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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.
| 7101. |
Identify the fixed factor in short run: |
| Answer» <html><body><p>labour<br/>raw <a href="https://interviewquestions.tuteehub.com/tag/material-1089170" style="font-weight:bold;" target="_blank" title="Click to know more about MATERIAL">MATERIAL</a> <br/>land<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> | |
| 7102. |
How are the equilibrium price and quantity affected when (a) both demand and supply curves shifts in the same direction? (b) demand and supply curves shifts in opposite directions? |
| Answer» <html><body><p></p>Solution :You need to <a href="https://interviewquestions.tuteehub.com/tag/draw-959456" style="font-weight:bold;" target="_blank" title="Click to know more about DRAW">DRAW</a> various <a href="https://interviewquestions.tuteehub.com/tag/possibilities-1160393" style="font-weight:bold;" target="_blank" title="Click to know more about POSSIBILITIES">POSSIBILITIES</a> in which the <a href="https://interviewquestions.tuteehub.com/tag/curves-941810" style="font-weight:bold;" target="_blank" title="Click to know more about CURVES">CURVES</a> <a href="https://interviewquestions.tuteehub.com/tag/shift-1205367" style="font-weight:bold;" target="_blank" title="Click to know more about SHIFT">SHIFT</a>.</body></html> | |
| 7103. |
What is the general profit maximising condition of a producer from TR and TC curves ? |
| 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/producer-1167788" style="font-weight:bold;" target="_blank" title="Click to know more about PRODUCER">PRODUCER</a> earn <a href="https://interviewquestions.tuteehub.com/tag/maximum-556915" style="font-weight:bold;" target="_blank" title="Click to know more about MAXIMUM">MAXIMUM</a> profits when the difference between TR and TC is maximum.</body></html> | |
| 7104. |
What will be the shape of MR curve when TR increases at constant rate ? |
| Answer» <html><body><p></p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/mr-549185" style="font-weight:bold;" target="_blank" title="Click to know more about MR">MR</a> curve will be <a href="https://interviewquestions.tuteehub.com/tag/horizontal-1029056" style="font-weight:bold;" target="_blank" title="Click to know more about HORIZONTAL">HORIZONTAL</a> <a href="https://interviewquestions.tuteehub.com/tag/straight-633156" style="font-weight:bold;" target="_blank" title="Click to know more about STRAIGHT">STRAIGHT</a> line <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 X-axis and will coincide with <a href="https://interviewquestions.tuteehub.com/tag/ar-380980" style="font-weight:bold;" target="_blank" title="Click to know more about AR">AR</a> curve.</body></html> | |
| 7105. |
By which formula is combined arithmetic mean estimated? |
| Answer» <html><body><p>`barX_(12)(X_(1)+X_(<a href="https://interviewquestions.tuteehub.com/tag/2-283658" style="font-weight:bold;" target="_blank" title="Click to know more about 2">2</a>)+...+X_(<a href="https://interviewquestions.tuteehub.com/tag/n-568463" style="font-weight:bold;" target="_blank" title="Click to know more about N">N</a>))/(N_(1)+N_(2))`<br/>`barX_(12)=(barX_(1)N_(1)+barX_(2)N_(2))/(N_(1)+N_(2))`<br/>`barX_(12)=(barX_(1)+barX_(2))/(N_(1)+N_(2))`<br/><a href="https://interviewquestions.tuteehub.com/tag/none-580659" style="font-weight:bold;" target="_blank" title="Click to know more about NONE">NONE</a> 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> | |
| 7106. |
What causes a movement along the supply curve of a good? |
| Answer» <html><body><p></p>Solution : Change (<a href="https://interviewquestions.tuteehub.com/tag/increase-1040383" style="font-weight:bold;" target="_blank" title="Click to know more about INCREASE">INCREASE</a> or decrease) in price <a href="https://interviewquestions.tuteehub.com/tag/causes-910982" style="font-weight:bold;" target="_blank" title="Click to know more about CAUSES">CAUSES</a> a movement <a href="https://interviewquestions.tuteehub.com/tag/along-1974109" style="font-weight:bold;" target="_blank" title="Click to know more about ALONG">ALONG</a> the supply curve 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> | |
| 7107. |
When does 'decrease' in demand take place ? |
| Answer» <html><body><p></p>Solution :When there is <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 demand due to a <a href="https://interviewquestions.tuteehub.com/tag/factor-458892" style="font-weight:bold;" target="_blank" title="Click to know more about FACTOR">FACTOR</a> other than own <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 good or naming a factor like fall in price of <a href="https://interviewquestions.tuteehub.com/tag/substitude-3084245" style="font-weight:bold;" target="_blank" title="Click to know more about SUBSTITUDE">SUBSTITUDE</a>, etc.</body></html> | |
| 7108. |
Average deviation can be calculated from |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/mean-1091459" style="font-weight:bold;" target="_blank" title="Click to know more about MEAN">MEAN</a> <br/><a href="https://interviewquestions.tuteehub.com/tag/median-1092401" style="font-weight:bold;" target="_blank" title="Click to know more about MEDIAN">MEDIAN</a> <br/>Both mean and median <br/><a href="https://interviewquestions.tuteehub.com/tag/neither-1113494" style="font-weight:bold;" target="_blank" title="Click to know more about NEITHER">NEITHER</a> mean nor median </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/c-7168" style="font-weight:bold;" target="_blank" title="Click to know more about C">C</a></body></html> | |
| 7109. |
A simultaneous "decrease" in both demand and supply ultimately results in : |
| Answer» <html><body><p><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 <a href="https://interviewquestions.tuteehub.com/tag/equilibrium-974342" style="font-weight:bold;" target="_blank" title="Click to know more about EQUILIBRIUM">EQUILIBRIUM</a> price<br/>Increase in equilibrium price<br/>Neither (a) nor (<a href="https://interviewquestions.tuteehub.com/tag/b-387190" style="font-weight:bold;" target="_blank" title="Click to know more about B">B</a>)<br/>Any of the above</p>Answer :D</body></html> | |
| 7110. |
What will happen to MP, when TP increases at an increasing rate ? |
| 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/mp-565167" style="font-weight:bold;" target="_blank" title="Click to know more about MP">MP</a> <a href="https://interviewquestions.tuteehub.com/tag/falls-983294" style="font-weight:bold;" target="_blank" title="Click to know more about FALLS">FALLS</a>, but <a href="https://interviewquestions.tuteehub.com/tag/remains-621920" style="font-weight:bold;" target="_blank" title="Click to know more about REMAINS">REMAINS</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>.</body></html> | |
| 7111. |
A severe drought results in a drastic fall in the output of wheat. Analyse how it will affect the market price of wheat. |
| Answer» <html><body><p></p>Solution :Market <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 wheat will <a href="https://interviewquestions.tuteehub.com/tag/increase-1040383" style="font-weight:bold;" target="_blank" title="Click to know more about INCREASE">INCREASE</a> (<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 decrease in <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> | |
| 7112. |
Distinguish between perfect oligopoly and imperfect oligopoly. Also explain the "interdependence between the firms" feature of oligopoly. |
| Answer» | |
| 7113. |
Average cost can rise even when marginal cost is falling. |
| 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/false-459184" style="font-weight:bold;" target="_blank" title="Click to know more about FALSE">FALSE</a>. Marginal <a href="https://interviewquestions.tuteehub.com/tag/cost-25707" style="font-weight:bold;" target="_blank" title="Click to know more about COST">COST</a> pulls the average cost up or down. So when marginal cost <a href="https://interviewquestions.tuteehub.com/tag/falls-983294" style="font-weight:bold;" target="_blank" title="Click to know more about FALLS">FALLS</a>, average cost <a href="https://interviewquestions.tuteehub.com/tag/also-373387" style="font-weight:bold;" target="_blank" title="Click to know more about ALSO">ALSO</a> falls.</body></html> | |
| 7114. |
In tabulation, the table number should be followed by title |
| 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 href="https://interviewquestions.tuteehub.com/tag/true-713260" style="font-weight:bold;" target="_blank" title="Click to know more about TRUE">TRUE</a></body></html> | |
| 7115. |
Which of the following is not a condition of the perfect market? |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/homogenous-1028795" style="font-weight:bold;" target="_blank" title="Click to know more about HOMOGENOUS">HOMOGENOUS</a> Product<br/>Very <a href="https://interviewquestions.tuteehub.com/tag/large-1066424" style="font-weight:bold;" target="_blank" title="Click to know more about LARGE">LARGE</a> number of sells<br/>Perfectknowledge among buyers<br/>Downward <a href="https://interviewquestions.tuteehub.com/tag/sloping-7378327" style="font-weight:bold;" target="_blank" title="Click to know more about SLOPING">SLOPING</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> curve</p>Solution :N/a</body></html> | |
| 7116. |
Which condition is incorrect : |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/ac-361271" style="font-weight:bold;" target="_blank" title="Click to know more about AC">AC</a> can <a href="https://interviewquestions.tuteehub.com/tag/rise-1189674" style="font-weight:bold;" target="_blank" title="Click to know more about RISE">RISE</a> when <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 falling<br/>AC can fallwhen MC is rising<br/>AVC can <a href="https://interviewquestions.tuteehub.com/tag/fall-983217" style="font-weight:bold;" target="_blank" title="Click to know more about FALL">FALL</a> when MC is rising<br/>AC can rise when MC is rising</p>Solution :N//A</body></html> | |
| 7117. |
Explain the meaning of normal goods and inferior goods. |
| 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/normal-1123860" style="font-weight:bold;" target="_blank" title="Click to know more about NORMAL">NORMAL</a> goods are those goods <a href="https://interviewquestions.tuteehub.com/tag/whose-1455415" style="font-weight:bold;" target="_blank" title="Click to know more about WHOSE">WHOSE</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/increases-1040626" style="font-weight:bold;" target="_blank" title="Click to know more about INCREASES">INCREASES</a> with an increase in income of the consumer and vice-versa whereas in case of inferior goods, their demand falls with an increase in income of the consumer and vice-versa.</body></html> | |
| 7118. |
If the demand for a good is made by a rich consumer , its demand is generally. |
| 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> <a href="https://interviewquestions.tuteehub.com/tag/elastic-967540" style="font-weight:bold;" target="_blank" title="Click to know more about ELASTIC">ELASTIC</a> <br/><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 <br/><a href="https://interviewquestions.tuteehub.com/tag/unitary-3246772" style="font-weight:bold;" target="_blank" title="Click to know more about UNITARY">UNITARY</a> elastic <br/><a href="https://interviewquestions.tuteehub.com/tag/perfectly-7309466" style="font-weight:bold;" target="_blank" title="Click to know more about PERFECTLY">PERFECTLY</a> elastic</p>Solution :N/a</body></html> | |
| 7119. |
A flatter demand curve is more elastic than a steeper demand curve at the point of intersection. |
| 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> :Flatter <a href="https://interviewquestions.tuteehub.com/tag/dmeand-2590304" style="font-weight:bold;" target="_blank" title="Click to know more about DMEAND">DMEAND</a> curve is more <a href="https://interviewquestions.tuteehub.com/tag/elastic-967540" style="font-weight:bold;" target="_blank" title="Click to know more about ELASTIC">ELASTIC</a> because with the same <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 price, change in demand in <a href="https://interviewquestions.tuteehub.com/tag/case-910082" style="font-weight:bold;" target="_blank" title="Click to know more about CASE">CASE</a> of flatter curve is more than change in demand in case of steeper curve.</body></html> | |
| 7120. |
What change will take place in marginal product, when total product increases at a diminishing rate ? |
| 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/mp-565167" style="font-weight:bold;" target="_blank" title="Click to know more about MP">MP</a> will be <a href="https://interviewquestions.tuteehub.com/tag/positive-1159908" style="font-weight:bold;" target="_blank" title="Click to know more about POSITIVE">POSITIVE</a> and <a href="https://interviewquestions.tuteehub.com/tag/decreasing-946148" style="font-weight:bold;" target="_blank" title="Click to know more about DECREASING">DECREASING</a>.</body></html> | |
| 7121. |
Suppose prices of one of the two goods the consumer consumes falls and that of other rises, the consumer's utility level at equilibrium in the IC analysis. |
| 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> <br/>Increases<br/>Remain <a href="https://interviewquestions.tuteehub.com/tag/unchanged-2316761" style="font-weight:bold;" target="_blank" title="Click to know more about UNCHANGED">UNCHANGED</a><br/> Uncertain</p>Answer :D</body></html> | |
| 7122. |
Theprofit of a firm diminishes when "_________" exceeds "_________": |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/marginal-555038" style="font-weight:bold;" target="_blank" title="Click to know more about MARGINAL">MARGINAL</a> <a href="https://interviewquestions.tuteehub.com/tag/revenue-1188040" style="font-weight:bold;" target="_blank" title="Click to know more about REVENUE">REVENUE</a> , Marginal <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/>Marginal Cost, Marginal Revenue<br/>Marginal Revenue , <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 <br/>Average Revenue, Average Cost</p>Solution :N/a</body></html> | |
| 7123. |
If a perfectly competitive firm double its output. Then it total revenue: |
| Answer» <html><body><p>Doubles<br/>More than doubles<br/>Less than doubles<br/>Cannot be determined</p>Solution :N/a</body></html> | |
| 7124. |
Define average revenue (AR) |
| Answer» <html><body><p></p>Solution :AR <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 the revenue <a href="https://interviewquestions.tuteehub.com/tag/per-590802" style="font-weight:bold;" target="_blank" title="Click to know more about PER">PER</a> <a href="https://interviewquestions.tuteehub.com/tag/unit-1438166" style="font-weight:bold;" target="_blank" title="Click to know more about UNIT">UNIT</a> of commodity <a href="https://interviewquestions.tuteehub.com/tag/sold-631881" style="font-weight:bold;" target="_blank" title="Click to know more about SOLD">SOLD</a>. <br/> <a href="https://interviewquestions.tuteehub.com/tag/symbolically-7384050" style="font-weight:bold;" target="_blank" title="Click to know more about SYMBOLICALLY">SYMBOLICALLY</a> : `AR=(TR)/("No. of units sold")`</body></html> | |
| 7125. |
Following is the weekly wage earnings of 19 workers: {:("Wages(Rs.)",10,20,30,40,50),("Number of Workers",4,5,3,2,5):} Calculate arithmetic mean using Direst Method, |
| Answer» <html><body><p></p>Solution :<img src="https://d10lpgp6xz60nq.cloudfront.net/physics_images/TRJ_ECO_XI_C09_S01_003_S01.png" width="80%"/> <br/> `<a href="https://interviewquestions.tuteehub.com/tag/barx-2461082" style="font-weight:bold;" target="_blank" title="Click to know more about BARX">BARX</a>=(sumfX)/(sumf)=(560)/<a href="https://interviewquestions.tuteehub.com/tag/19-280618" style="font-weight:bold;" target="_blank" title="Click to know more about 19">19</a>=29.47` <br/> <a href="https://interviewquestions.tuteehub.com/tag/mean-1091459" style="font-weight:bold;" target="_blank" title="Click to know more about MEAN">MEAN</a> <a href="https://interviewquestions.tuteehub.com/tag/wage-1448526" style="font-weight:bold;" target="_blank" title="Click to know more about WAGE">WAGE</a> <a href="https://interviewquestions.tuteehub.com/tag/earnings-964162" style="font-weight:bold;" target="_blank" title="Click to know more about EARNINGS">EARNINGS</a> of 19 workers = Rs. 29.47.</body></html> | |
| 7126. |
Define normative economics with a suitable example. |
| 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> :Economics as a 'normative <a href="https://interviewquestions.tuteehub.com/tag/science-40" style="font-weight:bold;" target="_blank" title="Click to know more about SCIENCE">SCIENCE</a>' <a href="https://interviewquestions.tuteehub.com/tag/deals-945317" style="font-weight:bold;" target="_blank" title="Click to know more about DEALS">DEALS</a> with situations of value judgement or condition of 'what ought to be'. Example: India should create more employment <a href="https://interviewquestions.tuteehub.com/tag/opportunities-25471" style="font-weight:bold;" target="_blank" title="Click to know more about OPPORTUNITIES">OPPORTUNITIES</a>.</body></html> | |
| 7127. |
Calculate the mean marks from thefollowing data: {:("Marks",20-25,25-30,30-35,35-40,40-45,45-50,50-55),("No. of Students"," "10," "12," "8," "20," "11," "4," "5):} |
| 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/TRJ_ECO_XI_C09_S01_031_S01.png" width="80%"/> <br/> `<a href="https://interviewquestions.tuteehub.com/tag/barx-2461082" style="font-weight:bold;" target="_blank" title="Click to know more about BARX">BARX</a> = A+(sumfd)/(sumf)` <br/> `=37.5 + (-140)/70` <br/> `= 37.5 - <a href="https://interviewquestions.tuteehub.com/tag/2-283658" style="font-weight:bold;" target="_blank" title="Click to know more about 2">2</a> = 35.5` <br/> Mean <a href="https://interviewquestions.tuteehub.com/tag/marks-1088184" style="font-weight:bold;" target="_blank" title="Click to know more about MARKS">MARKS</a> = 35.5.</body></html> | |
| 7128. |
Explain the concept of 'buffer stock' as a tool of price floor OR Market for a product is in equilibrium. Supply of the product 'decreases'. Explain the chain of effect of this change till the market again reaches equilibrium. Use diagram. |
| Answer» <html><body><p></p>Solution :Buffer stock is an important tool in the hands of govemment to ensure <a href="https://interviewquestions.tuteehub.com/tag/price-1165141" style="font-weight:bold;" target="_blank" title="Click to know more about PRICE">PRICE</a> floor. If in case, the market price is lower than what the govemment feels should be given to the farmers/producers, it would purchase that commodity at higher price from the farmer/producers so as to maintain stock of the commodity with itself, to be released in case of shortage of the commodity in future. <br/> OR <br/> When the supply decreases, demand remaining unchanged, the supply curve shifts to the left from <a href="https://interviewquestions.tuteehub.com/tag/ss-632580" style="font-weight:bold;" target="_blank" title="Click to know more about SS">SS</a> to `S_(1)S_(1)`. <br/> `**` When supply decreases to `S_(1)S_(1)`, it creates an excess demand at the old equilibrium price of OP. <br/> `**` This <a href="https://interviewquestions.tuteehub.com/tag/leads-540453" style="font-weight:bold;" target="_blank" title="Click to know more about LEADS">LEADS</a> to competition among buyers, which raises the price. <br/> `**` Increase in price leads to <a href="https://interviewquestions.tuteehub.com/tag/rise-1189674" style="font-weight:bold;" target="_blank" title="Click to know more about RISE">RISE</a> in supply and fall in demand. <br/> `**` These changes continue <a href="https://interviewquestions.tuteehub.com/tag/till-709848" style="font-weight:bold;" target="_blank" title="Click to know more about TILL">TILL</a> the new equilibrium is established at point `E_(1)`. <br/> `**` Equilibrium price rises from `OP " to " OP_(1)` and equilibrium quantity falls from `OQ " to " OQ_(1)` <br/> <img src="https://d10lpgp6xz60nq.cloudfront.net/physics_images/SG_MIC_ECO_PW_E01_032_S01.png" width="80%"/></body></html> | |
| 7129. |
How does change in price of complementary good affect the demand of the given good ? Explain with the help of an example |
| Answer» <html><body><p></p>Solution :Complementary <a href="https://interviewquestions.tuteehub.com/tag/goods-1009877" style="font-weight:bold;" target="_blank" title="Click to know more about GOODS">GOODS</a> are those goods which are used <a href="https://interviewquestions.tuteehub.com/tag/together-3221943" style="font-weight:bold;" target="_blank" title="Click to know more about TOGETHER">TOGETHER</a> to satisfy a particular want. Price of <a href="https://interviewquestions.tuteehub.com/tag/one-585732" style="font-weight:bold;" target="_blank" title="Click to know more about ONE">ONE</a> complementary good has a negative relationship with demand of another complementary good, hence an increase in price of one complementary good leads to fall in demand of another complementary good. For example, if price of petrol <a href="https://interviewquestions.tuteehub.com/tag/increases-1040626" style="font-weight:bold;" target="_blank" title="Click to know more about INCREASES">INCREASES</a>, the demand of cars will fall.</body></html> | |
| 7130. |
Which of the following is a type of mathematical average? |
| Answer» <html><body><p>Median<br/>Partition value<br/>Mode<br/>None of these</p>Answer :D</body></html> | |
| 7131. |
What are the main demerits of standard deviation? |
| 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/1-256655" style="font-weight:bold;" target="_blank" title="Click to know more about 1">1</a>. Difficult to calculate.<br/>2. <a href="https://interviewquestions.tuteehub.com/tag/importance-1038031" style="font-weight:bold;" target="_blank" title="Click to know more about IMPORTANCE">IMPORTANCE</a> to extreme <a href="https://interviewquestions.tuteehub.com/tag/values-25920" style="font-weight:bold;" target="_blank" title="Click to know more about VALUES">VALUES</a>.</body></html> | |
| 7132. |
Monopolistic competitive firm is a price taker. |
| Answer» <html><body><p></p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/monopolistic-2180801" style="font-weight:bold;" target="_blank" title="Click to know more about MONOPOLISTIC">MONOPOLISTIC</a> competitive firm is not a price taker as it can <a href="https://interviewquestions.tuteehub.com/tag/influence-1043703" style="font-weight:bold;" target="_blank" title="Click to know more about INFLUENCE">INFLUENCE</a> the price by creatinga differentiated image of its <a href="https://interviewquestions.tuteehub.com/tag/product-25523" style="font-weight:bold;" target="_blank" title="Click to know more about PRODUCT">PRODUCT</a> through heavy selling costs</body></html> | |
| 7133. |
A consumer consumes only two goods X and Y and prices of Goods X and Y are Rs 4 and Rs 2 respectively. What will be the MRS_(XY) when consumer is in equilibrium ? |
| 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 the consumer is in equilibrium, `MRS_(<a href="https://interviewquestions.tuteehub.com/tag/xy-747762" style="font-weight:bold;" target="_blank" title="Click to know more about XY">XY</a>) = 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>)//P_(y)` <br/> substituting `P_(x) = 4 " and " P_(y) = <a href="https://interviewquestions.tuteehub.com/tag/2-283658" style="font-weight:bold;" target="_blank" title="Click to know more about 2">2</a>, MRS_(xy) = 4//2 = 2`</body></html> | |
| 7134. |
Under which market form, firm is a price maker |
| 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/monopoly-1101092" style="font-weight:bold;" target="_blank" title="Click to know more about MONOPOLY">MONOPOLY</a></body></html> | |
| 7135. |
An indifference curve always: |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/slope-15649" style="font-weight:bold;" target="_blank" title="Click to know more about SLOPE">SLOPE</a> downwards from left to right.<br/>Slopes upwards from left to right<br/>Is <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 Y-axis<br/>Is parallel to the X-axis.</p>Answer :A</body></html> | |
| 7136. |
Economy can never operate outside the production poddibility frontier with the givben resources and technology. |
| 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> :as all <a href="https://interviewquestions.tuteehub.com/tag/points-1157347" style="font-weight:bold;" target="_blank" title="Click to know more about POINTS">POINTS</a> outside <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/possibility-1160394" style="font-weight:bold;" target="_blank" title="Click to know more about POSSIBILITY">POSSIBILITY</a> <a href="https://interviewquestions.tuteehub.com/tag/frontier-1000815" style="font-weight:bold;" target="_blank" title="Click to know more about FRONTIER">FRONTIER</a> are unattainable.</body></html> | |
| 7137. |
What is supply function? |
| Answer» <html><body><p></p>Solution :It refers to <a href="https://interviewquestions.tuteehub.com/tag/functional-466801" style="font-weight:bold;" target="_blank" title="Click to know more about FUNCTIONAL">FUNCTIONAL</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 supply and <a href="https://interviewquestions.tuteehub.com/tag/factors-458933" style="font-weight:bold;" target="_blank" title="Click to know more about FACTORS">FACTORS</a> affecting the supply of a <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> | |
| 7138. |
A firm is able to sell quantity of a good only by lowering the price. The firm's marginal revenue, as he goes on selling would be : |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/greater-476627" style="font-weight:bold;" target="_blank" title="Click to know more about GREATER">GREATER</a> than <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<br/>less than average revenue<br/>Equal to average revenue<br/>Zero</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> | |
| 7139. |
What does a production possibility curve show? When will it shift to the right? |
| Answer» <html><body><p></p>Solution :A production possibility curve measures the maximum output of two goods using a fixed amount of input. Each point on the curve shows how much of each good will be produced when resources shift from making more of one good and less of the other. The curve measures the trade-off between <a href="https://interviewquestions.tuteehub.com/tag/producing-2229964" style="font-weight:bold;" target="_blank" title="Click to know more about PRODUCING">PRODUCING</a> one good versus another.PPC shifts to the right when there is an improvement in technology. When technological <a href="https://interviewquestions.tuteehub.com/tag/progress-607100" style="font-weight:bold;" target="_blank" title="Click to know more about PROGRESS">PROGRESS</a> takes <a href="https://interviewquestions.tuteehub.com/tag/place-1155224" style="font-weight:bold;" target="_blank" title="Click to know more about PLACE">PLACE</a>, it is possible to produce more of two goods with a <a href="https://interviewquestions.tuteehub.com/tag/given-473447" style="font-weight:bold;" target="_blank" title="Click to know more about GIVEN">GIVEN</a> amount resources. It implies increase in <a href="https://interviewquestions.tuteehub.com/tag/productive-592949" style="font-weight:bold;" target="_blank" title="Click to know more about PRODUCTIVE">PRODUCTIVE</a> capacity which means that the economy can produce more of both goods.</body></html> | |
| 7140. |
Why is Average Revenue always equal to price ? |
| Answer» <html><body><p><<a href="https://interviewquestions.tuteehub.com/tag/p-588962" style="font-weight:bold;" target="_blank" title="Click to know more about P">P</a>></p>Solution :`TR=<a href="https://interviewquestions.tuteehub.com/tag/pxxq-2232824" style="font-weight:bold;" target="_blank" title="Click to know more about PXXQ">PXXQ</a>,<a href="https://interviewquestions.tuteehub.com/tag/ar-380980" style="font-weight:bold;" target="_blank" title="Click to know more about AR">AR</a>=(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>)<a href="https://interviewquestions.tuteehub.com/tag/andar-1977621" style="font-weight:bold;" target="_blank" title="Click to know more about ANDAR">ANDAR</a>=(PxxQ)/(Q)=P`</body></html> | |
| 7141. |
What are the main merits of Lorenz curve? |
| Answer» | |
| 7142. |
The following supply curvesshits from SS to S_(1)S_(1) due to: |
| Answer» <html><body><p>Decrease in Taxes <br/>Upgradation oftechology <br/>Fall in theprice of inputs <br/>All of <a href="https://interviewquestions.tuteehub.com/tag/theabove-3192052" style="font-weight:bold;" target="_blank" title="Click to know more about THEABOVE">THEABOVE</a> </p>Solution :all of the above <a href="https://interviewquestions.tuteehub.com/tag/situation-1210683" style="font-weight:bold;" target="_blank" title="Click to know more about SITUATION">SITUATION</a> <a href="https://interviewquestions.tuteehub.com/tag/leads-540453" style="font-weight:bold;" target="_blank" title="Click to know more about LEADS">LEADS</a> to increase in supply and hence a <a href="https://interviewquestions.tuteehub.com/tag/rightward-1189400" style="font-weight:bold;" target="_blank" title="Click to know more about RIGHTWARD">RIGHTWARD</a> shift in supply curve.</body></html> | |
| 7143. |
Giving reason identify which of the following are the subject matter of miroeconomics or of macroeconomics.(i) National income (ii) Supply by an industry (iii) Governrnent budget (iv) Supply by a firm |
| 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> :National income- macroeconomics because it is concerned with <a href="https://interviewquestions.tuteehub.com/tag/behaviour-894636" style="font-weight:bold;" target="_blank" title="Click to know more about BEHAVIOUR">BEHAVIOUR</a> of economy as a whole.supply by an industry-microeconomics <a href="https://interviewquestions.tuteehub.com/tag/beacuse-394813" style="font-weight:bold;" target="_blank" title="Click to know more about BEACUSE">BEACUSE</a> it is concerned with study of individuals and business <a href="https://interviewquestions.tuteehub.com/tag/decision-945807" style="font-weight:bold;" target="_blank" title="Click to know more about DECISION">DECISION</a>.government budget-macroeconomics because it is concerned with behaviour of economy as a whole.supply by a firm-microeconomics beacuse it is concerned with study of individuals and business decision.</body></html> | |
| 7144. |
What will be the impact of the following changes on the demand curve of : (i) Cars when there is an increase in price of petrol (ii) Desktop Computers with increase in price of Laptops (iii) Bread with increase in its price (iv) Trousers due to change in preference in favour of Jeans (v) Bajra for a poor person when income of such person rises (vi) Coffee when price of tea falls (vii) Petrol if its price is expected to rise in near further. |
| Answer» <html><body><p></p>Solution :(i) Demand curve of <a href="https://interviewquestions.tuteehub.com/tag/cars-909967" style="font-weight:bold;" target="_blank" title="Click to know more about CARS">CARS</a> will shift towards left with increase in price of petrol (complementary good) as it will become relatively <a href="https://interviewquestions.tuteehub.com/tag/costly-426705" style="font-weight:bold;" target="_blank" title="Click to know more about COSTLY">COSTLY</a> to use both the goods (<a href="https://interviewquestions.tuteehub.com/tag/car-909011" style="font-weight:bold;" target="_blank" title="Click to know more about CAR">CAR</a> and Petrol) together <br/> (ii) Demand curve of Destop Computers will shift towards right with increase in price of Laptops (substitude good) as it will become relatively cheaper to use desktop computers instead of laptops. <br/> (iii) There will be no change in demand curve of Bread. There will be only an upward movement along the same demand curve <br/> (iv) Demand curve of Trousers will shift towards left as preference in favour of jeans will decrease the demand for trousers (assuming trousers and jeans are substitues). <br/> (v) Demand curve of Bajra for a poor person will shift towards left as with increase in income, poor person will shift from bajra to other superior substitutes (like wheat or rice) <br/> (<a href="https://interviewquestions.tuteehub.com/tag/vi-723586" style="font-weight:bold;" target="_blank" title="Click to know more about VI">VI</a>) Demand curve of <a href="https://interviewquestions.tuteehub.com/tag/coffee-421753" style="font-weight:bold;" target="_blank" title="Click to know more about COFFEE">COFFEE</a> will shift towards left with fall in price in tea (substitude good) as it become relatively costly to use coffee instead of tea. <br/> (vii) Demand curve of Petrol will shift towards right as expectation of price rise in future will increase the demand of petrol in the present period.</body></html> | |
| 7145. |
The central problems of “what, how and for whom” are: |
| Answer» <html><body><p>(a) lnterdependent<br/>(b) Independent<br/>(c) All problems <a href="https://interviewquestions.tuteehub.com/tag/may-557248" style="font-weight:bold;" target="_blank" title="Click to know more about MAY">MAY</a> not be <a href="https://interviewquestions.tuteehub.com/tag/present-1163722" style="font-weight:bold;" target="_blank" title="Click to know more about PRESENT">PRESENT</a> at one <a href="https://interviewquestions.tuteehub.com/tag/time-19467" style="font-weight:bold;" target="_blank" title="Click to know more about TIME">TIME</a><br/>(d) May vary from <a href="https://interviewquestions.tuteehub.com/tag/country-936956" style="font-weight:bold;" target="_blank" title="Click to know more about COUNTRY">COUNTRY</a> to country</p>Answer :A</body></html> | |
| 7146. |
Dissoveriers, innovationandtechnologicaldevelopmentwillleadto fall in supplyof the givencommodity. |
| Answer» <html><body><p></p>Solution :NO, Discoveries, innovations and technological developmentwill lead to <a href="https://interviewquestions.tuteehub.com/tag/thechange-1403352" style="font-weight:bold;" target="_blank" title="Click to know more about THECHANGE">THECHANGE</a> <a href="https://interviewquestions.tuteehub.com/tag/indemand-2733512" style="font-weight:bold;" target="_blank" title="Click to know more about INDEMAND">INDEMAND</a> and wil not lead to any <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 <a href="https://interviewquestions.tuteehub.com/tag/supply-1235254" style="font-weight:bold;" target="_blank" title="Click to know more about SUPPLY">SUPPLY</a> of a given <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> | |
| 7147. |
What is production function ? |
| Answer» <html><body><p><br/></p>Answer :<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 the <a href="https://interviewquestions.tuteehub.com/tag/technological-659642" style="font-weight:bold;" target="_blank" title="Click to know more about TECHNOLOGICAL">TECHNOLOGICAL</a> relationship which tells how much maximum output can be <a href="https://interviewquestions.tuteehub.com/tag/produced-592947" style="font-weight:bold;" target="_blank" title="Click to know more about PRODUCED">PRODUCED</a> from various combinations of <a href="https://interviewquestions.tuteehub.com/tag/inputs-1045695" style="font-weight:bold;" target="_blank" title="Click to know more about INPUTS">INPUTS</a>.</body></html> | |
| 7148. |
Define opportunity 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> :The value of <a href="https://interviewquestions.tuteehub.com/tag/next-578185" style="font-weight:bold;" target="_blank" title="Click to know more about NEXT">NEXT</a> best <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/foregone-995506" style="font-weight:bold;" target="_blank" title="Click to know more about FOREGONE">FOREGONE</a></body></html> | |
| 7149. |
What is consumer's equilibrium ? |
| Answer» <html><body><p></p>Solution :The state of balance achieved by an end user of <a href="https://interviewquestions.tuteehub.com/tag/products-18828" style="font-weight:bold;" target="_blank" title="Click to know more about PRODUCTS">PRODUCTS</a> that refers to the amount of <a href="https://interviewquestions.tuteehub.com/tag/goods-1009877" style="font-weight:bold;" target="_blank" title="Click to know more about GOODS">GOODS</a> 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> they can purchase given their present level of income and the current level of prices. Consumer <a href="https://interviewquestions.tuteehub.com/tag/equilibrium-974342" style="font-weight:bold;" target="_blank" title="Click to know more about EQUILIBRIUM">EQUILIBRIUM</a> allows a consumer to obtain the most satisfaction <a href="https://interviewquestions.tuteehub.com/tag/possible-592355" style="font-weight:bold;" target="_blank" title="Click to know more about POSSIBLE">POSSIBLE</a> from their income.</body></html> | |
| 7150. |
State law of diminishing marginal utility. |
| Answer» <html><body><p><br/></p>Solution :<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 diminishing marginal utility <a href="https://interviewquestions.tuteehub.com/tag/states-1225920" style="font-weight:bold;" target="_blank" title="Click to know more about STATES">STATES</a> that as we consume more and more units of a <a href="https://interviewquestions.tuteehub.com/tag/commodity-923558" style="font-weight:bold;" target="_blank" title="Click to know more about COMMODITY">COMMODITY</a> the utility <a href="https://interviewquestions.tuteehub.com/tag/derived-437539" style="font-weight:bold;" target="_blank" title="Click to know more about DERIVED">DERIVED</a> from each successive unit goes on decreasing.</body></html> | |