Micro PYQ — Page 7

Match List-I with List-II | List-I | List-II | |---|---| | (A) Parallel inward shift in budget line | (I) M/p₁ > M/p₁' | | (B) Parallel outward shift in budget line | (II) M/p₁ < M/p₁' | | (C) Budget line steeper | (III) M' < M | | (D) Budget line flatter | (IV) M' > M | Choose the correct answer from the options given below:

Match List-I with List-II | List-I | List-II | |---|---| | (A) TVC | (I) AVC × quantity | | (B) SAC | (II) AVC + AFC | | (C) TC | (III) TVC + TFC | | (D) LRMC | (IV) (TC at q₁ units) – (TC at q₁ – ₁ units) | Choose the correct answer from the options given below:

The rate at which the consumer is willing to substitute one good for the other is indicated by:

The rate at which the consumer is able to substitute one good for the other in the market is indicated by

Which of the following are correct about the short run cost concepts? (A) Both the average cost and average variable cost curves are U-shaped. (B) Average cost and average variable cost curves are parallel to each other. (C) Marginal cost is equal to both average cost and average variable costs at their respective minimum levels. (D) Average cost and average variable cost can never be equal to each other. Choose the correct answer from the options given below:

Which of the following central problems deals with the choice of technique of production?

Lata likes to eat burgers and has already eaten two. Her marginal utility from the last burger she consumes is 90 utils. If the price of burger is Rs. 25 per unit and marginal utility of a rupee is 3 utils, then?

A consumer spends all his income of Rs 6000 on two goods - Food and clothing and is buying 12 units each of both the goods. At the present level of consumption, the marginal rate of substitution of clothing for food is 3. The price of food per unit is Rs. 400 whereas that of clothing is Rs. 100. What should a consumer do to attain the equilibrium?

Match List-I with List-II | List-I | List-II | |---|---| | (A) Increase in demand > Increase in Supply | (I) Increase in both equilibrium price and quantity. | | (B) Increase in demand < Increase in Supply | (II) Decrease in both equilibrium price and quantity. | | (C) Increase in demand = Increase in Supply | (III) Decrease in equilibrium price but increase in equilibrium quantity. | | (D) Decrease in demand < Decrease in supply | (IV) Increase in equilibrium quantity but no change in equilibrium price. | Choose the correct answer from the options given below:

Match List-I with List-II | List-I | List-II | |---|---| | (A) Marginal rate of substitution | (I) Slope of Budget line | | (B) MUₓ/MUᵧ=Pₓ/Pᵧ | (II) more of at least one good and no less of the other good | | (C) -(Pₓ/Pᵧ) | (III) Law of equi marginal utility | | (D)Monotonic Preferences. | (IV) Slope of Indifference curve | Choose the correct answer from the options given below:

Match List-I with List-II | List-I | List-II | |---|---| | (A) Decrease in consumer's income | (I) Budget line becomes steeper | | (B) Increase in price of Good X | (II) Parallel and leftward shift in the budget line | | (C) Equal reduction in price of both goods X and Y | (III) Budget line becomes flatter | | (D) Increase in price of Good Y | (IV) No change in the slope of the budget line | Choose the correct answer from the options given below:

Imposition of price ceilings usually results into?

The market determined price of a good is Rs. 40.The government determines the price ceiling on the good as Rs. 25. Calculate the excess demand/excess supply it will cause if the demand and supply functions are Qd= 200 – p and Qs=120+ p respectively.

in the long run when the average cost is rising, marginal cost must be.

The Law of Diminishing Marginal Utility states that when more and more units of a commodity are consumed, Marginal Utility __________

How much units of Good Y can the consumer consume if she spends her entire income on that good?

Find the equilibrium price of salt in this market.

The optimum bundle of the consumer is located at the point where:

A consumer is willing to give up 4 bananas if it is given an extra mango, but in the market, if it gives up 6 bananas, this bundle will be considered.

Choose the correct statements from the following. (A) 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 is called the production possibility frontier. (B) Slope of production possibility frontier is called marginal opportunity cost. (C) In positive economic analysis, we study how the different mechanisms function. (D) Scarcity of resources gives rise to the problem of choice.

Downward movement along the demand curve is caused by _________.

Arrange the given statements to show the impact on a firm's supply curve due to its determinants. (A) Organisational innovation allows the firm to use fewer units of inputs. (B) Any factor that affects a firm's marginal cost curve is a determinant of its supply curve. (C) At any given market price, the firm now supplies more units of output. (D) The marginal cost will shift downward. Choose the correct answer from the options given below:

Perfect information implies that all buyers and all sellers are completely informed about the price, quality and other relevant details about the product, as well as the market. These features result in the single most distinguishing characteristic of perfect competition, that is...

When a firm increases its output and the average cost rises, this phase in the production process is shown as?