OMTEX CLASSES                                                 ECONOMICS                                            Istpreliminary exam….
3 hours                                                                                                                                                            100 marks
Don’t make any correction on objectives.
Write four points for two marks answer.

Q.1 (A) Fill in the blanks with appropriate alternatives given in the brackets: (5 marks)
1.      Economics is a ______________science. (natural, social, anthropology, political)
2.      Labour is __________ (imperishable, perishable, convertible, non-convertible)
3.      There is a lack of _________in monopoly. (Consumers, competition, sellers, people)
4.      ________has the monopoly to issue currency notes. (Commercial bank, Central bank, Central Bank of India)
5.      The nature of the market in barter system is __________. (limited, unlimited, personal, social)

(B) State the whether the following statements are true or false: (5 marks)
1.      Utility is Subjective.
2.     All desires are not demand.
3.      The demand of food grains is inelastic.                                                                      
4.      The relationship between price and demand is positive.                                           Group B
5.      The problem of Nation is studied in the Macro Economy.

(C) Choose the correct answer: (5 marks)
1.      The capacity of a commodity to satisfy human want is known as __________. (utility, need, satisfaction, production)
2.      The demand for salt is ___________ (inelastic, elastic, elasticity more than one, elasticity less than one)
3.      The income which is not spent on consumption is ___________. (saving, investment, loss, profit)
4.      The account in which the specific amount is deposited per month regularly is known as ___________. (fixed account, current account, saving account, recurring account)
5.      The money which is created by commercial bank is called_________money. (credit, paper, metallic, legal tender)

(D) Match the following Group ‘A’ with Group ‘B’: (5 marks)
Group ‘A’
Group ‘B’
1.      Demand of Electricity
2.      Luxurious Commodities
3.      Income Minus Saving
4.      Central Bank of India
5.      Accepting Deposit
1.      Primary function of Central bank
2.      Consumption
3.      Commercial Bank
4.      Elastic Demand
5.      Composite Demand
6.      Central Bank
7.      Investment

Q.2 (A) Explain the following concepts or give definition: -                                           (any 4) (8 Marks)
1.      Micro Economics
2.      Demand
3.      Perfectly elastic Demand
4.      Land
5.      Depreciation
6.      Monopoly
7.      Capital
8.      Joint Demand
     (B) State whether the following statements are true or false give reason: -             (any 4) (8 Marks)
1.       The demand for rich people is poor.
2.       There is no selling cost in Perfect Completion.
3.       The supply of land is fixed.
4.       There is no difference between micro and macro Economics
5.       The interest is more on saving Deposit.
6.       The Scope of Macro Economics is wide.
7.       Perishable commodity has inelastic demand.
8.      All capital is wealth but all wealth is not a capital.
    Q.3 (A) Distinguish Between: -                                                                                           (any 4) (8 Marks)
1.       Marginal Utility V/S Total Utility
2.       Saving Deposit V/S Current Deposit
3.       Perfect Competition V/S Monopolistic Competition
4.       Fixed Capital V/S Variable Capital                                                
5.       Micro Economics V/S Macro Economics
6.       Demand V/S Supply
7.       Unitary Elastic Demand V/S Relatively Elastic Demand
8.      Individual Problem V/S National problems

(B) Give Reason or Explain: -                                                                                                (any 4) (8 Marks)
1.       Government feels that micro economics is useful.
2.       For the Period of depression, deficit budget is prepared. Pg no…74
3.       Supply cannot exceed Stock.
4.       There is direct relationship between Demand and Price.
5.       Under Monopoly the firm is a price maker
6.       Utility cannot be measured cardinally.
7.       The demand curve slopes downward from left to right.
8.      The difficulties of barter system are removed by money.

  Q.4 (A) Answer the following: -                                                                                           (any 2) (8 Marks)
1.       Consumption Function
2.       Function of Money.
3.       What are the Determinants of Market Demand?
4.      Secondary Function of Commercial Bank?

       (B) Short Notes: -                                                                                                                        (any 2) (8 Marks)
1.       What are the Determinants of Aggregate Demand?
2.       Types of Utility.
3.       Assumption of Law of Supply.
4.       Relationship between Marginal Utility and Total Utility

Q.5 State with reason, whether you agree or disagree with the following statements: -     (any 2) (16 Marks)
1.      Perfect Competition and Monopolistic competition is the same.
2.      There is no Exception in Law of Supply.
3.      Micro Economy is deal with whole economy.

Q.6 Answer the following questions in detail: -                                                                     (any 2) (16 Marks)
1.      Explain the Law of Diminishing marginal Utility? Explain its Exception?
2.      What meant by Perfect Competition? State its Features?
3.      What is meant by Price Elasticity of Demand? Explain its Types?