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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.
| 4251. |
In which period, some factors of production are fixed and others variable ? |
| 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/short-642706" style="font-weight:bold;" target="_blank" title="Click to know more about SHORT">SHORT</a> <a href="https://interviewquestions.tuteehub.com/tag/run-1192138" style="font-weight:bold;" target="_blank" title="Click to know more about RUN">RUN</a>.</body></html> | |
| 4252. |
Discuss how you would use the the lottery method to select 3 student out of 10 in your class ? |
| Answer» <html><body><p></p>Solution :A <a href="https://interviewquestions.tuteehub.com/tag/representative-1185392" style="font-weight:bold;" target="_blank" title="Click to know more about REPRESENTATIVE">REPRESENTATIVE</a> (random) sample of 3 students can be <a href="https://interviewquestions.tuteehub.com/tag/taken-659096" style="font-weight:bold;" target="_blank" title="Click to know more about TAKEN">TAKEN</a> out of 10 through lotterymethod. The names of all the 10 students of the class are written on 10 separate pieces of paper of <a href="https://interviewquestions.tuteehub.com/tag/equal-446400" style="font-weight:bold;" target="_blank" title="Click to know more about EQUAL">EQUAL</a> size and all the slips are folded in a similar manner. These slips are then mixed well and 3 slips with these names are selected <a href="https://interviewquestions.tuteehub.com/tag/one-585732" style="font-weight:bold;" target="_blank" title="Click to know more about ONE">ONE</a> by one, so that all the students have equal chance of being selected in the sample.</body></html> | |
| 4253. |
A lot of people died and many factories were destroyed in an earthquake (natural calamity). How will it affect the PPC ? |
| Answer» <html><body><p></p>Solution :The <a href="https://interviewquestions.tuteehub.com/tag/ppc-25541" style="font-weight:bold;" target="_blank" title="Click to know more about PPC">PPC</a> of the <a href="https://interviewquestions.tuteehub.com/tag/economy-21801" style="font-weight:bold;" target="_blank" title="Click to know more about ECONOMY">ECONOMY</a> will shift to its <a href="https://interviewquestions.tuteehub.com/tag/left-1070879" style="font-weight:bold;" target="_blank" title="Click to know more about LEFT">LEFT</a> as there is decrease in availability of <a href="https://interviewquestions.tuteehub.com/tag/resources-11387" style="font-weight:bold;" target="_blank" title="Click to know more about RESOURCES">RESOURCES</a> and accordingly possibility to producemaximum reduces <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 destruction of resources.</body></html> | |
| 4254. |
Define Statistics as a plural noun. |
| Answer» <html><body><p></p>Solution :In the <a href="https://interviewquestions.tuteehub.com/tag/plural-1156853" style="font-weight:bold;" target="_blank" title="Click to know more about PLURAL">PLURAL</a> sense, Statistics refers to information in <a href="https://interviewquestions.tuteehub.com/tag/terms-1242559" style="font-weight:bold;" target="_blank" title="Click to know more about TERMS">TERMS</a> of <a href="https://interviewquestions.tuteehub.com/tag/numbers-22758" style="font-weight:bold;" target="_blank" title="Click to know more about NUMBERS">NUMBERS</a> or numerical data, such as <a href="https://interviewquestions.tuteehub.com/tag/population-1159440" style="font-weight:bold;" target="_blank" title="Click to know more about POPULATION">POPULATION</a> statistics, <a href="https://interviewquestions.tuteehub.com/tag/employment-25669" style="font-weight:bold;" target="_blank" title="Click to know more about EMPLOYMENT">EMPLOYMENT</a> statistics concerning public expenditure, etc.</body></html> | |
| 4255. |
What is 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> :It is the <a href="https://interviewquestions.tuteehub.com/tag/cost-25707" style="font-weight:bold;" target="_blank" title="Click to know more about COST">COST</a> of the <a href="https://interviewquestions.tuteehub.com/tag/next-578185" style="font-weight:bold;" target="_blank" title="Click to know more about NEXT">NEXT</a> <a href="https://interviewquestions.tuteehub.com/tag/best-390038" style="font-weight:bold;" target="_blank" title="Click to know more about BEST">BEST</a> a alternative <a href="https://interviewquestions.tuteehub.com/tag/use-1441041" style="font-weight:bold;" target="_blank" title="Click to know more about USE">USE</a> of a factor.</body></html> | |
| 4256. |
Does zero correlation mean independence ? |
| Answer» <html><body><p></p>Solution :Zero <a href="https://interviewquestions.tuteehub.com/tag/correlation-935534" style="font-weight:bold;" target="_blank" title="Click to know more about CORRELATION">CORRELATION</a> only <a href="https://interviewquestions.tuteehub.com/tag/means-1091780" style="font-weight:bold;" target="_blank" title="Click to know more about MEANS">MEANS</a> that there is no linear <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 the two variables. It does not <a href="https://interviewquestions.tuteehub.com/tag/mean-1091459" style="font-weight:bold;" target="_blank" title="Click to know more about MEAN">MEAN</a> that the two variables are <a href="https://interviewquestions.tuteehub.com/tag/independent-505826" style="font-weight:bold;" target="_blank" title="Click to know more about INDEPENDENT">INDEPENDENT</a> of each other .</body></html> | |
| 4257. |
Which of the following is related to Microeconomics ? |
| Answer» <html><body><p>Inflation in the economy <br/><a href="https://interviewquestions.tuteehub.com/tag/unemployment-1437065" style="font-weight:bold;" target="_blank" title="Click to know more about UNEMPLOYMENT">UNEMPLOYMENT</a> Problem <br/>National income <br/>Income from Postaldepartment </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> :D. Microeconomics studies individuals and business decisions, while macroeconomics <a href="https://interviewquestions.tuteehub.com/tag/analyzes-874300" style="font-weight:bold;" target="_blank" title="Click to know more about ANALYZES">ANALYZES</a> the decisions made by <a href="https://interviewquestions.tuteehub.com/tag/countries-936897" style="font-weight:bold;" target="_blank" title="Click to know more about COUNTRIES">COUNTRIES</a> and governments. Microeconomics focuses on supply and demand, and other forces that determine price levels, making it a bottom-up approach.</body></html> | |
| 4258. |
Define primary data. |
| 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> :Data collected by the investigator for his own purpose, for the first <a href="https://interviewquestions.tuteehub.com/tag/time-19467" style="font-weight:bold;" target="_blank" title="Click to know more about TIME">TIME</a> from <a href="https://interviewquestions.tuteehub.com/tag/beginning-894536" style="font-weight:bold;" target="_blank" title="Click to know more about BEGINNING">BEGINNING</a> to end, are called <a href="https://interviewquestions.tuteehub.com/tag/primary-1165403" style="font-weight:bold;" target="_blank" title="Click to know more about PRIMARY">PRIMARY</a> data. These are collected from the source of origin.</body></html> | |
| 4259. |
Mean value of the weekly income of 40 families is 265. But in the calculation, income of one family was read as 150 instead of 115. Find the ''Corrected'' mean. |
| 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/corrected-2547641" style="font-weight:bold;" target="_blank" title="Click to know more about CORRECTED">CORRECTED</a> <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/rs-625947" style="font-weight:bold;" target="_blank" title="Click to know more about RS">RS</a>. 264.125</body></html> | |
| 4260. |
When does TR make an angle of 45^(@) ? |
| Answer» <html><body><p></p>Solution :When Price remains same at all output levels, then <a href="https://interviewquestions.tuteehub.com/tag/tr-661737" style="font-weight:bold;" target="_blank" title="Click to know more about TR">TR</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> at a constant rate (<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 constantMR). As a result, TR curve is a `<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/positively-7259849" style="font-weight:bold;" target="_blank" title="Click to know more about POSITIVELY">POSITIVELY</a> sloped straight line.</body></html> | |
| 4261. |
A producer will change supply of a product only when there is a change in the price of given product. |
| Answer» <html><body><p></p>Solution :The given statement is <a href="https://interviewquestions.tuteehub.com/tag/incorrect-499101" style="font-weight:bold;" target="_blank" title="Click to know more about INCORRECT">INCORRECT</a>. Producer 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> change the supply if there is change in other factors, like change in price of factors of production, change in state of <a href="https://interviewquestions.tuteehub.com/tag/technology-13200" style="font-weight:bold;" target="_blank" title="Click to know more about TECHNOLOGY">TECHNOLOGY</a>, change in taxation <a href="https://interviewquestions.tuteehub.com/tag/policy-602125" style="font-weight:bold;" target="_blank" title="Click to know more about POLICY">POLICY</a>, etc.</body></html> | |
| 4262. |
If a Firm produces zero output in the shortperiod, then : |
| 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> <a href="https://interviewquestions.tuteehub.com/tag/cost-25707" style="font-weight:bold;" target="_blank" title="Click to know more about COST">COST</a> will be zero<br/>Variable Cost 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> <br/><a href="https://interviewquestions.tuteehub.com/tag/fixed-457597" style="font-weight:bold;" target="_blank" title="Click to know more about FIXED">FIXED</a> Cost will be positive <br/><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 will be positive</p>Solution :N//A</body></html> | |
| 4263. |
An increase in price of cottee will lead to rise in equilibrium price of tea. |
| 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> : Increase in <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 <a href="https://interviewquestions.tuteehub.com/tag/coffee-421753" style="font-weight:bold;" target="_blank" title="Click to know more about COFFEE">COFFEE</a> (<a href="https://interviewquestions.tuteehub.com/tag/substitute-1231629" style="font-weight:bold;" target="_blank" title="Click to know more about SUBSTITUTE">SUBSTITUTE</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>) will lead to increase in demand of tea (given commodity), which will lead to rise in its equilibrium price.</body></html> | |
| 4264. |
What is a multiple bar diagram ? |
| Answer» <html><body><p><br/></p>Solution :Multiple bar diagrams are those diagrams which show two or more sets <a href="https://interviewquestions.tuteehub.com/tag/data-25577" style="font-weight:bold;" target="_blank" title="Click to know more about DATA">DATA</a> <a href="https://interviewquestions.tuteehub.com/tag/simultaneously-2256499" style="font-weight:bold;" target="_blank" title="Click to know more about SIMULTANEOUSLY">SIMULTANEOUSLY</a>. Generally, these diagrams are <a href="https://interviewquestions.tuteehub.com/tag/used-2318798" style="font-weight:bold;" target="_blank" title="Click to know more about USED">USED</a> to <a href="https://interviewquestions.tuteehub.com/tag/make-546668" style="font-weight:bold;" target="_blank" title="Click to know more about MAKE">MAKE</a> <a href="https://interviewquestions.tuteehub.com/tag/comparison-11472" style="font-weight:bold;" target="_blank" title="Click to know more about COMPARISON">COMPARISON</a> between two sets of series, such as birth-rate series.</body></html> | |
| 4265. |
A country's resources are fully and efficiently employed. The problem of scarcity exists. What advice be given to raise the efficiency level of the human resource to fight scarcity ? |
| 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> :Human resources <a href="https://interviewquestions.tuteehub.com/tag/development-950177" style="font-weight:bold;" target="_blank" title="Click to know more about DEVELOPMENT">DEVELOPMENT</a> in the <a href="https://interviewquestions.tuteehub.com/tag/form-996208" style="font-weight:bold;" target="_blank" title="Click to know more about FORM">FORM</a> of <a href="https://interviewquestions.tuteehub.com/tag/increased-1040402" style="font-weight:bold;" target="_blank" title="Click to know more about INCREASED">INCREASED</a> expenditure on education, skill development and through on the job or off the job training programmes can fight scarcity.</body></html> | |
| 4266. |
What is producer's equilibrium? Explain the conditions of producer's equilibrium through the marginal cost and marginal revenue approach. Use diagram. |
| 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> :N/a</body></html> | |
| 4267. |
On 19^(th) December, 2013, the following news item was printed in the Economic Times: "Household in Southern India prefer to eat organges for breakfast as banana plantations in Kerala have been destroyed and price of apples and grapes have also risen". Use a diagram and economic theory to analyse the impact of the rise in price of apples and grapes on the market of oranges. |
| 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_PW_S01_051_S01.png" width="80%"/> <br/> When the price of apples and grapes rises, consumers will substitute with these fruits with the relatively cheaper oranges. Thus, demand for oranges will increase and the demand 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> rightwards to D'D'. <br/> At the prevailing market price (OP), there was an excess demand of AE. In this situation, buyers would <a href="https://interviewquestions.tuteehub.com/tag/react-613674" style="font-weight:bold;" target="_blank" title="Click to know more about REACT">REACT</a> by competing with each other and raise the market price. As market price rises, quantity demanded of oranges contracts and the quantity supplied expands. This process will continued till a new equilibrium price is reached at `OP_(<a href="https://interviewquestions.tuteehub.com/tag/1-256655" style="font-weight:bold;" target="_blank" title="Click to know more about 1">1</a>)`, where market demand is equal to market demand is equal to market <a href="https://interviewquestions.tuteehub.com/tag/supply-1235254" style="font-weight:bold;" target="_blank" title="Click to know more about SUPPLY">SUPPLY</a>. `OP_(1)` is higher than the old price of oranges. <br/> Therefore, the equilibrium price of oranges increases and the equilibrium quantity also increases when the price of apples and grapes rises in Southern India.</body></html> | |
| 4268. |
If the price of good X rises and this leads to a fall in the demand for good Y, how are the two goods related ? |
| 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> :Both are <a href="https://interviewquestions.tuteehub.com/tag/complementary-2532127" style="font-weight:bold;" target="_blank" title="Click to know more about COMPLEMENTARY">COMPLEMENTARY</a> <a href="https://interviewquestions.tuteehub.com/tag/goods-1009877" style="font-weight:bold;" target="_blank" title="Click to know more about GOODS">GOODS</a>.</body></html> | |
| 4269. |
Difference between third quartile and first quartile of a series, is called …………….. (Quartile Deviation/Inter Quartile Range) |
| 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/inter-499525" style="font-weight:bold;" target="_blank" title="Click to know more about INTER">INTER</a> <a href="https://interviewquestions.tuteehub.com/tag/quartile-1174353" style="font-weight:bold;" target="_blank" title="Click to know more about QUARTILE">QUARTILE</a> <a href="https://interviewquestions.tuteehub.com/tag/range-1177030" style="font-weight:bold;" target="_blank" title="Click to know more about RANGE">RANGE</a></body></html> | |
| 4270. |
Describe 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> :An economy is the <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/set-11758" style="font-weight:bold;" target="_blank" title="Click to know more about SET">SET</a> of inter-related production and consumption activities that aid in <a href="https://interviewquestions.tuteehub.com/tag/determining-7257364" style="font-weight:bold;" target="_blank" title="Click to know more about DETERMINING">DETERMINING</a> how scarce resources are allocated. The production and consumption of goods and services are used to fulfill the needs of those living and operating within the economy, which is also referred to as an economic <a href="https://interviewquestions.tuteehub.com/tag/system-1237255" style="font-weight:bold;" target="_blank" title="Click to know more about SYSTEM">SYSTEM</a>.</body></html> | |
| 4271. |
Explain with the help of TR and TC data, how does a producer choose the maximum profit position ? ""Or Explain the conditions leading to maximisation of profits by a producer. Use total cost adn total revenue approach. |
| Answer» | |
| 4272. |
When marginal revenue falls to zero, average revenue becomes maximum. |
| Answer» <html><body><p></p>Solution :False : as when MR <a href="https://interviewquestions.tuteehub.com/tag/falls-983294" style="font-weight:bold;" target="_blank" title="Click to know more about FALLS">FALLS</a> to zero TR becomes constant and so AR will <a href="https://interviewquestions.tuteehub.com/tag/fall-983217" style="font-weight:bold;" target="_blank" title="Click to know more about FALL">FALL</a> as, AR = `(TR)/("<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> | |
| 4273. |
What changes will take place in MR, when : (i) TR increases at an increasing rate, (ii) TR increases at a diminishing rate, (iii) TR increases at a constant rate |
| Answer» <html><body><p></p>Solution :The following changes will <a href="https://interviewquestions.tuteehub.com/tag/take-662846" style="font-weight:bold;" target="_blank" title="Click to know more about TAKE">TAKE</a> place in MR : <br/> (i) MR will increase. <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>) MR will decrease, but will <a href="https://interviewquestions.tuteehub.com/tag/remain-1184279" style="font-weight:bold;" target="_blank" title="Click to know more about REMAIN">REMAIN</a> positive. <br/> (iii) MR 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>.</body></html> | |
| 4274. |
Distinsuish between Non-collusive and collusive oligopoly. Explain the following features of iligopoly : {:((a)"few firms",(b)"Non-price competition"):} |
| Answer» | |
| 4275. |
Draw a Lorenz curve of the data given below: |
| 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_C11_S01_029_S01.png" width="80%"/> <br/> <img src="https://d10lpgp6xz60nq.cloudfront.net/physics_images/TRJ_ECO_XI_C11_S01_029_S02.png" width="80%"/></body></html> | |
| 4276. |
Define quota sampling. |
| Answer» <html><body><p></p>Solution :In quota <a href="https://interviewquestions.tuteehub.com/tag/sampling-15674" style="font-weight:bold;" target="_blank" title="Click to know more about SAMPLING">SAMPLING</a>, the <a href="https://interviewquestions.tuteehub.com/tag/population-1159440" style="font-weight:bold;" target="_blank" title="Click to know more about POPULATION">POPULATION</a> is <a href="https://interviewquestions.tuteehub.com/tag/divided-441039" style="font-weight:bold;" target="_blank" title="Click to know more about DIVIDED">DIVIDED</a> into different <a href="https://interviewquestions.tuteehub.com/tag/groups-1013609" style="font-weight:bold;" target="_blank" title="Click to know more about GROUPS">GROUPS</a> or classes according to different characteristics of the population.</body></html> | |
| 4277. |
Explain the various kinds of price elasticities of demand |
| Answer» | |
| 4278. |
Define tabulation. Explain its merits. |
| 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> :N/a</body></html> | |
| 4279. |
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>Solution :The <a href="https://interviewquestions.tuteehub.com/tag/long-537592" style="font-weight:bold;" target="_blank" title="Click to know more about LONG">LONG</a> <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/equilibrium-974342" style="font-weight:bold;" target="_blank" title="Click to know more about EQUILIBRIUM">EQUILIBRIUM</a> of a <a href="https://interviewquestions.tuteehub.com/tag/firm-989667" style="font-weight:bold;" target="_blank" title="Click to know more about FIRM">FIRM</a> in monopolistic competition is <a href="https://interviewquestions.tuteehub.com/tag/associated-886051" style="font-weight:bold;" target="_blank" title="Click to know more about ASSOCIATED">ASSOCIATED</a> with zero profits because of 'Freedom of Entry and Exit'. Under monopolistic competition,firms are free to enter into or exit from the industry at any time they wish. It ensures zero profit or absence of abnormal profits in the long run.</body></html> | |
| 4280. |
Deepak is working as a sales manager at a salary of Rs. 1,00,000 per month. He received 2 major job offers. He got an offer of Rs. 70,000 from Relaince Industry and offer of Rs.85,000 from Tata Industry. What is his opportunity cost for working as a sales manager? |
| 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> :In the given <a href="https://interviewquestions.tuteehub.com/tag/case-910082" style="font-weight:bold;" target="_blank" title="Click to know more about CASE">CASE</a>, the next <a href="https://interviewquestions.tuteehub.com/tag/best-390038" style="font-weight:bold;" target="_blank" title="Click to know more about BEST">BEST</a> offer <a href="https://interviewquestions.tuteehub.com/tag/deepak-436065" style="font-weight:bold;" target="_blank" title="Click to know more about DEEPAK">DEEPAK</a> is that of Rs. 85,000 from Tata industry. So, the opportunity <a href="https://interviewquestions.tuteehub.com/tag/cost-25707" style="font-weight:bold;" target="_blank" title="Click to know more about COST">COST</a> of Deepak for working as a sales manager is Rs.85,000</body></html> | |
| 4281. |
Explain how rise in income of a consumer affects the demand of a good. Give 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> :An <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 income of the consumer <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 an increase in demand of the commodity in case of a normal good as the consumer now has more money to spend on the good whereas 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 income of the consumer leads to fall in demand of a normal good as the consumer now has <a href="https://interviewquestions.tuteehub.com/tag/less-1071906" style="font-weight:bold;" target="_blank" title="Click to know more about LESS">LESS</a> disposable income to spend on the good.</body></html> | |
| 4282. |
When a firm faces perfectly elastic demand for its product, at all levels of output : |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/ar-380980" style="font-weight:bold;" target="_blank" title="Click to know more about AR">AR</a> `<a href="https://interviewquestions.tuteehub.com/tag/gt-1013864" style="font-weight:bold;" target="_blank" title="Click to know more about GT">GT</a>` MR <br/>AR = MR <br/>AR `lt` MR <br/>Any <a href="https://interviewquestions.tuteehub.com/tag/one-585732" style="font-weight:bold;" target="_blank" title="Click to know more about ONE">ONE</a> of the above </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> :B</body></html> | |
| 4283. |
Price elasticity of demand measure shows : |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/response-1187068" style="font-weight:bold;" target="_blank" title="Click to know more about RESPONSE">RESPONSE</a> of <a href="https://interviewquestions.tuteehub.com/tag/price-1165141" style="font-weight:bold;" target="_blank" title="Click to know more about PRICE">PRICE</a> to <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/demand-436956" style="font-weight:bold;" target="_blank" title="Click to know more about DEMAND">DEMAND</a><br/>Response of demand to change in price<br/>Degree of responseof price to change in demand<br/>Degree of responseof demand to change in price</p>Answer :d</body></html> | |
| 4284. |
The distinction drawan between fixed and variable costs is based on : |
| Answer» <html><body><p>Whether the costs or cannot be <a href="https://interviewquestions.tuteehub.com/tag/changed-913862" style="font-weight:bold;" target="_blank" title="Click to know more about CHANGED">CHANGED</a> during the life of the plant<br/>Whether the costs do or do not vary <a href="https://interviewquestions.tuteehub.com/tag/withthe-1458106" style="font-weight:bold;" target="_blank" title="Click to know more about WITHTHE">WITHTHE</a> <a href="https://interviewquestions.tuteehub.com/tag/output-1142821" style="font-weight:bold;" target="_blank" title="Click to know more about OUTPUT">OUTPUT</a> producedin the long run<br/>Whether the costs do not enter the calculation of total costs<br/>Whether the costsdo or do not vary with the output produced in the short run</p>Solution :N//A</body></html> | |
| 4285. |
Average cost must exceed marginal cost at the point when average cost is minimum. |
| Answer» <html><body><p></p>Solution :False. When average cost is minimum, It is equal to <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. So when average cost does not change,then MC=<a href="https://interviewquestions.tuteehub.com/tag/ac-361271" style="font-weight:bold;" target="_blank" title="Click to know more about AC">AC</a>. It happens when falling AC <a href="https://interviewquestions.tuteehub.com/tag/reaches-1178076" style="font-weight:bold;" target="_blank" title="Click to know more about REACHES">REACHES</a> its <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/point-1157106" style="font-weight:bold;" target="_blank" title="Click to know more about POINT">POINT</a>.</body></html> | |
| 4286. |
What is the problem of 'for whom to produce'? |
| Answer» <html><body><p></p>Solution :It is the <a href="https://interviewquestions.tuteehub.com/tag/problem-25530" style="font-weight:bold;" target="_blank" title="Click to know more about PROBLEM">PROBLEM</a> of distribution 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> produced.</body></html> | |
| 4287. |
Demand curve of Pepsi will not shift with rise or fall in its price. |
| 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> :Rise or fall in <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 Pepsi will <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 <a href="https://interviewquestions.tuteehub.com/tag/movement-1104563" style="font-weight:bold;" target="_blank" title="Click to know more about MOVEMENT">MOVEMENT</a> along the same demand curve and not <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 demand curve.</body></html> | |
| 4288. |
Which of the following factors will lead to a leftward shift in the demand curve : |
| 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 income in case of <a href="https://interviewquestions.tuteehub.com/tag/inferior-515744" style="font-weight:bold;" target="_blank" title="Click to know more about INFERIOR">INFERIOR</a> goods<br/>Increase in income in case of <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<br/>Increase in Population<br/>Expectation of <a href="https://interviewquestions.tuteehub.com/tag/future-2559" style="font-weight:bold;" target="_blank" title="Click to know more about FUTURE">FUTURE</a> increase in price</p>Answer :A</body></html> | |
| 4289. |
If Marginal Rate of Substituation is increasing throughout, the Indifference Curve will be, (Choose the correct alternative) |
| 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> <a href="https://interviewquestions.tuteehub.com/tag/sloping-7378327" style="font-weight:bold;" target="_blank" title="Click to know more about SLOPING">SLOPING</a> convex<br/>Downward sloping concave<br/>Downward sloping <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<br/>Upward sloping convex</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> | |
| 4290. |
What difference does it make to the market when we say that there are large number of sellers in a perfectly competitive market? Explain |
| Answer» <html><body><p></p>Solution : 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> no. of buyers and sellers: The no. of sellers is so large that the share of each seller is insignificant in the <a href="https://interviewquestions.tuteehub.com/tag/total-711110" style="font-weight:bold;" target="_blank" title="Click to know more about TOTAL">TOTAL</a> supply. Hence, 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> seller cannot influence the market price. Similarly, a single <a href="https://interviewquestions.tuteehub.com/tag/buyer-906424" style="font-weight:bold;" target="_blank" title="Click to know more about BUYER">BUYER</a>'s share in total purchase is so insignificant because of their large no. that an individual buyer cannot influence the market price. Under such conditions, price of a commodity is determined by the market forces of demand and supply and each buyer and seller has to <a href="https://interviewquestions.tuteehub.com/tag/accept-846678" style="font-weight:bold;" target="_blank" title="Click to know more about ACCEPT">ACCEPT</a> the same price. As a result, uniform price prevails in the market.</body></html> | |
| 4291. |
In the operation of the Law of variable Propertions, all the factors are assumed to be variable. |
| Answer» <html><body><p></p>Solution :False. <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 <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/proportions-1170335" style="font-weight:bold;" target="_blank" title="Click to know more about PROPORTIONS">PROPORTIONS</a> operates when <a href="https://interviewquestions.tuteehub.com/tag/one-585732" style="font-weight:bold;" target="_blank" title="Click to know more about ONE">ONE</a> input is variable and all other inputs are fixed.</body></html> | |
| 4292. |
State the conditions of consumer's equilibrium in the Indifference Curve Analysis and explain the rationale behind these conditions |
| Answer» <html><body><p></p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/let-11597" style="font-weight:bold;" target="_blank" title="Click to know more about LET">LET</a> the only two goods the consumes are X and Y. The two <a href="https://interviewquestions.tuteehub.com/tag/conditions-424384" style="font-weight:bold;" target="_blank" title="Click to know more about CONDITIONS">CONDITIONS</a> of equilibrium are: <br/> (1) `MRS_(XY) = (P_(X))/(P_(Y))` <br/> (2) MRS falls as more of X is consumed in place of Y. <br/> Rationale behind these conditions: <br/> (1) <a href="https://interviewquestions.tuteehub.com/tag/suppose-656311" style="font-weight:bold;" target="_blank" title="Click to know more about SUPPOSE">SUPPOSE</a> `MRS_(XY) gt (P_(X))/(P_(Y))` it means that to obtain one more unit of X, the consumer is willing to sacrifice more units of Y as compared to what is required in the market. It induces the consumer to buy more of X. 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>, MRS falls and continue to fall till it become equal to the <a href="https://interviewquestions.tuteehub.com/tag/ratio-13379" style="font-weight:bold;" target="_blank" title="Click to know more about RATIO">RATIO</a> of prices and the equilibrium is established. <br/> (Explanation based on `MRS lt P_(X)//P_(Y)` is also correct) <br/> (2) Unless MRS falls as consumer consumes more of X, the consumer will not reach equilibrium again.</body></html> | |
| 4293. |
Under perfect Competition, each firm is a: |
| Answer» <html><body><p><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/maker-1085068" style="font-weight:bold;" target="_blank" title="Click to know more about MAKER">MAKER</a> <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> Price-maker nor Price-takeNone of these</p>Solution :N/a</body></html> | |
| 4294. |
What is the method for measuring price elasticity of supply? |
| 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/method-559432" style="font-weight:bold;" target="_blank" title="Click to know more about METHOD">METHOD</a> 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> price elasticity of <a href="https://interviewquestions.tuteehub.com/tag/supply-1235254" style="font-weight:bold;" target="_blank" title="Click to know more about SUPPLY">SUPPLY</a> is Percentage method/Proportionate method.</body></html> | |
| 4295. |
Homogeneous products' is a characteristic of : |
| 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> competition only<br/>Perfect oligopoly<br/>Both (a) and (b) <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><a href="https://interviewquestions.tuteehub.com/tag/answer-15557" style="font-weight:bold;" target="_blank" title="Click to know more about ANSWER">ANSWER</a> :C</body></html> | |
| 4296. |
A goods can be considered a normal good if an increase in income of the consumer causes ______ in demand of the given food. |
| Answer» <html><body><p>Increase<br/>No change<br/>Decrease<br/>less than <a href="https://interviewquestions.tuteehub.com/tag/proportionate-1170321" style="font-weight:bold;" target="_blank" title="Click to know more about PROPORTIONATE">PROPORTIONATE</a> increase</p>Answer :A</body></html> | |
| 4297. |
……………………bar diagrams are used generally when the values are of high megnitude. (Differential/Percentage) |
| 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/percentage-13406" style="font-weight:bold;" target="_blank" title="Click to know more about PERCENTAGE">PERCENTAGE</a></body></html> | |
| 4298. |
There are many sources of data (true/false). |
| 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> | |
| 4299. |
Is it enough to say that profit is maximized when MC=MR? |
| 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> :No, <a href="https://interviewquestions.tuteehub.com/tag/along-1974109" style="font-weight:bold;" target="_blank" title="Click to know more about ALONG">ALONG</a> with <a href="https://interviewquestions.tuteehub.com/tag/mc-1091384" style="font-weight:bold;" target="_blank" title="Click to know more about MC">MC</a>=MR, another necessary <a href="https://interviewquestions.tuteehub.com/tag/condition-409743" style="font-weight:bold;" target="_blank" title="Click to know more about CONDITION">CONDITION</a> is that MC should be <a href="https://interviewquestions.tuteehub.com/tag/rising-1189698" style="font-weight:bold;" target="_blank" title="Click to know more about RISING">RISING</a> .</body></html> | |
| 4300. |
How does the total fixed cost change when output changes ? |
| 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/total-711110" style="font-weight:bold;" target="_blank" title="Click to know more about TOTAL">TOTAL</a> fixed cost does not change with change in the output.</body></html> | |