1st Pre - Board Question paper -2013 -14

KENDRIYA VIDYALAYA SANGATHAN, SIRSA REGION

FIRST PRE – BOARD EXAM.2013 – 14

CLASS - XII ECONOMICS.

Q1. What is meant by’ economizing of resources’?

Q2. What happened to the MU when total utility is maximum ?

Q3. Whay is demand for water is inelastic?

Q.4. Define fixed cost.

Q5. In which market form average revenue and Marginal revenue of a firm are always equal.

Q.6. What does a production possibility curve show? When will it shift to the right?

Q.7. Demand for electricity has increase, however supply cannot be increased due to lack of resources. Explain how in two ways demand for electricity can be decreased.

Q.8. Define budget line. How the budget line change if the consumers income decreases to

         Rs. 20 from Rs.40 but the prices remains unchanged.

Q.9.  Explain the relationship between SVC and MC with the help of curve.

Q10.Distinguish between monopoly and monopolistic forms of market.

Ans.

                                                         OR

Complete the following table: -

OUTPUT	PRICE TAKER	T R	MR
1 2 3 4	10 - - -	- 14 - 12	- - 1 -

Q11. How the nature of the commodity and No. of affect the elasticity of demand explain

          with example.

                                                                                  OR

   A consumer buys 80 units of a good. At a price of Rs. 5 per unit. Suppose, the price elasticity of demand is (-) 2. At what price will be buy 64 units.

Q.12. Explain the effect of the following on the supply of a commodity.

 (a) Fall in the price of factor input.

(b)  Increase in taxes.

Q13. The TR & TC value a of a firm are given in the following schedule. Calculate MR and MC and determined the level of output. Give reason for your answer.

Ans.

Q.14. What is meant by return to a factor? State the law of increasing returns to a factor. Give 

         to a factor?

Q.15. What are the condition of consumer’s equilibrium under the indifference curve

        Analysis ? Explain the help of a diagram.

          

Q.16. Explain the effect of equilibrium price and equilibrium quantity in the following cases (Use diagram)

(a) Demand curve shift to the left.

(b) Supply increases when demand is perfectly inelastic.

( c) Increase in supply more than increase in supply.

                                                        PART – B

Q.17.  What is full bodied money?

Ans.

Q.18. If Planned saving are greater than planned investment, what will effect on inventories?

Ans.

Q.19. If the value of MPC is 0.8. Calculate the value of multiplier.

Q.20. Define CRR.

Q21. What is the likely effect currency depreciation and devolution on Foreign trade?

Q.22. How you will treat  the following while calculating National Income. Give reason: -

      (i)  Production for self consumption.

(ii) Expenditure of construction of a house.

(iii) Salary received by an Indian resident working in US embassy in New Delhi.

Q.23. From the following data calculate Net Value Added at Factor cost.

Sr. No.	Particulars	Rs.
1 2 3 4 5 6 7	Purchase of intermediate goods. Sales Import of raw materials Depreciation Net indirect taxes Change in stock Export	500 750 50 60 100 -30 20

24. Distinguish between Final goods & Intermediate goods with examples.

                                           OR

   Distinguish between Factor income and Transfer income.

25. Explain two sources of each of demand and supply of foreign exchange.

26.State the component of current account of balance of payments.

27. Explain the meaning and implication of revenue deficit.

                               OR

        Complete the following table: -

Income	Saving (Rs.)	MPC	APC
0	-20
50	-10
100	0
150	30
200	60

28. Categories the following Government receipt into Revenue & Capital receipts. Give reasons for your answer.

(a) receipts from sale of share of  a public sector under taking.

(b) Income tax received by govt.

© Grants from foreign government.

(d) Recovery of loans.

29. Define government budget . State any three objectives of government budget.

30. Explain the process of money creation by commercial banks giving a numerical example

                                       OR

    In an economy the consumption function C = 500 + 0.8Y, where C is consumption expenditure and Y is income , I = 800

(i)                 Equilibrium level of income.

(ii)               Consumption expenditure at equilibrium level.

Q31. Explain the problem of excess demand in an economy with the help of diagram. Explain the role of bank rate in correcting it.

Q.32. From the following data calculate GNP at MP by Income method and expenditures method: Income method and expenditure method: -

Sr. No.	Particulars	Rs.
1 2 3 4 5 6 7 8 9 10 11 12	Compensation of employees Profits Mixed Income of self employed Rent Interest Private final consumption expenditure Net domestic capital formation Consumption of fixed capital Net Export Govt. final consumption expenditure Net indirect taxes Net factor income from abroad.	400 250 300 80 70 700 120 100 (-) 10 350 60 (-) 10

…………………………………………………………………………………………………………

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QUICK REVISION BEFORE EXAMS.

QUICK REVISION FOR BEFORE EXAMS.

1. What is Micro economics?

Ans. It is study of scarcity and choice problems facing an individual economic unit.

2. What are the components of micro economics?

Ans. Price theory, Welfare Theory, Theory of international trade.

3. What is meant by Macro Economics?

Ans. Macro economics is the study of aggregates in the economy.

4. What are the aggregates of the economy?

Ans. (i) Aggregate consumption,(ii) Aggd. investment (iii) Aggd. Demand

         (iv) Aggd. Supply (v) Domestic income (vi) General Price level.

5. What is economic problem?

Ans. The problem of choice arising from the use of scare means to the satisfaction of various ends is known as an economic problem.

6. Why does an economic problems arise?

Ans. 1. Unlimited wants having different priorities. 2. Unlimited means to with alternative uses. 3. Adjustment wants and means.

7. Name the Central problems.

Ans. i. Allocation of resources. ii. Fuller utilization of resources.

          iii. Growth of resources.

CLASS = XII , ECONOMICS QUESTION PAPER - 2013 (MARCH)

CENTRAL BOARD OF SECONDARY EDUCATION

CLASS = XII - (ALL INDIA)

ECONOMICS QUESTION PAPER - 2013 (MARCH)

SECTION - A

1. Define marginal revenue.                                                                                                         (1)

2. What does right ward shift of demand curve indicate?                                                             ( 1.)

3. Under which market form a firm is price taker?                                                                        (1)    

4. When is the demand for good is perfectly inelastic?                                                                  (1)

5. Give one reason to 'increase' in supply of a commodity.                                                           (1)

6. How is demand of a good affected by a rise in the prices of the other goods?                            ( 3)

7. A firm  supplies 10 unit of a goo d at price of Rs. 5 per unit. Price elasticity of supply is 1:25 . What

     quantity will the firm supply at a price of Rs.7 per unit?                                                             (3)

8. Explain the meaning of diminishing  marginal rate of substitution with the help of a numerical

      example.                                                                                                                                (3)                                                                                                                                            

9. From the following table , find out the level of output at which the producer will be in equilibrium . Give reasons for yours answer.                                                                                                              (3)

Output	Marginal Revenue	Marginal Cost.
1 2 3 4 5	8 8 8 8 8	10 8 7 8 9

10. Why is the demand curve of a firm under Monopolistic competition more elastic than under monopoly?  Explain.                                                                                                                                             (3)

                                                                                     OR

Why  is the demand curve of a firm under monopolistic competition more elastic than under monopoly ? Explain.                                                                                                                                            (3)                                                                                                                                                             

11. Equilibrium price of an essential medicine is to high. Explain what possible steps can be taken to bring down the equilibrium price but only through the market forces. Also explain the series of changes that will occur in the market.                                                                                                                              (4)                            

12. Explain the meaning of opportunity cost with the help of production possibility schedule.                   (4)                     

OR

With the help  of suitable example , explain the problem of 'for whom to produce'.                           

13. A 5 percent fall in the price of a good raises its demand from 300 unit to 318 units. Calculate its price

      elasticity demand.                                                                                                                          (4)                                                                                                                               

14. Explain three properties of indifference curves.                                                                               (6)                                                                               

OR

 Exp[lain the consumer's equilibrium under indifference curve approach.                                                (6)

15. If equilibrium price of a good is greater than its market price, explain all the changes that will take place in the market. Use diagram.                                                                                                                 (6)

16. Giving increase, state whether the following statements are true or false: -                                        (6)

(i) Average product will increase only when marginal product increases.

(ii) With increase in level of output, average fixed cost goes falling till it reaches zero.

(iii) Under diminishing returns to a factor , total product continues to increase till marginal product reaches zero.            

                                                                      SECTION - B       

17. Give two examples of intermediate good.                                                                                   (1)

18. State the component supply of money.                                                                                       (1)

19.What can be one steps taken through market to reduce  the consumption of a product harmful for health.                                                                                                                 (1)

20. How can Reserve Bank of India help in bringing down the foreign exchange rate which is very high?                                                                                                                               (1)

21. What is revenue deficit?                                                                                                             (1)

22. Explain the ' medium of exchange function of money.                                                                  (3)

OR

Explain the ' Lender of exchange' function of money.                                                                        (3)

23. Distinguish between revenue receipt and receipt receipts. Give an example of each.                    (3)

24. How can budgetary policy be used to reduce in equalities of income?                                         (3)

25. Explain the effects of depreciation of domestic currency on exports.                                            (3)

26. How is exchange rate is determined in the foreign exchange market?                                           (3)

27. Calculate sale from the following data: -                                                                                      (4)

Sr. No.	Items	Amount in Lakhs
1.	Subsidies	200
2.	Opening stock	100
3.	Closing stock	600
4.	Intermediate consumption	3,000
5.	Consumption of fixed capital	700
6.	Profit	750
7.	Net Value added at factor cost	2,000

28. Distinguish between "real gross domestic product and " Nominal" gross domestic product . Which is a better index of welfare of the people and why?                                                                                 ( 4)

                              OR

Distinguish between stock and flows. Give two example of each.                                                      (4)

29. Explain the credit  creation role commercial banks with the help of a numerical example            . (4)

30.  From the data given below about an economy, calculate (a) Investment expenditure and (b) consumption expenditure.                                                                                                                 (6)

(i) Equilibrium level of income.  =    5000

(ii) Autonomous consumption  = 500

(iii) Marginal propensity to consume. = 0.4

31.  Explain the meaning of under - employment equilibrium. Explain two measures by which full - employment equilibrium can be reached.                                                                                             (6).

32. Calculate " Gross Nation Product at Market Price" from the following data: -                           (6)

     

Sr. No.	Items	Amount in Crores
1.	Consumption of employment	2,000
2.	Interest	500
3.	Rent	700
4.	Profits	800
5.	Employer's contribution to social security scheme	200
6.	Dividends	300
7.	Consumption of fixed capital	100
8.	Net indirect taxes	250
9.	Net export	70
10.	Net factor income from abroad	150
11.	Mixed income self -  employed.	1,500

                                                                              OR

Calculate " Gross National Disposable Income" from the following data:

Sr No.	Items	Rs. in Crores
1	Net domestic product at factor cost	3,000
2	Indirect taxes	300
3.	Net current transfers from rest of the world	250
4	Current transfer from the government.	100
5	Net factor income from abroad	150
6	Consumption of fixed capital	200
7	Subsidies	100

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