Gauhati University Question Papers:BUSINESS ECONOMICS (May-June’ 2017)


Gauhati University Question Papers
BUSINESS ECONOMICS (May-June’ 2017)
Full Marks: 80
Time Allowed: 3 hours
Answer either in English or Assamese
The figures in the margin indicate full marks for the questions
1. Answer the following questions:                                          1x10=10

a)      Define Business Economics.
b)      Mention one factor affecting the individual demand for a commodity.
c)       What is equal-product curve?
d)      What are the two components of Business Economics?
e)      What is disposable income?
f)       What is cost function?
g)      Mention one characteristics of Monopoly Market which is not available in the Perfect Competition.
h)      What is Marginal cost of product?
i)        Name a commodity which has inelastic demand.
j)        Define profit.
2. Answer in brief (within 30 words each):                            2x5=10
a)      Mention two characteristics of Business Economics.
b)      Mention two main causes of arising economic problems.
c)       What is normal price?
d)      Define price elasticity of demand.
e)      Generally the demand curve slopes downward from left to the right. Why?
3. Answer any four of the following: (within 200 words each)                                      5x4=20
a)      Explain the scope of Business Economics.
b)      Explain the factors affecting price elasticity of demand.
c)       Explain the relationship between short-run average costs and short-run marginal costs.
d)      Write a note on demand forecasting.
e)      Explain the concept of cross-elasticity of demand.
f)       Mention the assumptions of the Law of Diminishing Returns.
4. Answer the following questions (within 600 words each):
a)      Explain the Laws of Returns to scale with the help of diagrams.                          10
Or
Define national income. Discuss its importance in Business Economics.                           3+7=10
b)    What is price elasticity of demand? Explain the different methods of measurement of price elasticity of demand. 2+8=10
Or
What is Monopoly? Discuss the price and output determination under monopoly market.                    2+8=10
c) How can LAC curve be derived from the SAC curve? Why is LAC curve U-shaped?                                     5+5=10
Or
What are the characteristics of Perfect Competition? How price and output is determined under perfect competition?
d)    Critically discuss the Marginal Productivity Theory of Distribution.                     7+3=10
Or
Critically discuss Schumpeter’s Innovation Theory of Profit.                                 7+3=10

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