Dibrugarh University Question Paper - Economics – Arts (Nov'2018)

2018

(November)

ECONOMICS

(General)

Course: 101

(Microeconomic Theory)

Full Marks: 80

Pass Marks: 32/24

Time: 3 hours

The figures in the margin indicate full marks for the questions

1. Choose the correct answer/Answer the following questions:                                  1x8=8

a)         Which of the following theories is not a microeconomic theory?

1)         Theory of rent.

2)         Theory of income.

3)         Theory of economic welfare.

4)         Theory of profit.

b)         When total utility is maximum what will be the marginal utility of a commodity?

1)         Zero.

2)         Minimum.

3)         Maximum.

4)         None of the above.

c)          Which of the following is not a variable factor for a tea factory?

1)         Temporary labour.

2)         Electricity bill.

3)         Green leaves.

4)         Machineries.

d)         Selling cost is related to

1)         Perfectly competitive market.

2)         Monopoly market.

3)         Monopolistic market.

4)         None of the above.

e)         The elasticity of demand (Ed) in a perfectly competitive market is

1)         Ed > 1.

2)         Ed = 1.

3)         Ed = 0.

4)         Ed = ∞

f)          Exponent of uncertainty-bearing theory of profit is

1)         Howley.

2)         Knight.

3)         Schumpeter.

4)         Clark.

g)         Mention a property of indifference curve.

h)         What is liquidity trap?

2. Write short notes on any four of the following (within 150 words each):                       4x4=16

a)         Money cost and real cost.

b)         Market price and normal price.

c)          Quasi-rent.

d)         Income effect.

e)         Collective bargaining.

Answer the following questions (within 500 words each):

3. (a) Discuss the subject matter and scope of microeconomics.                                11

Or

(b) Show the difference between micro-statistics and micro dynamics.                                       11

4. (a) What do you mean by utility? Explain with diagram the consumer’s equilibrium with the help of the theory of diminishing marginal utility.                                         3+8=11

Or

(b) What is indifference curve? Mention the properties of indifference curve with the help of diagrams.   3+8=11

5. (a) What is price elasticity of demand? How can it be measured? Explain its types with diagrams and suitable examples.                                                 2+2+7=11

Or

(b) Distinguish between fixed cost and variable cost with examples. Why is the short-run average cost curve almost ‘U’ shaped? Explain with the help of diagram.                      5+6=11

6. (a) What is monopoly market? Mention four characteristics of this market. Explain short-run equilibrium of a firm in this market.                                                2+4+5=11

Or

(b) What is perfectly competitive market? Explain the differences between perfect competition and monopolistic competition.                                      11

7. (a) Critically explain the Ricardian theory of rent.                                          12

Or

(b) Critically explain the marginal productivity theory of distribution.                                   12

 

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