Introduction

1. The best Example of capital intensive industry in India is- (A) Textile industry (B) Steel industry (C) Tourism industry (D) Spare goods industry Ans. (B) 2. The Removal of prohibitions and

Market-2

35. Match the characteristics with their market structure- (i) Difficult entry (often due to economies of scale) (ii) Can sell as much as it can at market price (A) (i) Monopolistic Competition,

Market-1

1. Which of the following most closely approximates our definition of oligopoly? (A) The cigarette industry (B) The barber shops (C) The gasoline stations (D) Wheat Farmers Ans.(A) 2. One of the

Revenue

1. Average Revenue means- (A) the revenue per unit of commodity sold (B) the revenue from all commodites sold (C) the profit realised all commdoities unit sold (D) the profit realised by

Cost-2

31. A ceramic pottery unit hires 8 craftsmen by paying each of them Rs 900 per day. The 9th craftsman demands Rs 950 per day. If this craftsman is hired then all

Cost-1

1. If an industry is characterized by economies of scale then- (A) Barriers to entry are not very large (B) Long run unit costs of production decreases as the quantity the firm

Productaion-2

43. Depreciation is loss in value of- (A) Final goods (B) Machinery (C) Capital stock (D) Stock of inventory Ans. (B) 44. If the fixed costs of a factory producing candles is

Production-1

1. Economic rent refers to- (A) Payment made for the use of land (B) Profit (C) Producer’s surplus (D) Consumer’s surplus Ans. (A) 2. The Marginal Utility Curve slopes downward from left

Consumer Behaviour

1. Payment of water charges by the farmers tothe government represents (A) Intermediate consumption (B) Final consumption (C) Fixed investment (D) Inventory investment Ans. (A) 2. The difference between the price the

Demand and Supply-4

109. Seawater, fresh air etc are regarded in economics as– (A) Giffen goods (B) Inferior goods (C) Free goods D) Normal goods Ans. (C) 110. If the price of tea falls, demand