Principles And App Of Econ Dec 1999

Totil' No. of Questions: 8 ]

( Total No. of Printed Pages : 2

475/99 B. E. (Third Semester) EXAMINATION, Dee., 1999 (New Scheme) (Computer Engg.) PRINCIPLES AND APPLICATIONS OF ECONOMICS (HUM - 201- C) )

Time: Three Hours J

[ Maximum Marks: 100 ( Minimum Pass Marks : 40

Note: Attempt five questions in CQmpulsory.

all, however Q. No. 1 is

1. Which of the foUowing statements are correct and which are incorrect ? Give reasons in brief for your answers. (Attempt any ten) : 2 each (a) According to Alferd MlirshaU Economics is the science which is related with the problem of choice. (b) Micro Economics deals with aggregates of the economy. (c) Total utility is maximum, \\-hen marginal utility is negative. (d) Contraction of demand is the result of decrease in the income of purchaser. (e) In case of an inferior good, the i.-1come elasticity of demand is zero. (I) Internal economies accrue to all the firms irrespective of

any increase in scale of production. (g) Division of laboUT is not rdated to the size of the firm. P. T. O.

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(2)

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in production.

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(i) Globlisation only refers to allowing more experts. (j) There is ltlI inverse relationship between price and the supply of the commodity.

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(k) Under perfect competition, the firms are the price makers. (I) Monopolistic competition is the most prevailing form of market structure. 2. Critically examine the welfare centred defmitions of Economi,cs.

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3. State and explain the law of diminishing marginal utility with its practical importance and application. 4.

20

Explain the concept of elasticity of demand. How is elasticity of demand measured ? Mention the various areas of the applicatiun of this concept. 20

5. What do- you understand by division of labour ? Explain in brief the merits and demerits of division of labour. 20 6.

Explain th~ terms fIxed cost, variable cost, average cost and marginal cost and aLso explain the relationship between these with short run. 20

7. Explain in brief the main features of the perfect competition and monopoly. How perfect competition differs from monopolistic competition ? 20 8.Write short notes on any two of the following:

10 each

(a) Features of indian Economy (b) Privatisation: its merits and demerits (c) Demand iorccastlIlg (d) Nature of economic laws 475/99

1,900

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