Micro PYQ — Page 3

In given production function $q = f(x_1, x_2)$ what is depicted by $f(tx_1, tx_2) < tf(x_1, x_2)$.

Set of all possible combinations of the two inputs that yield the same maximum possible level of output is known as.........

The tendency where marginal productivity first increases then starts falling is known as ______

Match List-I with List-II | List-I | List-II | |---|---| | (A) Satisfaction derived from consuming the given amount of some commodity x. | (I) Marginal rate of substitution. | | (B) Change in total utility due to consumption of one additional unit of a commodity. | (II) Ordinal Utility | | (C) Ranking of various consumption bundle. | (III) Marginal Utility | | (D) Downward slope of indifference curve. | (IV) Total Utility | Choose the correct answer from the options given below:

The economic approach in which we try to understand whether given mechanisms are desirable or not is known as ..........

Change in total cost per unit of change in output is defined as:

In the short run, which of the following condition is mandatory for a firm for its profit maximization at q₀?

From which of the following, consumers can choose their consumption bundle?

In which of the following conditions, output increases with the same proportion of input?

When we have proportionately more output than input this economic concept is known as .........

In which condition, the average cost of a firm declines when output increases?

In a long run average cost curve which point is said to be the constant return to scale?

To increase the output by a certain proportion, if inputs need to be increased by more than that proportion, that condition lies in which of the following?

Arrange the following in correct sequence to attain equilibrium under perfect competition. (A) LRMC start rising. (B) Both LRAC and LRMC fall. (C) Both LRAC and LRMC rises. (D) LRMC cuts LRAC from below.

Any allocation of resources by the society would result in the _____ of a particular combination of different goods and services.

What causes an indifference curve to be convex to the origin? 1. Marginal utility 2. Market Rate of Exchange 3. Law of Diminishing Marginal Rate of Substitution 4. Law of Increasing Marginal Rate of Substitution

The allocation of scarce resources and the distribution of the final goods and services are the _____ of any economy. 1. States problems 2. Consumption problems 3. Central problems 4. Production problems

Identify the correct statements with regard to the consumer's budget line/set. (A) A decrease in the price of goods makes the budget line steeper (B) A decrease in the price of goods makes the budget line flatter (C) An increase in the price of goods makes the budget line steeper (D) All bundles in the positive quadrant which are on or below the line are included in the budget set.

In the perfectly competitive market, if 10 packets of bread are sold at the price of Rs. 25 per packet, what will be the total revenue of a bread manufacturer? 1. Rs. 25 2. Rs. 250 3. Rs. 0.4 4. Rs. 2.5

Match List-I with List-II | List–I | List–II | | ---------------------------------------------------------------------------------------------------- | --------------------------------- | | (A) A proportional increase in all inputs results in an increase in output by a smaller proportion | (I) Constant returns to scale | | (B) A proportional increase in all inputs results in an increase in output by a larger proportion | (II) Law of variable proportions | | (C) A proportional increase in all inputs results in an increase in output by the same proportion | (III) Decreasing Returns to Scale | | (D) Factor proportions change as long as one factor is held constant and the other factors increases | (IV) Increasing Returns to Scale | Choose the correct answer from the options given below:

Arrange the following statements related to the change in demand for normal good. (A) The consumer's income, increases. (B) Given the prices of other goods and the preferences of the consumer, (C) The demand curve shifts rightward. (D) The demand for the normal good at given price changes.

Identify the options which reflect the impact of simultaneous shifts of demand and supply on equilibrium (A) When demand shift right and supply left, quantity may increase, decrease or remain unchanged but price decreases (B) When demand and supply shift leftward, quantity decreases but price may increase, decrease or remain unchanged (C) When demand and supply shift rightward, quantity increases but price may increase, decrease or remain unchanged (D) When demand shift left and supply right, quantity may increases, decreases or remain unchanged but price decreases

Under perfect competition if firms earn supernormal profits. Arrange following statements to arrive at the implication of free entry and exit of firms (A) Market price fall in such a manner that firms will be earning normal profits only and thus no more firms will have incentive to enter the market. (B) Some new firms will enter the market (C) At the prevailing market price, each firm is earning supernormal profit. (D) Demand remains unchanged but the market supply curve shifts rightward

Match List-I with List-II | List–I | List–II | | ----------------------- | -------------------------------------- | | (A) Total variable cost | (I) TR – (TVC + TFC) | | (B) Total Revenue | (II) TVCₙ – TVCₙ₋₁ | | (C) Profit | (III) Average variable cost × Quantity | | (D) Marginal cost | (IV) Price × Quantity | Choose the correct answer from the options given below: