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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.
| 4501. |
The factors affecting P.e_(D) are |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/nature-1112013" style="font-weight:bold;" target="_blank" title="Click to know more about NATURE">NATURE</a> 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> <br/>time period <br/>availability of <a href="https://interviewquestions.tuteehub.com/tag/close-408965" style="font-weight:bold;" target="_blank" title="Click to know more about CLOSE">CLOSE</a> substitutes <br/>all of these.</p>Answer :D</body></html> | |
| 4502. |
Define Revenue. |
| Answer» <html><body><p></p>Solution :Revenue of a firm is its <a href="https://interviewquestions.tuteehub.com/tag/money-25502" style="font-weight:bold;" target="_blank" title="Click to know more about MONEY">MONEY</a> <a href="https://interviewquestions.tuteehub.com/tag/receipts-1179271" style="font-weight:bold;" target="_blank" title="Click to know more about RECEIPTS">RECEIPTS</a> from the sale 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>.</body></html> | |
| 4503. |
Give three reasons (or causes) of a rightward shift of demand curve. or State any three or two factors that cause increase in demand of a commodity. |
| 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) A rise in <a href="https://interviewquestions.tuteehub.com/tag/income-25499" style="font-weight:bold;" target="_blank" title="Click to know more about INCOME">INCOME</a> of the <a href="https://interviewquestions.tuteehub.com/tag/consumer-25599" style="font-weight:bold;" target="_blank" title="Click to know more about CONSUMER">CONSUMER</a>.<br/>(b) A favourable change in tastes and preferences of the consumer.<br/>(c) <a href="https://interviewquestions.tuteehub.com/tag/expectation-980077" style="font-weight:bold;" target="_blank" title="Click to know more about EXPECTATION">EXPECTATION</a> of rise 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> in the near future.</body></html> | |
| 4504. |
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 :(i) <a href="https://interviewquestions.tuteehub.com/tag/give-468520" style="font-weight:bold;" target="_blank" title="Click to know more about GIVE">GIVE</a> <a href="https://interviewquestions.tuteehub.com/tag/subsidies-1231467" style="font-weight:bold;" target="_blank" title="Click to know more about SUBSIDIES">SUBSIDIES</a> to reduce <a href="https://interviewquestions.tuteehub.com/tag/price-1165141" style="font-weight:bold;" target="_blank" title="Click to know more about PRICE">PRICE</a>, (ii) <a href="https://interviewquestions.tuteehub.com/tag/undertake-3244074" style="font-weight:bold;" target="_blank" title="Click to know more about UNDERTAKE">UNDERTAKE</a> 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 milk consumption.</body></html> | |
| 4505. |
Market Rate of Exchange also denotes : |
| 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> of PPC<br/>Slope of <a href="https://interviewquestions.tuteehub.com/tag/budget-25496" style="font-weight:bold;" target="_blank" title="Click to know more about BUDGET">BUDGET</a> Line<br/>Slope of <a href="https://interviewquestions.tuteehub.com/tag/indifference-1041534" style="font-weight:bold;" target="_blank" title="Click to know more about INDIFFERENCE">INDIFFERENCE</a> Curve<br/>None of these</p>Answer :<a href="https://interviewquestions.tuteehub.com/tag/b-387190" style="font-weight:bold;" target="_blank" title="Click to know more about B">B</a></body></html> | |
| 4506. |
1. In India, automobiles are produced by 3 companies Ford, Hyundai and Renault. 2. Soap industry in India includes many markers such as Lux, Dove, Pears, Lifebuoy nad the like. 3. India Railways is the only long distance mode of transportation on land. |
| Answer» <html><body><p><br/></p>Answer :1. Since there are only <a href="https://interviewquestions.tuteehub.com/tag/3-301577" style="font-weight:bold;" target="_blank" title="Click to know more about 3">3</a> <a href="https://interviewquestions.tuteehub.com/tag/producers-17149" style="font-weight:bold;" target="_blank" title="Click to know more about PRODUCERS">PRODUCERS</a> of automobiles, it is an <a href="https://interviewquestions.tuteehub.com/tag/oligopoly-585440" style="font-weight:bold;" target="_blank" title="Click to know more about OLIGOPOLY">OLIGOPOLY</a>. <br/> <a href="https://interviewquestions.tuteehub.com/tag/2-283658" style="font-weight:bold;" target="_blank" title="Click to know more about 2">2</a>. Since there are a number of producers and product differentiation <a href="https://interviewquestions.tuteehub.com/tag/exists-979838" style="font-weight:bold;" target="_blank" title="Click to know more about EXISTS">EXISTS</a>, it is monopolistic competition. <br/> 3. Since it is a single suplier of this product and there are no close substitutes, it is a monopoly.</body></html> | |
| 4507. |
In which situation does the supply fall at the same price? |
| Answer» <html><body><p></p>Solution :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> <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 the movement along the same supply curve indicating the fall in quantity supplied at the same <a href="https://interviewquestions.tuteehub.com/tag/price-1165141" style="font-weight:bold;" target="_blank" title="Click to know more about PRICE">PRICE</a>.</body></html> | |
| 4508. |
Explain how firms are interdependent in an oligopoly market. |
| 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> : Firms under oligopoly are interdependent. <a href="https://interviewquestions.tuteehub.com/tag/interdependence-517307" style="font-weight:bold;" target="_blank" title="Click to know more about INTERDEPENDENCE">INTERDEPENDENCE</a> <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 actions of one firm <a href="https://interviewquestions.tuteehub.com/tag/affect-851195" style="font-weight:bold;" target="_blank" title="Click to know more about AFFECT">AFFECT</a> the actions of other firms. A firm considers the <a href="https://interviewquestions.tuteehub.com/tag/action-2544" style="font-weight:bold;" target="_blank" title="Click to know more about ACTION">ACTION</a> and reaction of the rival firms while determining its price and output levels. A change in output or price by one firm evokes reaction from other firms operating in the market.</body></html> | |
| 4509. |
Using a diagram, explain what will happen to the PPC of Bihar if the river Kosi causes widespread floods? |
| 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 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 destruces in <a href="https://interviewquestions.tuteehub.com/tag/bihar-4190" style="font-weight:bold;" target="_blank" title="Click to know more about BIHAR">BIHAR</a>, which will <a href="https://interviewquestions.tuteehub.com/tag/shift-1205367" style="font-weight:bold;" target="_blank" title="Click to know more about SHIFT">SHIFT</a> 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> leftward.</body></html> | |
| 4510. |
Explain any two main features of perfect competition. |
| Answer» | |
| 4511. |
When MC is less than AC |
| 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> rises<br/>AC falls<br/>AC is minimum<br/>AC is constant</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> | |
| 4512. |
Suppose, we have to find out modal marks from the following frequency distribution: (Table 8.8) |
| Answer» <html><body><p></p>Solution :<img src="https://d10lpgp6xz60nq.cloudfront.net/physics_images/ECO_XI_A_U03_C08_S01_011_S01.png" width="80%"/> <br/> `l_(<a href="https://interviewquestions.tuteehub.com/tag/1-256655" style="font-weight:bold;" target="_blank" title="Click to know more about 1">1</a>)=<a href="https://interviewquestions.tuteehub.com/tag/40-314386" style="font-weight:bold;" target="_blank" title="Click to know more about 40">40</a>,` <br/> `Delta_(1)=20-9=11` <br/> `Delta_(<a href="https://interviewquestions.tuteehub.com/tag/2-283658" style="font-weight:bold;" target="_blank" title="Click to know more about 2">2</a>)=20-10=10,` <br/> `i=20(=40-20)` <br/> Substituting these values<br/> Mode `=l_(1)+(Delta_(1))/(Delta_(1)+Delta_(2))xxi=40+(11)/(11+10)xx20=40+(11)/(21)xx20` <br/> `=40+(<a href="https://interviewquestions.tuteehub.com/tag/220-1824383" style="font-weight:bold;" target="_blank" title="Click to know more about 220">220</a>)/(21)=40+10.8` approx=50.48 approx.</body></html> | |
| 4513. |
When ATC is falling. MC: |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/must-2185568" style="font-weight:bold;" target="_blank" title="Click to know more about MUST">MUST</a> be falling <br/>Must 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><br/>Initially falling, then rising <br/>Has no specific <a href="https://interviewquestions.tuteehub.com/tag/relationship-1183331" style="font-weight:bold;" target="_blank" title="Click to know more about RELATIONSHIP">RELATIONSHIP</a>. </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> | |
| 4514. |
What is law of diminishing marginal utility ? |
| Answer» <html><body><p></p>Solution :The Law Of Diminishing Marginal Utility states that all <a href="https://interviewquestions.tuteehub.com/tag/else-printfhye-969701" style="font-weight:bold;" target="_blank" title="Click to know more about ELSE">ELSE</a> equal as <a href="https://interviewquestions.tuteehub.com/tag/consumption-931383" style="font-weight:bold;" target="_blank" title="Click to know more about CONSUMPTION">CONSUMPTION</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> the marginal utility derived from each additional unit declines. Marginal utility is derived as the change in utility as an additional unit is consumed. Utility is an economic term used to <a href="https://interviewquestions.tuteehub.com/tag/represent-613876" style="font-weight:bold;" target="_blank" title="Click to know more about REPRESENT">REPRESENT</a> satisfaction or <a href="https://interviewquestions.tuteehub.com/tag/happiness-482147" style="font-weight:bold;" target="_blank" title="Click to know more about HAPPINESS">HAPPINESS</a>.</body></html> | |
| 4515. |
Distinguish between fixed costs and variable costs. Give two examples of each. |
| Answer» | |
| 4516. |
What is law of diminishing marginal utility |
| Answer» <html><body><p></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 <a href="https://interviewquestions.tuteehub.com/tag/utility-1441817" style="font-weight:bold;" target="_blank" title="Click to know more about UTILITY">UTILITY</a> states that as we <a href="https://interviewquestions.tuteehub.com/tag/consume-409809" style="font-weight:bold;" target="_blank" title="Click to know more about CONSUME">CONSUME</a> more and more units of a commodity, 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 <a href="https://interviewquestions.tuteehub.com/tag/successivebrbr-2284089" style="font-weight:bold;" target="_blank" title="Click to know more about SUCCESSIVE">SUCCESSIVE</a> unit goes on decreasing.</body></html> | |
| 4517. |
Explain the effect of the following on the demand of a good (i) Change in the income of the consumer (ii) Change in the price of the related 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> :(i) There is a positive relationship between income of a consumer and demand for a commodity if the good is a normal good whereas there is a negative relationship between income of the consumer and demand of a commodity if the good is an inferior good. <br/>So, with an increase in income of the consumer the demand of a normal good rises and vice-versa and with increase in income of the consumer the demand for an inferior good falls and vice-versa.<br/>(ii) There are <a href="https://interviewquestions.tuteehub.com/tag/two-714195" style="font-weight:bold;" target="_blank" title="Click to know more about TWO">TWO</a> types of related goods :- (i) Substitute goods, (ii) Complementary goods. <br/>In case of substitute goods there is a positive relationship between price of one good and the demand for another i.e as price of one good rises the demand for its substitute rises.<br/>On the other hand, in case of complementary goods there is a negative relationship between price of one good and the demand for its <a href="https://interviewquestions.tuteehub.com/tag/complement-925776" style="font-weight:bold;" target="_blank" title="Click to know more about COMPLEMENT">COMPLEMENT</a> i.e as price of one good rises the demand for its complement falls</body></html> | |
| 4518. |
Which of the following is not a central problem of economy? |
| Answer» <html><body><p>How to produce <br/>When to Produce <br/>What to produce <br/>For whom to Produce </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/b-387190" style="font-weight:bold;" target="_blank" title="Click to know more about B">B</a>. The problem of allocation 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> is studied under <a href="https://interviewquestions.tuteehub.com/tag/3-301577" style="font-weight:bold;" target="_blank" title="Click to know more about 3">3</a> heads:(1) What to produce;(2) How to produce;(3) For whom to produce.</body></html> | |
| 4519. |
What will happen to budget line when : (a) Price of good 1 in rises (b) Price of good 2 falls (c) Money income of the consumer rises |
| 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> :Let good 1 is on x axis and good <a href="https://interviewquestions.tuteehub.com/tag/2-283658" style="font-weight:bold;" target="_blank" title="Click to know more about 2">2</a> is on y axis.a) When price of good 1 <a href="https://interviewquestions.tuteehub.com/tag/rises-1189694" style="font-weight:bold;" target="_blank" title="Click to know more about RISES">RISES</a>, budget line will become steeper.b) When price of good 2 falls, it will be steeper.c) When <a href="https://interviewquestions.tuteehub.com/tag/money-25502" style="font-weight:bold;" target="_blank" title="Click to know more about MONEY">MONEY</a> income of thee consumer rises, then it will shift rightward.</body></html> | |
| 4520. |
Total cost can neverbe constant. |
| Answer» <html><body><p></p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/true-713260" style="font-weight:bold;" target="_blank" title="Click to know more about TRUE">TRUE</a>. Total Cost can be constant only when <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 is zero, which is not possible. Marginal cost is the cost added by producing <a href="https://interviewquestions.tuteehub.com/tag/one-585732" style="font-weight:bold;" target="_blank" title="Click to know more about ONE">ONE</a> additional <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 a product or <a href="https://interviewquestions.tuteehub.com/tag/service-1202537" style="font-weight:bold;" target="_blank" title="Click to know more about SERVICE">SERVICE</a>.</body></html> | |
| 4521. |
Define cost function |
| 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 <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 functional relationship between <a href="https://interviewquestions.tuteehub.com/tag/cost-25707" style="font-weight:bold;" target="_blank" title="Click to know more about COST">COST</a> and <a href="https://interviewquestions.tuteehub.com/tag/ouput-1141511" style="font-weight:bold;" target="_blank" title="Click to know more about OUPUT">OUPUT</a>. `C=f(q)`</body></html> | |
| 4522. |
Explain the percentage method of determining of demand with the help of an example. |
| Answer» <html><body><p></p>Solution :Under this method, we measure <a href="https://interviewquestions.tuteehub.com/tag/elasticity-14238" style="font-weight:bold;" target="_blank" title="Click to know more about ELASTICITY">ELASTICITY</a> by comparing the percentage in price with the percentage change in demand. The elasticity of demand is unity, greater than unity, or less than unity, <a href="https://interviewquestions.tuteehub.com/tag/according-366619" style="font-weight:bold;" target="_blank" title="Click to know more about ACCORDING">ACCORDING</a> as the change in demand is proportionate, more than proportionate, or less than proportionate to the change in price respectively. The elasticity is the ratio of the percentage change in the quantity demanded to the percentage change in the price charged.FORMULA-Elasticity = Proportionate change in demand/ Proportionate change in price= Change in Demand/ <a href="https://interviewquestions.tuteehub.com/tag/amount-374803" style="font-weight:bold;" target="_blank" title="Click to know more about AMOUNT">AMOUNT</a> demanded + Change in price/ PriceEXAMPLE-Suppose that the demand for common salt is 5 kilogram <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/month-1101201" style="font-weight:bold;" target="_blank" title="Click to know more about MONTH">MONTH</a> at the price of 20 P. per kg. Now suppose that its price is doubled, i.e., it rises to 40 P. per kg. and now only 4 kg. are demanded.According to our above formula:Elasticity = 5-4/5 ÷ 40/-20/20</body></html> | |
| 4523. |
Give causes that lead to emergence of monopoly. |
| Answer» | |
| 4524. |
Make a list of activities that constitute the ordinary buisness of life. Why are these called economic activities? |
| Answer» <html><body><p><br/></p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/production-14556" style="font-weight:bold;" target="_blank" title="Click to know more about PRODUCTION">PRODUCTION</a>, consumption, <a href="https://interviewquestions.tuteehub.com/tag/distribution-440862" style="font-weight:bold;" target="_blank" title="Click to know more about DISTRIBUTION">DISTRIBUTION</a> are the some examples of economic activities. These are economic activities, as these are <a href="https://interviewquestions.tuteehub.com/tag/relatedbrbr-2983848" style="font-weight:bold;" target="_blank" title="Click to know more about RELATED">RELATED</a> to the use to scarce means for the satisfaction of human wants.</body></html> | |
| 4525. |
Write a buyget line equation of a consumer if the two goods purchased by the consumer. Good X and Good Y are priced at 10 and Rs 5 respectively and the conumer's income is Rs 100 OR Define marginal rate of substitution. Explain its behaviour along an indifference curve. |
| Answer» <html><body><p></p>Solution :Budget Line equation: <br/> `m = P_(x) Q_(x) + P_(y) Q_(y)`, where m= income <br/> Accordingly: <br/> `100 = 10Q_(x) + 5Q_(y)` <br/> OR <br/> MRS refers to therate at which the commodities can be substituted with each other, so that total <a href="https://interviewquestions.tuteehub.com/tag/satisfaction-1195186" style="font-weight:bold;" target="_blank" title="Click to know more about SATISFACTION">SATISFACTION</a> of the consumer remains the same. <br/> Marginal Rate of <a href="https://interviewquestions.tuteehub.com/tag/substitution-1231654" style="font-weight:bold;" target="_blank" title="Click to know more about SUBSTITUTION">SUBSTITUTION</a> diminishes as the consumer moves dowmward along the same indifference curve. It <a href="https://interviewquestions.tuteehub.com/tag/shows-1206590" style="font-weight:bold;" target="_blank" title="Click to know more about SHOWS">SHOWS</a> that consumer is willing to sacrifice lesser units of a Good Y, in order to gain one <a href="https://interviewquestions.tuteehub.com/tag/additional-367648" style="font-weight:bold;" target="_blank" title="Click to know more about ADDITIONAL">ADDITIONAL</a> unit of Good X. This happens due to the operation of law of <a href="https://interviewquestions.tuteehub.com/tag/diminishing-2044202" style="font-weight:bold;" target="_blank" title="Click to know more about DIMINISHING">DIMINISHING</a> marginal utility.</body></html> | |
| 4526. |
As the variable input increased by one unit, total output falls. What can you say about the marginal productivity of variable input ? |
| Answer» <html><body><p></p>Solution :Marginal <a href="https://interviewquestions.tuteehub.com/tag/productivity-1168351" style="font-weight:bold;" target="_blank" title="Click to know more about PRODUCTIVITY">PRODUCTIVITY</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/input-11237" style="font-weight:bold;" target="_blank" title="Click to know more about INPUT">INPUT</a> is <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> | |
| 4527. |
One of the following is the characteristic of mail questionaire: |
| Answer» <html><body><p>higher <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/>Wider reach<br/>Large response <a href="https://interviewquestions.tuteehub.com/tag/rate-1177476" style="font-weight:bold;" target="_blank" title="Click to know more about RATE">RATE</a> <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 the above.</p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/b-387190" style="font-weight:bold;" target="_blank" title="Click to know more about B">B</a>.</body></html> | |
| 4528. |
Give meaning of increasing returns to a factor. |
| 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/increasing-1040633" style="font-weight:bold;" target="_blank" title="Click to know more about INCREASING">INCREASING</a> return to a factor refers to the <a href="https://interviewquestions.tuteehub.com/tag/phase-22748" style="font-weight:bold;" target="_blank" title="Click to know more about PHASE">PHASE</a> of production when TPP <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 an increasing rate or when MPP rises</body></html> | |
| 4529. |
Why is a firm under perfect competition a price taker and not a price maker? Explain |
| Answer» <html><body><p></p>Solution :The no. of <a href="https://interviewquestions.tuteehub.com/tag/sellers-1200267" style="font-weight:bold;" target="_blank" title="Click to know more about SELLERS">SELLERS</a> is so <a href="https://interviewquestions.tuteehub.com/tag/large-1066424" style="font-weight:bold;" target="_blank" title="Click to know more about LARGE">LARGE</a> that the share of each seller is <a href="https://interviewquestions.tuteehub.com/tag/insignificant-1045929" style="font-weight:bold;" target="_blank" title="Click to know more about INSIGNIFICANT">INSIGNIFICANT</a> in the total supply. Hence, an individual seller cannot influence the market price. Similarly, a single buyer's share in total purchase is so insignificant because of their large no. that an individual buyer cannot influence the market price. Under such <a href="https://interviewquestions.tuteehub.com/tag/conditions-424384" style="font-weight:bold;" target="_blank" title="Click to know more about CONDITIONS">CONDITIONS</a>, price of a commodity is determined by the market forces of demand and supply and each buyer and seller has to accept the same price. 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>, uniform price prevails in the market.</body></html> | |
| 4530. |
Equilibrium price rises due to : |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/favourable-456527" style="font-weight:bold;" target="_blank" title="Click to know more about FAVOURABLE">FAVOURABLE</a> <a href="https://interviewquestions.tuteehub.com/tag/change-913808" style="font-weight:bold;" target="_blank" title="Click to know more about CHANGE">CHANGE</a> in tastes<br/>increase in income<br/>increase in population<br/>all of these</p>Answer :D</body></html> | |
| 4531. |
Compare the census and sample methods of collecting data with reference to reliability, time involved and cost. |
| Answer» <html><body><p></p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/census-414679" style="font-weight:bold;" target="_blank" title="Click to know more about CENSUS">CENSUS</a> method is more <a href="https://interviewquestions.tuteehub.com/tag/reliable-1183903" style="font-weight:bold;" target="_blank" title="Click to know more about RELIABLE">RELIABLE</a> because in which each and every data is collected but <a href="https://interviewquestions.tuteehub.com/tag/sample-1194587" style="font-weight:bold;" target="_blank" title="Click to know more about SAMPLE">SAMPLE</a> method is less reliable because in which data is depend on only <a href="https://interviewquestions.tuteehub.com/tag/samples-1194689" style="font-weight:bold;" target="_blank" title="Click to know more about SAMPLES">SAMPLES</a>. Census method is much costly but sample method is not costly. Census method spends much time in <a href="https://interviewquestions.tuteehub.com/tag/collecting-921795" style="font-weight:bold;" target="_blank" title="Click to know more about COLLECTING">COLLECTING</a> each data but in sample method spends less time.</body></html> | |
| 4532. |
A rational producer aims to operate in first phase of Law of vaiable Proportions as total product increases at increasing rate. |
| Answer» <html><body><p></p>Solution :False. A rational producer aims to <a href="https://interviewquestions.tuteehub.com/tag/operate-586874" style="font-weight:bold;" target="_blank" title="Click to know more about OPERATE">OPERATE</a> in <a href="https://interviewquestions.tuteehub.com/tag/second-1197322" style="font-weight:bold;" target="_blank" title="Click to know more about SECOND">SECOND</a> phase as total product is maximum and <a href="https://interviewquestions.tuteehub.com/tag/marginal-555038" style="font-weight:bold;" target="_blank" title="Click to know more about MARGINAL">MARGINAL</a> product of each <a href="https://interviewquestions.tuteehub.com/tag/variable-1442996" style="font-weight:bold;" target="_blank" title="Click to know more about VARIABLE">VARIABLE</a> factor is positive.</body></html> | |
| 4533. |
What is the difference between a price index and a quantityindex ? |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :Price index measures the relativeor percentagechange in the price level of certain goods and services. <a href="https://interviewquestions.tuteehub.com/tag/whereas-2326610" style="font-weight:bold;" target="_blank" title="Click to know more about WHEREAS">WHEREAS</a>, quantity index measures the <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 the physicalvolume of production,construction andemployment.</body></html> | |
| 4534. |
Out of the many the four essential parts of the table are: 1. Title 2, Table number , 3. Source note , 4. Column heading What is the correct sequence of these parts in a table? |
| Answer» <html><body><p>4,3,2,1<br/>1,2,3,4<br/>2,1,3,4<br/>2,1,4,3</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> | |
| 4535. |
Give consumer's optimum condition from indifference curve approach |
| 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> :MRS= (Change in the quantity of good the consumer is <a href="https://interviewquestions.tuteehub.com/tag/willing-2335259" style="font-weight:bold;" target="_blank" title="Click to know more about WILLING">WILLING</a> to <a href="https://interviewquestions.tuteehub.com/tag/sacrifice-1193053" style="font-weight:bold;" target="_blank" title="Click to know more about SACRIFICE">SACRIFICE</a>)/ (Change in the quantity of good the consumer is willing to <a href="https://interviewquestions.tuteehub.com/tag/gain-469945" style="font-weight:bold;" target="_blank" title="Click to know more about GAIN">GAIN</a>)</body></html> | |
| 4536. |
When APP falls, what is the relation between MPP and APP ? |
| 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/mpp-549071" style="font-weight:bold;" target="_blank" title="Click to know more about MPP">MPP</a> is <a href="https://interviewquestions.tuteehub.com/tag/less-1071906" style="font-weight:bold;" target="_blank" title="Click to know more about LESS">LESS</a> than <a href="https://interviewquestions.tuteehub.com/tag/app-25615" style="font-weight:bold;" target="_blank" title="Click to know more about APP">APP</a></body></html> | |
| 4537. |
A producer starts a buisness by investing his own savings and hiring the labour. Identify implicit and explicit costs from this information. |
| 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 give situation: <br/> (i) The producer uses his own savings in the buisness which elsewhere would have earned interest. <a href="https://interviewquestions.tuteehub.com/tag/therefore-706901" style="font-weight:bold;" target="_blank" title="Click to know more about THEREFORE">THEREFORE</a> imputed value of the interest on the saving invested is implicit cost. <br/> (ii) The cost of <a href="https://interviewquestions.tuteehub.com/tag/hiring-25482" style="font-weight:bold;" target="_blank" title="Click to know more about HIRING">HIRING</a> labour from the market involves <a href="https://interviewquestions.tuteehub.com/tag/expenditure-980222" style="font-weight:bold;" target="_blank" title="Click to know more about EXPENDITURE">EXPENDITURE</a> incurred by the producer. Therefore, wages <a href="https://interviewquestions.tuteehub.com/tag/paid-1145567" style="font-weight:bold;" target="_blank" title="Click to know more about PAID">PAID</a> to the labour are explicit costs.</body></html> | |
| 4538. |
Given market price of a good how does consumer decide as to how many of that good to buy. |
| Answer» <html><body><p></p>Solution :In buying 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> 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> compares price of the good withmarginal utility (MU)of thegood . He decides to purchase the good only when`MUge`Price . <a href="https://interviewquestions.tuteehub.com/tag/suppose-656311" style="font-weight:bold;" target="_blank" title="Click to know more about SUPPOSE">SUPPOSE</a>`PgtMU` , hewill continue to buy so long as <a href="https://interviewquestions.tuteehub.com/tag/muis-3733617" style="font-weight:bold;" target="_blank" title="Click to know more about MUIS">MUIS</a> either greater or atleast equal to P. Astheconsumer busy more and more <a href="https://interviewquestions.tuteehub.com/tag/units-1438468" style="font-weight:bold;" target="_blank" title="Click to know more about UNITS">UNITS</a> MU diminishes . He busy upto the point when MU equals P.MU=P</body></html> | |
| 4539. |
Calculate the MP of variable factor and indicate the various phases of Law of variable Proportions from the following schedule : |{:("Units of variable factor",0,1,2,3,4,5,6),("TP (in units)",0,50,110,150,180,180,150):}| |
| 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_008_S01.png" width="80%"/></body></html> | |
| 4540. |
Find out standard deviation of the distribution of population in 104 villages of a Tehsil, as given below by step-deviation method. Distribution of Population |
| 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/sigma-1207107" style="font-weight:bold;" target="_blank" title="Click to know more about SIGMA">SIGMA</a>`=789.11</body></html> | |
| 4541. |
Marginal product always rises when average product is increasing. |
| 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>. Marginal product can fall when average product is increasing 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> as marginal product is more than average product. In <a href="https://interviewquestions.tuteehub.com/tag/fig-460913" style="font-weight:bold;" target="_blank" title="Click to know more about FIG">FIG</a>. 5.5, it happens from point G to <a href="https://interviewquestions.tuteehub.com/tag/e-444102" style="font-weight:bold;" target="_blank" title="Click to know more about E">E</a>. <br/> <img src="https://d10lpgp6xz60nq.cloudfront.net/physics_images/SG_MIC_ECO_C05_S01_042_S01.png" width="80%"/></body></html> | |
| 4542. |
MC curve intersects AC curve at its "______" point and AVCcurve at its "_____" point. |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/maximum-556915" style="font-weight:bold;" target="_blank" title="Click to know more about MAXIMUM">MAXIMUM</a>, Minimum<br/>Minimum, Minimum<br/>Minimum, Maximum<br/>None of these</p>Solution :N//A</body></html> | |
| 4543. |
How are the total revenue of a firm, market price and quantity sold by the firm related to each other ? |
| Answer» <html><body><p></p>Solution :TR=Price <a href="https://interviewquestions.tuteehub.com/tag/x-746616" style="font-weight:bold;" target="_blank" title="Click to know more about X">X</a> Quantity <a href="https://interviewquestions.tuteehub.com/tag/sold-631881" style="font-weight:bold;" target="_blank" title="Click to know more about SOLD">SOLD</a> =P x <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/total-711110" style="font-weight:bold;" target="_blank" title="Click to know more about TOTAL">TOTAL</a> <a href="https://interviewquestions.tuteehub.com/tag/sales-25569" style="font-weight:bold;" target="_blank" title="Click to know more about SALES">SALES</a> product)</body></html> | |
| 4544. |
Giving reason comment on the shape of Production Possibilities Curve based on the following schedule, |
| 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_C01_S01_009_S01.png" width="80%"/> <br/> <a href="https://interviewquestions.tuteehub.com/tag/since-644476" style="font-weight:bold;" target="_blank" title="Click to know more about SINCE">SINCE</a> MRT is constant, PP <a href="https://interviewquestions.tuteehub.com/tag/curve-941741" style="font-weight:bold;" target="_blank" title="Click to know more about CURVE">CURVE</a> will be downward sloping straight line.</body></html> | |
| 4545. |
Giving reason, comment on the shape of Production possibilities curve based on the following schedule, |
| 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_C01_S01_008_S01.png" width="80%"/> <br/> As MRT is increasing, <a href="https://interviewquestions.tuteehub.com/tag/ppc-25541" style="font-weight:bold;" target="_blank" title="Click to know more about PPC">PPC</a> will be <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> and concave to the <a href="https://interviewquestions.tuteehub.com/tag/origin-1139399" style="font-weight:bold;" target="_blank" title="Click to know more about ORIGIN">ORIGIN</a>.</body></html> | |
| 4546. |
What is the effect of increasing TR at a decreasing 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/mr-549185" style="font-weight:bold;" target="_blank" title="Click to know more about MR">MR</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> | |
| 4547. |
In which of the following types of market structure, a firm can earn abnormal profits in the long run? |
| 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/>Monoplistic Competition <br/>Monopoly<br/>None of these</p>Solution :N/a</body></html> | |
| 4548. |
State the meaning and properties of producftion possibilities frontier. |
| Answer» <html><body><p></p>Solution :PPC is the curve which shows the <a href="https://interviewquestions.tuteehub.com/tag/combinations-922706" style="font-weight:bold;" target="_blank" title="Click to know more about COMBINATIONS">COMBINATIONS</a> of two <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 services that can be produced with <a href="https://interviewquestions.tuteehub.com/tag/fuller-466727" style="font-weight:bold;" target="_blank" title="Click to know more about FULLER">FULLER</a> the utilisation of a given amount of resources in the most efficient way and with a given <a href="https://interviewquestions.tuteehub.com/tag/production-14556" style="font-weight:bold;" target="_blank" title="Click to know more about PRODUCTION">PRODUCTION</a> technology. Properties of PPC (a) Concave to the origin : PPC curve is concave to the origin. This is because of the increasing opportunity cost i.e. in accordance with the law of increasing marginal opportunity cost. (b) Downward sloping curve: PPC curve is downward sloping from left to right. This is because the production of every additional unit of one good, more and more <a href="https://interviewquestions.tuteehub.com/tag/units-1438468" style="font-weight:bold;" target="_blank" title="Click to know more about UNITS">UNITS</a> of other goods has to be sacrificed.</body></html> | |
| 4549. |
Discuss the effect on equilibrium price and equilibrium quantity, when: (a) Supply is perfectly elastic and demand increases (b) Demand is perfectly inelastic and supply decreases |
| Answer» <html><body><p></p>Solution :(a) When supply is <a href="https://interviewquestions.tuteehub.com/tag/perfectly-7309466" style="font-weight:bold;" target="_blank" title="Click to know more about PERFECTLY">PERFECTLY</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>, an increase in demand results in a shift in demand curve towards right but the price does not change since the supply curve is horizontal or perfectly elastic. Only the <a href="https://interviewquestions.tuteehub.com/tag/equilibrium-974342" style="font-weight:bold;" target="_blank" title="Click to know more about EQUILIBRIUM">EQUILIBRIUM</a> quantity rises.<br/>(<a href="https://interviewquestions.tuteehub.com/tag/b-387190" style="font-weight:bold;" target="_blank" title="Click to know more about B">B</a>) When demand is perfectly <a href="https://interviewquestions.tuteehub.com/tag/inelastic-7382420" style="font-weight:bold;" target="_blank" title="Click to know more about INELASTIC">INELASTIC</a>, a decrease in supply leads to a leftward shift in supply curve but the demand curve remains the same. Fall in supply leads to an increase in prices but the equilibrium quantity does not change since the demand curve is vertical or perfectly inelastic.</body></html> | |
| 4550. |
Demand for a good is less elastic when : |
| Answer» <html><body><p>Percentage change in price`gt` percentage change in <a href="https://interviewquestions.tuteehub.com/tag/quantity-1174212" style="font-weight:bold;" target="_blank" title="Click to know more about QUANTITY">QUANTITY</a> <a href="https://interviewquestions.tuteehub.com/tag/demanded-7675308" style="font-weight:bold;" target="_blank" title="Click to know more about DEMANDED">DEMANDED</a>.<br/>Percentage Change in quantity demanded `gt` percentage change in price<br/>percentage change in price = percentage change in quantity demanded<br/>Demand <a href="https://interviewquestions.tuteehub.com/tag/remains-621920" style="font-weight:bold;" target="_blank" title="Click to know more about REMAINS">REMAINS</a> same even with change in price. </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> | |