub.com/tag/mode-1099190" style="font-weight:bold;" target="_blank" title="Click to know more about MODE">MODE</a> in case of continuous series after finding the modal <a href="https://interviewquestions.tuteehub.com/tag/class-18125" style="font-weight:bold;" target="_blank" title="Click to know more about CLASS">CLASS</a>.<br/>`Z=l_(1)+(f_(1)-f_(0))/(2f_(1)-f_(0)-f_(2))xxi`<br/>Here , Z= Value of the mode , `l_(1)` = <a href="https://interviewquestions.tuteehub.com/tag/lower-1080637" style="font-weight:bold;" target="_blank" title="Click to know more about LOWER">LOWER</a> <a href="https://interviewquestions.tuteehub.com/tag/limit-1074025" style="font-weight:bold;" target="_blank" title="Click to know more about LIMIT">LIMIT</a> of the modal class , `f_(1)` = The frequency of the modal class , `f_(0)` = The frequency of pre- modal class , `f_(2)` =Frequency of the next higher class or post - modal class , i = Size of the modal group.</body></html> | |
| 7054. |
Can AC and AVC curves touch each other ? |
| 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> :No, because difference betweenAC and AVC is <a href="https://interviewquestions.tuteehub.com/tag/afc-362161" style="font-weight:bold;" target="_blank" title="Click to know more about AFC">AFC</a> and AFC can never be <a href="https://interviewquestions.tuteehub.com/tag/zero-751093" style="font-weight:bold;" target="_blank" title="Click to know more about ZERO">ZERO</a>.</body></html> | |
| 7055. |
An increase in theprice of Limca mayreduce the supplyof cake . |
| 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/true-713260" style="font-weight:bold;" target="_blank" title="Click to know more about TRUE">TRUE</a>:<a href="https://interviewquestions.tuteehub.com/tag/increase-1040383" style="font-weight:bold;" target="_blank" title="Click to know more about INCREASE">INCREASE</a> in <a href="https://interviewquestions.tuteehub.com/tag/prices-1165311" style="font-weight:bold;" target="_blank" title="Click to know more about PRICES">PRICES</a> of Limca (other good of the sameproducer) will makeits productionmore profitable in comparison to Coke ( <a href="https://interviewquestions.tuteehub.com/tag/givencommodity-2674270" style="font-weight:bold;" target="_blank" title="Click to know more about GIVENCOMMODITY">GIVENCOMMODITY</a>). It will lead to fall in supply of coke as coke and limca are substitute goods.</body></html> | |
| 7056. |
State the main merits and demerits of range. |
| Answer» <html><body><p></p>Solution :Merits :- <br/>1. Simple.<br/>2. Widely used.<br/>Demerits :- <br/>1. Unstable.<br/>2. Not <a href="https://interviewquestions.tuteehub.com/tag/based-389387" style="font-weight:bold;" target="_blank" title="Click to know more about BASED">BASED</a> on all values.<br/>3. No knowledge of the <a href="https://interviewquestions.tuteehub.com/tag/formation-996531" style="font-weight:bold;" target="_blank" title="Click to know more about FORMATION">FORMATION</a> of the series.<br/>4. Irrelevant for open-ended <a href="https://interviewquestions.tuteehub.com/tag/frequency-465761" style="font-weight:bold;" target="_blank" title="Click to know more about FREQUENCY">FREQUENCY</a> <a href="https://interviewquestions.tuteehub.com/tag/distribution-440862" style="font-weight:bold;" target="_blank" title="Click to know more about DISTRIBUTION">DISTRIBUTION</a>.</body></html> | |
| 7057. |
Demand curve under Oligopoly is |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/less-1071906" style="font-weight:bold;" target="_blank" title="Click to know more about LESS">LESS</a> Elastic<br/>Perfectly Elastic<br/>Highly Elastic<br/>Interminate</p>Solution :N/a</body></html> | |
| 7058. |
Name any two mathematical averages. |
| Answer» <html><body><p></p>Solution :The two <a href="https://interviewquestions.tuteehub.com/tag/mathematical-1089495" style="font-weight:bold;" target="_blank" title="Click to know more about MATHEMATICAL">MATHEMATICAL</a> <a href="https://interviewquestions.tuteehub.com/tag/averages-22717" style="font-weight:bold;" target="_blank" title="Click to know more about AVERAGES">AVERAGES</a> are: <br/> (i) Arithmetic <a href="https://interviewquestions.tuteehub.com/tag/mean-1091459" style="font-weight:bold;" target="_blank" title="Click to know more about MEAN">MEAN</a>, and (<a href="https://interviewquestions.tuteehub.com/tag/ii-1036832" style="font-weight:bold;" target="_blank" title="Click to know more about II">II</a>)Geometric mean</body></html> | |
| 7059. |
State any one assumption for the construction of the curve that shows the possibilities of potential production of two goods in an economy. |
| 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/resources-11387" style="font-weight:bold;" target="_blank" title="Click to know more about RESOURCES">RESOURCES</a> are <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 <a href="https://interviewquestions.tuteehub.com/tag/efficiently-2604067" style="font-weight:bold;" target="_blank" title="Click to know more about EFFICIENTLY">EFFICIENTLY</a> <a href="https://interviewquestions.tuteehub.com/tag/utilised-7379677" style="font-weight:bold;" target="_blank" title="Click to know more about UTILISED">UTILISED</a>.</body></html> | |
| 7060. |
Define excess demand. |
| Answer» <html><body><p></p>Solution :It <a href="https://interviewquestions.tuteehub.com/tag/refers-1181652" style="font-weight:bold;" target="_blank" title="Click to know more about REFERS">REFERS</a> to a <a href="https://interviewquestions.tuteehub.com/tag/situation-1210683" style="font-weight:bold;" target="_blank" title="Click to know more about SITUATION">SITUATION</a> when the quantity supplied is more than the quantity supplied at the <a href="https://interviewquestions.tuteehub.com/tag/prevailing-2950879" style="font-weight:bold;" target="_blank" title="Click to know more about PREVAILING">PREVAILING</a> market price.</body></html> | |
| 7061. |
Explain the price elasticity of demand. |
| Answer» <html><body><p></p>Solution :Price <a href="https://interviewquestions.tuteehub.com/tag/elasticity-14238" style="font-weight:bold;" target="_blank" title="Click to know more about ELASTICITY">ELASTICITY</a> of demand is a measure of <a href="https://interviewquestions.tuteehub.com/tag/degree-47" style="font-weight:bold;" target="_blank" title="Click to know more about DEGREE">DEGREE</a> of responsiveness of demand as a <a href="https://interviewquestions.tuteehub.com/tag/result-1187343" style="font-weight:bold;" target="_blank" title="Click to know more about RESULT">RESULT</a> of change in price of the <a href="https://interviewquestions.tuteehub.com/tag/commodity-923558" style="font-weight:bold;" target="_blank" title="Click to know more about COMMODITY">COMMODITY</a>.</body></html> | |
| 7062. |
Define price ceiling. |
| Answer» <html><body><p><br/></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 Ceiling refers to the maximum price the <a href="https://interviewquestions.tuteehub.com/tag/producers-17149" style="font-weight:bold;" target="_blank" title="Click to know more about PRODUCERS">PRODUCERS</a> are <a href="https://interviewquestions.tuteehub.com/tag/allowed-857944" style="font-weight:bold;" target="_blank" title="Click to know more about ALLOWED">ALLOWED</a> to charge by selling their goods and services. This intervention is <a href="https://interviewquestions.tuteehub.com/tag/usually-722248" style="font-weight:bold;" target="_blank" title="Click to know more about USUALLY">USUALLY</a> done in the situations of "shortages" as if not controlled, this may <a href="https://interviewquestions.tuteehub.com/tag/lead-540361" style="font-weight:bold;" target="_blank" title="Click to know more about LEAD">LEAD</a> to high market price of the good.</body></html> | |
| 7063. |
What is the objective of a producer? |
| 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/objective-25531" style="font-weight:bold;" target="_blank" title="Click to know more about OBJECTIVE">OBJECTIVE</a> of a producer is <a href="https://interviewquestions.tuteehub.com/tag/always-373607" style="font-weight:bold;" target="_blank" title="Click to know more about ALWAYS">ALWAYS</a> to <a href="https://interviewquestions.tuteehub.com/tag/maximise-2172432" style="font-weight:bold;" target="_blank" title="Click to know more about MAXIMISE">MAXIMISE</a> his profits.</body></html> | |
| 7064. |
Economic problem arises because: |
| Answer» <html><body><p>(a) <a href="https://interviewquestions.tuteehub.com/tag/resources-11387" style="font-weight:bold;" target="_blank" title="Click to know more about RESOURCES">RESOURCES</a> are limited<br/>(b) Most resources have <a href="https://interviewquestions.tuteehub.com/tag/alternative-858623" style="font-weight:bold;" target="_blank" title="Click to know more about ALTERNATIVE">ALTERNATIVE</a> <a href="https://interviewquestions.tuteehub.com/tag/uses-722152" style="font-weight:bold;" target="_blank" title="Click to know more about USES">USES</a><br/>(c) Wants are unlimited<br/>(d) All the above</p>Answer :D</body></html> | |
| 7065. |
What happens to the difference between Total Cost and Total Variable Cost as output is increased ? |
| 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 difference between TotalCostand Total <a href="https://interviewquestions.tuteehub.com/tag/variable-1442996" style="font-weight:bold;" target="_blank" title="Click to know more about VARIABLE">VARIABLE</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> remains <a href="https://interviewquestions.tuteehub.com/tag/constant-930172" style="font-weight:bold;" target="_blank" title="Click to know more about CONSTANT">CONSTANT</a>.</body></html> | |
| 7066. |
A lot of people died and many resources were destroyed due to floods in Kashmir. How will it affect the PPF of the economy? |
| 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> :PPF of the economy will <a href="https://interviewquestions.tuteehub.com/tag/shifts-1205400" style="font-weight:bold;" target="_blank" title="Click to know more about SHIFTS">SHIFTS</a> to the <a href="https://interviewquestions.tuteehub.com/tag/left-1070879" style="font-weight:bold;" target="_blank" title="Click to know more about LEFT">LEFT</a> because the number of possible <a href="https://interviewquestions.tuteehub.com/tag/combination-922669" style="font-weight:bold;" target="_blank" title="Click to know more about COMBINATION">COMBINATION</a> available with the economy has <a href="https://interviewquestions.tuteehub.com/tag/decreased-7266469" style="font-weight:bold;" target="_blank" title="Click to know more about DECREASED">DECREASED</a>.</body></html> | |
| 7067. |
State the behaviour of marginal product in the law of variable proportions. Explain the causes of this behaviour. |
| Answer» <html><body><p></p>Solution :N/AThe law of diminishing <a href="https://interviewquestions.tuteehub.com/tag/returns-1187977" style="font-weight:bold;" target="_blank" title="Click to know more about RETURNS">RETURNS</a> to a factor states that Marginal Product of a factor initially rises with its employment <a href="https://interviewquestions.tuteehub.com/tag/level-1072714" style="font-weight:bold;" target="_blank" title="Click to know more about LEVEL">LEVEL</a>, but after a certain level of employment it starts falling and ultimately becomes negative.<br/>Reasons behind Phase-1<br/>(i) <a href="https://interviewquestions.tuteehub.com/tag/better-895998" style="font-weight:bold;" target="_blank" title="Click to know more about BETTER">BETTER</a> utilisation of fixed factor.<br/>(ii) Effecient utilisation of variable factor.<br/>(iii) Better co-ordination between factors.<br/>Reasons behind Phase-2<br/>(i) Over-utilisation of the fixed factor.<br/>(ii) Imperfect Substitution of factors.<br/>(iii) Poor Coordination.<br/>Reasons behind Phase-3<br/>(i) <a href="https://interviewquestions.tuteehub.com/tag/fixity-992170" style="font-weight:bold;" target="_blank" title="Click to know more about FIXITY">FIXITY</a> of fixed factor.<br/>(ii) Overcrowding of fixed factor.<br/>(iii) <a href="https://interviewquestions.tuteehub.com/tag/defective-946775" style="font-weight:bold;" target="_blank" title="Click to know more about DEFECTIVE">DEFECTIVE</a> factor ratio.</body></html> | |
| 7068. |
Goods X and Y are substitutes. Explain the effect of fall in price of Y on demand for X. |
| Answer» <html><body><p></p>Solution :Since good X and good Y are substitues, there exists a <a href="https://interviewquestions.tuteehub.com/tag/positive-1159908" style="font-weight:bold;" target="_blank" title="Click to know more about POSITIVE">POSITIVE</a> <a href="https://interviewquestions.tuteehub.com/tag/relationship-1183331" style="font-weight:bold;" target="_blank" title="Click to know more about RELATIONSHIP">RELATIONSHIP</a> between price of good Y and <a href="https://interviewquestions.tuteehub.com/tag/demand-436956" style="font-weight:bold;" target="_blank" title="Click to know more about DEMAND">DEMAND</a> for good X. So, with a fall in price of good Y, the demand for good X will <a href="https://interviewquestions.tuteehub.com/tag/also-373387" style="font-weight:bold;" target="_blank" title="Click to know more about ALSO">ALSO</a> fall.</body></html> | |
| 7069. |
The difference between total cost and total variable cost falls with increase in output. |
| Answer» <html><body><p></p>Solution :False. The <a href="https://interviewquestions.tuteehub.com/tag/difference-951394" style="font-weight:bold;" target="_blank" title="Click to know more about DIFFERENCE">DIFFERENCE</a> between total variable <a href="https://interviewquestions.tuteehub.com/tag/cost-25707" style="font-weight:bold;" target="_blank" title="Click to know more about COST">COST</a> is total fixed cost, which remains same with <a href="https://interviewquestions.tuteehub.com/tag/increase-1040383" style="font-weight:bold;" target="_blank" title="Click to know more about INCREASE">INCREASE</a> in <a href="https://interviewquestions.tuteehub.com/tag/output-1142821" style="font-weight:bold;" target="_blank" title="Click to know more about OUTPUT">OUTPUT</a>.</body></html> | |
| 7070. |
Complete the following table : |{:("Units of Labout","Average Product","Marginal Product"),("(Units)","(Units)","(Units)"),(1,8,-),(2,10,-),(3,-,10),(4,9,-),(5,-,4),(6,7,-):}| |
| 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_C05_S01_006_S01.png" width="80%"/></body></html> | |
| 7071. |
A consumer consumes only two goods X and Y with preices rupees 4 and rupees 5 per unit respectively. On making a plan of spending his whole of income he finds MU_(x)=12 utils and MU_(y)=15 utils. The consumer: |
| Answer» <html><body><p>Is in equilibrium. <br/>Is not in equilibrium nor can <a href="https://interviewquestions.tuteehub.com/tag/reach-1178062" style="font-weight:bold;" target="_blank" title="Click to know more about REACH">REACH</a> equilibrium. <br/>Can reach equilibrium by <a href="https://interviewquestions.tuteehub.com/tag/buying-906461" style="font-weight:bold;" target="_blank" title="Click to know more about BUYING">BUYING</a> <a href="https://interviewquestions.tuteehub.com/tag/less-1071906" style="font-weight:bold;" target="_blank" title="Click to know more about LESS">LESS</a> of X and more of Y.<br/>Can reach equilibrium by buying more of X and less of Y. </p>Answer :A</body></html> | |
| 7072. |
What will happen to PPF if there is technological upgradation in case of both the goods? |
| Answer» <html><body><p>Rightward <a href="https://interviewquestions.tuteehub.com/tag/shift-1205367" style="font-weight:bold;" target="_blank" title="Click to know more about SHIFT">SHIFT</a> in PPF<br/>Leftward Shift PPF<br/>Rotation of PPF<br/>None of these.</p>Solution :A. The basic idea is that anything that causes <a href="https://interviewquestions.tuteehub.com/tag/economic-448435" style="font-weight:bold;" target="_blank" title="Click to know more about ECONOMIC">ECONOMIC</a> output to increase or decrease will shift this <a href="https://interviewquestions.tuteehub.com/tag/curve-941741" style="font-weight:bold;" target="_blank" title="Click to know more about CURVE">CURVE</a>. When the curve <a href="https://interviewquestions.tuteehub.com/tag/shifts-1205400" style="font-weight:bold;" target="_blank" title="Click to know more about SHIFTS">SHIFTS</a> outward, or to the right, that means output is increasing. When the curve shifts inward, or to the left, that means output is decreasing. So, if there is <a href="https://interviewquestions.tuteehub.com/tag/technological-659642" style="font-weight:bold;" target="_blank" title="Click to know more about TECHNOLOGICAL">TECHNOLOGICAL</a> upgradation in case of both the goods then there will be a Rightward shift in PPF.</body></html> | |
| 7073. |
Define average revenue . |
| 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> :Average <a href="https://interviewquestions.tuteehub.com/tag/revenue-1188040" style="font-weight:bold;" target="_blank" title="Click to know more about REVENUE">REVENUE</a> is the revenue per unit of <a href="https://interviewquestions.tuteehub.com/tag/output-1142821" style="font-weight:bold;" target="_blank" title="Click to know more about OUTPUT">OUTPUT</a>. <br/>OR <br/>AR = TR / <a href="https://interviewquestions.tuteehub.com/tag/q-609558" style="font-weight:bold;" target="_blank" title="Click to know more about Q">Q</a></body></html> | |
| 7074. |
what is meant by unitary elastic demand ? |
| 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> :When percentage change <a href="https://interviewquestions.tuteehub.com/tag/inthe-1050050" style="font-weight:bold;" target="_blank" title="Click to know more about INTHE">INTHE</a> <a href="https://interviewquestions.tuteehub.com/tag/quantity-1174212" style="font-weight:bold;" target="_blank" title="Click to know more about QUANTITY">QUANTITY</a> demanded is <a href="https://interviewquestions.tuteehub.com/tag/equal-446400" style="font-weight:bold;" target="_blank" title="Click to know more about EQUAL">EQUAL</a> to percentage change in price, then demand for such a commodity is said to ve unitary <a href="https://interviewquestions.tuteehub.com/tag/elastic-967540" style="font-weight:bold;" target="_blank" title="Click to know more about ELASTIC">ELASTIC</a> .</body></html> | |
| 7075. |
If demand and supply curves do not intersect each other at any positive quantity, the industry is : |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/making-1085093" style="font-weight:bold;" target="_blank" title="Click to know more about MAKING">MAKING</a> profits<br/>in <a href="https://interviewquestions.tuteehub.com/tag/perfect-1150611" style="font-weight:bold;" target="_blank" title="Click to know more about PERFECT">PERFECT</a> competition<br/>not economically viable<br/>all 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> | |
| 7076. |
A component part chart can be presented in the form of : |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/circle-916533" style="font-weight:bold;" target="_blank" title="Click to know more about CIRCLE">CIRCLE</a> <br/>Bars<br/>Both circles and bars <br/><a href="https://interviewquestions.tuteehub.com/tag/triangles-13354" style="font-weight:bold;" target="_blank" title="Click to know more about TRIANGLES">TRIANGLES</a>. </p>Solution :<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> | |
| 7077. |
Equilibrium price remains the same when : |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/increase-1040383" style="font-weight:bold;" target="_blank" title="Click to know more about INCREASE">INCREASE</a> in <a href="https://interviewquestions.tuteehub.com/tag/demand-436956" style="font-weight:bold;" target="_blank" title="Click to know more about DEMAND">DEMAND</a> = Increase in Supply<br/>Increase in Demand `<a href="https://interviewquestions.tuteehub.com/tag/gt-1013864" style="font-weight:bold;" target="_blank" title="Click to know more about GT">GT</a>` <a href="https://interviewquestions.tuteehub.com/tag/decrease-946104" style="font-weight:bold;" target="_blank" title="Click to know more about DECREASE">DECREASE</a> in Supply<br/>Decrease in demand `gt` increase in Supply<br/>Increase in demand = Decrease in Supply</p>Answer :(a)</body></html> | |
| 7078. |
Central tendency refers to a central value of a statistical series. |
| Answer» <html><body><p><br/></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 measure of central tendency is a single value that describes the way in which a group of <a href="https://interviewquestions.tuteehub.com/tag/data-25577" style="font-weight:bold;" target="_blank" title="Click to know more about DATA">DATA</a> cluster around a central value. To <a href="https://interviewquestions.tuteehub.com/tag/put-11868" style="font-weight:bold;" target="_blank" title="Click to know more about PUT">PUT</a> in other words, it is a way to describe the <a href="https://interviewquestions.tuteehub.com/tag/center-11455" style="font-weight:bold;" target="_blank" title="Click to know more about CENTER">CENTER</a> of a data set.</body></html> | |
| 7079. |
Explain, in brieef, the meaning of opportunity cost. |
| Answer» <html><body><p></p>Solution :A benefit, <a href="https://interviewquestions.tuteehub.com/tag/profit-1168589" style="font-weight:bold;" target="_blank" title="Click to know more about PROFIT">PROFIT</a>, or value of <a href="https://interviewquestions.tuteehub.com/tag/something-25913" style="font-weight:bold;" target="_blank" title="Click to know more about SOMETHING">SOMETHING</a> that must be given up to acquire or achieve something else. Since every resource (land, money, <a href="https://interviewquestions.tuteehub.com/tag/time-19467" style="font-weight:bold;" target="_blank" title="Click to know more about TIME">TIME</a>, etc.) can be put to <a href="https://interviewquestions.tuteehub.com/tag/alternative-858623" style="font-weight:bold;" target="_blank" title="Click to know more about ALTERNATIVE">ALTERNATIVE</a> uses, every action, choice, or decision has an associated opportunity cost.</body></html> | |
| 7080. |
When price of a good falls from ₹ 15 per unit to ₹ 12 per unit, its demand rises by 25% , calculate P.e_(D) |
| 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> :1.25</body></html> | |
| 7081. |
Discuss the relationship between TR and MR when prices is reduced to sell more. |
| Answer» <html><body><p></p>Solution :(i) TR <a href="https://interviewquestions.tuteehub.com/tag/increases-1040626" style="font-weight:bold;" target="_blank" title="Click to know more about INCREASES">INCREASES</a> as <a href="https://interviewquestions.tuteehub.com/tag/long-537592" style="font-weight:bold;" target="_blank" title="Click to know more about LONG">LONG</a> MR is <a href="https://interviewquestions.tuteehub.com/tag/positive-1159908" style="font-weight:bold;" target="_blank" title="Click to know more about POSITIVE">POSITIVE</a>.<br/>(ii) TR is <a href="https://interviewquestions.tuteehub.com/tag/maximum-556915" style="font-weight:bold;" target="_blank" title="Click to know more about MAXIMUM">MAXIMUM</a> and constant when MR is zero.<br/>(iii) TR falls when MR becomes <a href="https://interviewquestions.tuteehub.com/tag/negative-570381" style="font-weight:bold;" target="_blank" title="Click to know more about NEGATIVE">NEGATIVE</a>.</body></html> | |
| 7082. |
What policy initiatives can the government undertake to increase the demand of milk in the country? Mention any one |
| Answer» <html><body><p></p>Solution :In <a href="https://interviewquestions.tuteehub.com/tag/order-1138220" style="font-weight:bold;" target="_blank" title="Click to know more about ORDER">ORDER</a> to increase the demand the demand of milk in the country government can take <a href="https://interviewquestions.tuteehub.com/tag/following-463335" style="font-weight:bold;" target="_blank" title="Click to know more about FOLLOWING">FOLLOWING</a> <a href="https://interviewquestions.tuteehub.com/tag/measures-1091959" style="font-weight:bold;" target="_blank" title="Click to know more about MEASURES">MEASURES</a>: <br/> (a) can give subsidies to <a href="https://interviewquestions.tuteehub.com/tag/reduce-1181332" style="font-weight:bold;" target="_blank" title="Click to know more about REDUCE">REDUCE</a> price. <br/> (b) can undertake health <a href="https://interviewquestions.tuteehub.com/tag/campaigns-908115" style="font-weight:bold;" target="_blank" title="Click to know more about CAMPAIGNS">CAMPAIGNS</a> to promote the positive effects of consumption of milk. <br/> (c) can reduce taxes on sale of milk.</body></html> | |
| 7083. |
"An economy always operates on production possibility frontier and not inside it". Do you agree with the given statement? |
| Answer» <html><body><p></p>Solution :No, I do not <a href="https://interviewquestions.tuteehub.com/tag/agree-2404370" style="font-weight:bold;" target="_blank" title="Click to know more about AGREE">AGREE</a> with the given statement. An economy operates on production possibility frontier (<a href="https://interviewquestions.tuteehub.com/tag/ppf-592456" style="font-weight:bold;" target="_blank" title="Click to know more about PPF">PPF</a>) only when resources are fully and <a href="https://interviewquestions.tuteehub.com/tag/efficiently-2604067" style="font-weight:bold;" target="_blank" title="Click to know more about EFFICIENTLY">EFFICIENTLY</a> <a href="https://interviewquestions.tuteehub.com/tag/utilised-7379677" style="font-weight:bold;" target="_blank" title="Click to know more about UTILISED">UTILISED</a>. However, if resources are not fully and efficiently utilized, then economy operates at any point inside PPF.</body></html> | |
| 7084. |
Which of the following diagram represent the situation of 'Expansion in Demand' ? |
| Answer» <html><body><p><img src="https://d10lpgp6xz60nq.cloudfront.net/physics_images/SG_MIC_ECO_C03_E01_047_O01.png" width="30%"/><br/><img src="https://d10lpgp6xz60nq.cloudfront.net/physics_images/SG_MIC_ECO_C03_E01_047_O02.png" width="30%"/><br/><img src="https://d10lpgp6xz60nq.cloudfront.net/physics_images/SG_MIC_ECO_C03_E01_047_O03.png" width="30%"/><br/><img src="https://d10lpgp6xz60nq.cloudfront.net/physics_images/SG_MIC_ECO_C03_E01_047_O04.png" width="30%"/></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</body></html> | |
| 7085. |
According to Law of Variable Proportions, when we increase quantity of only one input keeping other inputs fixed, _______ initially increases at an increasing rate, then at a decreasing rate and finally at a negative rate. |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/total-711110" style="font-weight:bold;" target="_blank" title="Click to know more about TOTAL">TOTAL</a> Product<br/>Average Product<br/>Marginal Product<br/>None of these</p>Answer :A</body></html> | |
| 7086. |
Explain frequency polygon. |
| Answer» | |
| 7087. |
The demand curve slopes downwards because of |
| Answer» <html><body><p><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 DMU<br/>income <a href="https://interviewquestions.tuteehub.com/tag/effect-966056" style="font-weight:bold;" target="_blank" title="Click to know more about EFFECT">EFFECT</a><br/>substitution effect <br/>all of these</p>Answer :D</body></html> | |
| 7088. |
Define the following concepts: (i) Marginal Utility, (ii) Total Utility, (iii) Law of Diminishing Marginal Utility |
| Answer» | |
| 7089. |
When total revenue is constant average revenue will also be constant. |
| Answer» <html><body><p></p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/false-459184" style="font-weight:bold;" target="_blank" title="Click to know more about FALSE">FALSE</a> : When total <a href="https://interviewquestions.tuteehub.com/tag/revenue-1188040" style="font-weight:bold;" target="_blank" title="Click to know more about REVENUE">REVENUE</a> is <a href="https://interviewquestions.tuteehub.com/tag/constant-930172" style="font-weight:bold;" target="_blank" title="Click to know more about CONSTANT">CONSTANT</a>, <a href="https://interviewquestions.tuteehub.com/tag/average-13416" style="font-weight:bold;" target="_blank" title="Click to know more about AVERAGE">AVERAGE</a> revenue will fall.</body></html> | |
| 7090. |
There is no difference between a firm and an industry in : |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/perfect-1150611" style="font-weight:bold;" target="_blank" title="Click to know more about PERFECT">PERFECT</a> <a href="https://interviewquestions.tuteehub.com/tag/competition-423521" style="font-weight:bold;" target="_blank" title="Click to know more about COMPETITION">COMPETITION</a> <br/>monopoly<br/>monopolistic competition <br/>oligopoly.</p>Answer :D</body></html> | |
| 7091. |
Give formula to measure P.e_(D) by Percenatage method |
| 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> :Percentage <a href="https://interviewquestions.tuteehub.com/tag/method-559432" style="font-weight:bold;" target="_blank" title="Click to know more about METHOD">METHOD</a>:<br/> ` P.e_(D) = (" Percentage <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 demanded")/("Percentage change in price")`</body></html> | |
| 7092. |
The demand curves facing a seller under conditions of pertect competition, monopolistic compettion and monopoly difer in their price elasticities of demand. Draw demand curves of all the three market situations in a single diagram. |
| Answer» <html><body><p></p>Solution :Perfect competition has a perfscty <a href="https://interviewquestions.tuteehub.com/tag/elastic-967540" style="font-weight:bold;" target="_blank" title="Click to know more about ELASTIC">ELASTIC</a> <a href="https://interviewquestions.tuteehub.com/tag/demand-436956" style="font-weight:bold;" target="_blank" title="Click to know more about DEMAND">DEMAND</a> <a href="https://interviewquestions.tuteehub.com/tag/curve-941741" style="font-weight:bold;" target="_blank" title="Click to know more about CURVE">CURVE</a> (DD) parallel to the X-axis Monopolistic competition has a <a href="https://interviewquestions.tuteehub.com/tag/highly-2102664" style="font-weight:bold;" target="_blank" title="Click to know more about HIGHLY">HIGHLY</a> elastic demand curve `(D_(1),D_(1)). Manopoly has a <a href="https://interviewquestions.tuteehub.com/tag/less-1071906" style="font-weight:bold;" target="_blank" title="Click to know more about LESS">LESS</a> elastic demand curve `(D_(2)D_(2))`</body></html> | |
| 7093. |
Identify which of the following is not true for the Indifference Curves. Give valid reasons for choice of your answer. (a) Lower indifference curve represents lower level of satisfaction (b) Two regular convex to origin indifference curves can intersect each other. (c) Indifference curve must be convex to origin at the point of tangency with the budget line at the consumer's equilibrium. ltbr. (d) Indifference curves are drawn under the ordinal approach to consumer equilibrium |
| Answer» <html><body><p></p>Solution :Out of the given options. (b) is incorrect. Indifference Curves have a property that two ICs cannot intersect. Suppose, there are any two ICs <a href="https://interviewquestions.tuteehub.com/tag/intersecting-2745467" style="font-weight:bold;" target="_blank" title="Click to know more about INTERSECTING">INTERSECTING</a> each other. As per the <a href="https://interviewquestions.tuteehub.com/tag/figure-987693" style="font-weight:bold;" target="_blank" title="Click to know more about FIGURE">FIGURE</a>: <br/> <img src="https://d10lpgp6xz60nq.cloudfront.net/physics_images/SG_MIC_ECO_C02_S01_039_S01.png" width="80%"/> <br/> `A = C ("on " IC_(<a href="https://interviewquestions.tuteehub.com/tag/1-256655" style="font-weight:bold;" target="_blank" title="Click to know more about 1">1</a>))` <br/> `D = E ("on " IC_(<a href="https://interviewquestions.tuteehub.com/tag/2-283658" style="font-weight:bold;" target="_blank" title="Click to know more about 2">2</a>))` <br/> But if we see the peculiarity of point B (the point of intersection), this would result into absurd situation of `A = C = B " & " D = C = B`, which is not possible, as they are violating the basic definition of the indifference curves.</body></html> | |
| 7094. |
Why do economic problems arise ? |
| 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> <a href="https://interviewquestions.tuteehub.com/tag/problems-13702" style="font-weight:bold;" target="_blank" title="Click to know more about PROBLEMS">PROBLEMS</a> <a href="https://interviewquestions.tuteehub.com/tag/arise-363879" style="font-weight:bold;" target="_blank" title="Click to know more about ARISE">ARISE</a> because the available <a href="https://interviewquestions.tuteehub.com/tag/resources-11387" style="font-weight:bold;" target="_blank" title="Click to know more about RESOURCES">RESOURCES</a> are scarce in relation to the unlimited wants for goods and <a href="https://interviewquestions.tuteehub.com/tag/services-1202745" style="font-weight:bold;" target="_blank" title="Click to know more about SERVICES">SERVICES</a>.</body></html> | |
| 7095. |
In weightedindex, weights are accorded to different items depending on their relative importance."" (True/False) |
| 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/1-256655" style="font-weight:bold;" target="_blank" title="Click to know more about 1">1</a></body></html> | |
| 7096. |
Explain coefficient of range with the help of a formula. |
| Answer» <html><body><p></p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/range-1177030" style="font-weight:bold;" target="_blank" title="Click to know more about RANGE">RANGE</a> is an <a href="https://interviewquestions.tuteehub.com/tag/absolute-11456" style="font-weight:bold;" target="_blank" title="Click to know more about ABSOLUTE">ABSOLUTE</a> <a href="https://interviewquestions.tuteehub.com/tag/measure-1091857" style="font-weight:bold;" target="_blank" title="Click to know more about MEASURE">MEASURE</a> of dispersion. As such it cannot be used for comparisons. To make it comparable we find its <a href="https://interviewquestions.tuteehub.com/tag/coefficient-920926" style="font-weight:bold;" target="_blank" title="Click to know more about COEFFICIENT">COEFFICIENT</a>. <br/>Coefficient of Range = H-L`/`H+L</body></html> | |
| 7097. |
Under monopoly, the barriers to entry and exit of firms lead to absence of competition in the market. Do you think this is necessary in certain strategicareas like in the case of production of defense goods and atomic energy? |
| Answer» <html><body><p></p>Solution :Yes, <a href="https://interviewquestions.tuteehub.com/tag/barriers-394144" style="font-weight:bold;" target="_blank" title="Click to know more about BARRIERS">BARRIERS</a> to entry and exit of firms is necessary in certain strategic areas (defense <a href="https://interviewquestions.tuteehub.com/tag/goods-1009877" style="font-weight:bold;" target="_blank" title="Click to know more about GOODS">GOODS</a>, atomic energy, etc.) because these areas are of national <a href="https://interviewquestions.tuteehub.com/tag/security-11642" style="font-weight:bold;" target="_blank" title="Click to know more about SECURITY">SECURITY</a> and production of such goods cannot be left open for <a href="https://interviewquestions.tuteehub.com/tag/competition-423521" style="font-weight:bold;" target="_blank" title="Click to know more about COMPETITION">COMPETITION</a>.</body></html> | |
| 7098. |
Suppose a consumer can afford to buy 6 units of good 1 and 8 units of good 2, if she spends her entire income. The prices of two goods are Rs.6 and Rs.8 respectively. What is the consumer's income ? |
| Answer» <html><body><p><br/></p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/equation-974081" style="font-weight:bold;" target="_blank" title="Click to know more about EQUATION">EQUATION</a> of budget <a href="https://interviewquestions.tuteehub.com/tag/line-1074199" style="font-weight:bold;" target="_blank" title="Click to know more about LINE">LINE</a> =`P_1x_1+P_2x_2=M` <br/> Here `P_1=Rs.6, P_2=Rs.<a href="https://interviewquestions.tuteehub.com/tag/8-336412" style="font-weight:bold;" target="_blank" title="Click to know more about 8">8</a>, x_1=` 6 units, `x_2`=8 units <br/> <a href="https://interviewquestions.tuteehub.com/tag/hence-484344" style="font-weight:bold;" target="_blank" title="Click to know more about HENCE">HENCE</a> `P_1x_1+P_2x_2=6xx6+8xx8` <br/> Total expenditure=36+64=100 <br/> Hence, total <a href="https://interviewquestions.tuteehub.com/tag/income-25499" style="font-weight:bold;" target="_blank" title="Click to know more about INCOME">INCOME</a> (M) of the consumer is <br/> Rs.100 as `P_1x_1+P_2x_2=M`</body></html> | |
| 7099. |
A budget set is the collection of all bundles of goods that a consumer wants to buy |
| Answer» <html><body><p></p>Solution :Budget <a href="https://interviewquestions.tuteehub.com/tag/set-11758" style="font-weight:bold;" target="_blank" title="Click to know more about SET">SET</a> <a href="https://interviewquestions.tuteehub.com/tag/consists-930075" style="font-weight:bold;" target="_blank" title="Click to know more about CONSISTS">CONSISTS</a> of all those bundles of two goods, which 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> can afford, given his <a href="https://interviewquestions.tuteehub.com/tag/income-25499" style="font-weight:bold;" target="_blank" title="Click to know more about INCOME">INCOME</a> and prices in the market</body></html> | |
| 7100. |
If decrease in supply is less than the decrease in demand, then: |
| Answer» <html><body><p>Both <a href="https://interviewquestions.tuteehub.com/tag/equilibrium-974342" style="font-weight:bold;" target="_blank" title="Click to know more about EQUILIBRIUM">EQUILIBRIUM</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> and <a href="https://interviewquestions.tuteehub.com/tag/quantity-1174212" style="font-weight:bold;" target="_blank" title="Click to know more about QUANTITY">QUANTITY</a> increase.<br/>Both equilibrium price and quantity decrease.<br/>Equilibrium price <a href="https://interviewquestions.tuteehub.com/tag/increases-1040626" style="font-weight:bold;" target="_blank" title="Click to know more about INCREASES">INCREASES</a> and quantity decreases.<br/>Equilibrium price increases and quantity increases.</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> | |