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Questions to be referred

 Module 1

1. Explain the ten principles of economics in detail.

2. Explain the terms:

a. Opportunity cost

 b. Market

c. Types of market

3. What is demand Explain la! of demand Which are the factors affectin" demand

#. What is the difference bet!een $chan"e in demand% and $chan"e in &uantity

demanded% "raph your ans!er. 'lso explain !hat factors !ill cause $chan"e in

demand% and $chan"e in &uantity demanded%

(. )efine exceptions to the la! of demand.

*. )efine )emand +chedule and )emand ,ur-e Why demand cur-e slope do!n!ard

. What is shift in demand Explain !ith "raph.

/. What is supply Explain la! of supply. Write factors affectin" supply.

0. What are supply schedule the supply cur-e Why does supply cur-e slope up!ard

1. )efine shift in supply !ith "raph.

11. )efine the e&uilibrium of market.

12. Explain the chan"e in e&uilibrium !hen there is i4chan"e in demand ii4 chan"e in

supply iii4 chan"e in demand and supply both.

13. )efine the elasticity Explain 3 types of elasticity in brief.

1#. What is price elasticity of demand and explain the determinants of price elasticity of 

demand.

1(. Explain income elasticity of demand The ,ross Elasticity of )emand.

1*. )ra! different demand cur-es of elasticity and explain.

1. Explain different types of supply elasticities cur-es.

1/. What is the relationship of price total re-enue Explain !ith "raphs

10. 5o! does accountin" profit defer from economic profit 6i-e an example of an

opportunity cost that an accountant mi"ht not count as a cost. Why !ould the

accountant i"nore this cost

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2. )ra! a production function that exhibits diminishin" mar"inal product of labor. )ra!

the associated total cost cur-e.

21. )efine total cost7 a-era"e total cost mar"inal cost7 a-era"e -ariable cost7 a-era"e

fixed cost.

22. )ra! the mar"inal cost and a-era"e total cost cur-es for a typical firm. Explain !hy

the cur-es ha-e the shapes that they do !hy they cross !here they do.

23. )efine Economies of scale explain !hy they mi"ht arise. )efine diseconomies of 

scale explain !hy they mi"ht arise.

2#. The study of economics has many facets and the field is unified by se-eral central

ideas re"ardin" decision makin" of peoples7 their interaction the !orkin" of 

economy as a !hole8 explain. 1 principles4.

25. Why 'T, has a 98 shaped ,ur-e