Micro PYQ — Page 4

The collection of all possible combinations of goods and services that can be produced from a given amount of resources and a given stock of technological knowledge.

The equation of long-run marginal cost.

Which statement is not true for Adam Smith?

Match List-I with List-II | List-I | List-II | |---|---| | (A) Demand shifts right and supply remains unchanged. | (I) Price increase, quantity increases. | | (B) Supply shifts right and demand remains unchanged. | (II) Price decrease, quantity increases. | | (C) Demand shifts left and supply shifts left. | (III) Quantity decreases. | | (D) Supply shifts right and demand shifts right. | (IV) Quantity increases. | Choose the correct answer from the options given below: 1. (A) - (I), (B) - (II), (C) - (III), (D) - (IV) 2. (A) - (II), (B) - (I), (C) - (III), (D) - (IV) 3. (A) - (I), (B) - (II), (C) - (IV), (D) - (III) 4. (A) - (III), (B) - (IV), (C) - (I), (D) - (II)

Law of demand is violated when?

How will an increase in the consumer's income affect the budget line? 1. Parallel inward shift of budget line. 2. Parallel outwards shift in budget line. 3. The budget line rotates outwards. 4. Budget line rotates and shifts outwards.

If demand remains constant at any changes in price of commodity then the elasticity of demand for that commodity will be.................... 1. Zero 2. One 3. Between one and zero 4. Infinite

Match List-I with List-II | List-I | List-II | |---|---| | (A) Cardinal utility | (I) Ranking consumption bundles. | | (B) Perfect substitute goods | (II) Level of utility can be expressed in numbers. | | (C) Ordinal Utility | (III) The marginal Rate of Substitution is 1. | | (D) Complimentary goods | (IV) An increase in the price of one good does not lead to an increase in demand for another good. | Choose the correct answer from the options given below: 1. (A) - (I), (B) - (IV), (C) - (III), (D) - (II) 2. (A) - (II), (B) - (III), (C) - (I), (D) - (IV) 3. (A) - (I), (B) - (IV), (C) - (II), (D) - (III) 4. (A) - (III), (B) - (IV), (C) - (I), (D) - (II)

The equation of the demand curve : pq = e, where e is a constant. Select the INCORRECT statement: 1. The demand curve is a rectangular hyperbola. 2. The value of p times q is constant. 3. The elasticity of demand at all points located on this demand curve is greater than 1. 4. At every point of consumption, the expenditure remains the same.

From the following which is incorrect with respect to firm's profit maximization in long run? 1. Price = Long Run Marginal Cost 2. LRMC is first decreasing and then increasing 3. Price = Short Run Marginal Cost 4. Price ≥ Long Run Average Variable Cost

When output increases with the same proportion as increase in inputs, this concept is known by? 1. Marginal diminishing returns. 2. Decreasing return to scale. 3. Increasing return to scale. 4. Constant Return to scale.

Match List-I with List-II | List-I | List-II | |---|---| | (A) Perfect Competition | (I) A typical characteristic of perfect competition. | | (B) Perfectly elastic demand curve | (II) An individual firm is a price taker. | | (C) Degree of price control under perfect competition | (III) The firm can sell any amount of its output at the prevailing price. | | (D) Freedom of entry and exit | (IV) No control over price. | Choose the correct answer from the options given below:

When Marginal Product is constant?

Match List-I with List-II | List-I | List-II | |---|---| | (A) Consumer's equilibrium | (I) ΔY/ ΔX | | (B) Slope of IC | (II) Budget line rotates to the right starting from the Y axis | | (C) Px falls | (III) Consumer should move downwards to the right along the IC | | (D) MRSxy > Px/Py | (IV) Optimum choice of the consumer | Choose the correct answer from the options given below:

An upward sloping straight line supply curve shooting from the X axis indicates the:

Average Fixed Cost (AFC) is indicated by?

A shift in the budget line, when prices are constant, is due to.

Which one of the following leads to the law of variable proportions?

At a price of ₹8 per unit, the quantity supplied of a commodity is 200 units. If its price elasticity of supply is 1.5, if the price rises to ₹10 per unit, calculate the quantity supplied at the new price?

Extension of supply occurs due to change in _________

When both the demand and supply curves shift to indicate an increase in demand and supply in the same proportion. Then:

On the basis of given data above, the correct equation of price line will be.

How does technological progress affect the firms' supply curve?

In the long run __________.