Tuesday, November 24, 2015
Total No. of Questions: 07
Paper ID [C0105]
MANAGERIAL ECONOMICS (MB-105)
Time: 3 Hrs. Max. Marks: 60
Instruction to Candidates:
2. Attempt any Four questions from Section-B.
(10 x 2=20)
(a) Distinguish between micro economics and macroeconomics. Give any two examples of macroeconomic variables.
(b) Define price elasticity of demand. How is it measured?
(c) Define Average Cost (AC) and Marginal Cost (MC).
(d) What are the properties of Indifference Curve?
(e) Distinguish between monopolistic competition and monopoly. In which of these markets the demand curve facing a firm is more elastic?
(f) What do you mean by term value added? What is its importance in national income accounting?
(g) Find out the value of investment multiplier if Marginal Propensity to Consume (MPC) is 0.2.
(h) What is Involuntary unemployment?
(i) What is the difference between national income at constant prices and national income at current prices? Which of these is the true indicator of economic growth?
(j) What are the main objectives of monetary policy?
(4 x 10=40)
Q2. Discuss the usefulness of demand forecasting? What are the criteria of a good demand forecasting method?
Q3. Explain the conditions of equilibrium of a firm under perfect competition in short run and long run periods.
Q4. Explain the concept of Break-even point. What are the assumptions and limitations of break-even analysis?
Q5. Explain the equilibrium of income in an economy with Aggregate Demand (AD) and Aggregate Supply (AS).
Q6. Why do trade cycles occur in an economy? Describe various phases of a trade cycle.
Q7. Define Inflation. What measures would you suggest to control inflation?
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