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1. Dibrugarh University (Arts and Commerce stream)
2. Gauhati University (Commerce, Arts and Science Stream)
3. Class 12 (Assam Board - Arts and Commerce Stream)

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Monday, January 02, 2017

Dibrugarh University Question Papers: Business Economics (May' 2016)

2016 (May)
Course: 202
(Business Economics)
Time: 3 hours
The figures in the margin indicate full marks for the questions
Full Marks: 80
Pass Marks: 24

1. Answer the following as directed:                                       1x8=8
a)      The main problems faced by the Business Managers can be divided into two parts (i) decision making and (ii) ____. (Fill in the blank)
b)      Making successful business forecast is the responsibility of a managerial economist. (State True or False)
c)       ‘The price of the commodity’ is a factor of demand function. (State True or False)
d)      If tea and coffee are substitute goods, then the cross-price elasticity of demand will be
                                 i.            Equal to zero.
                               ii.            Negative.
                              iii.            Positive.
                             iv.            None of the above.
(Choose the correct answer)
e)      Other things remaining the same, the supply of a commodity ____ with rise in its price and ____ fall with a fall in its price. (Fill in the blanks)
f)       Define production function.

g)      In a perfectly competitive market, equilibrium production and ____ are determined where marginal cost curve cuts marginal revenue curve from below. (Fill in the blank)
h)      A firm makes maximum profit when it is in equilibrium. (State True or False)
2. Write on the following in brief:                                                             4x4=16
a)      Four characteristics of business economics.
b)      Four factors affecting price elasticity of demand.
c)       Increasing returns to scale.
d)      Internal economies of a business firm.
3. (a) Discuss the role and responsibilities of a business manager in business economics.                                               8+6=14
(b) Discuss the various problems of an economy.                                                                              14
4. (a) Define price elasticity of demand. Discuss the importance of price elasticity of demand.                     4+10=14
(b) Explain the importance of elasticity of supply in business economics. Discuss the factors determining elasticity of supply.                                                 6+8=14
5. (a) What is an iso-product curve? Explain the different properties of iso-product curves.                          2+12=14
(b) Define expansion path. Discuss how it can be derived with the help of budget line and iso-product curve. 4+10=14
6. (a) What are the basic objectives of a business firm? Discuss how a firm maximizes its profit under perfect competition.                                                 6+8=14
(b) Explain the characteristics of a perfectly competitive market. Why does a firm under perfect competition make only normal profit in the long run?                                                     10+4=14
Full Marks: 80
Pass Marks: 24
1. Answer the following as directed:                                                                                       1x8=8
a)      Making successful business forecast is one of the responsibilities of a managerial economist. (State True or False)
b)      Price mechanism is based on two strong opposite forces. (State True or False)
c)       A perfectly elastic demand curve is parallel/perpendicular to the base. (Choose the correct answer)
d)      Cross-elasticity of demand is applicable in case of two categories of goods (i) substitute goods and (ii) ____. (Fill in the blank)
e)      Internal economies are enjoyed by a business firm due to a decrease/increase in its scale of operation. (Choose the correct answer)
f)       An iso-product curve can never be horizontal or vertical to the base. (State True or False)
g)      How many firms are there in a monopoly market?
h)      Under which market form, a firm is a price taker?
2. Answer the following questions in brief:                                                          4x4=16
a)      Mention four problems of an economy.
b)      Discuss any four types of demand.
c)       Mention at least four elements of demand forecasting.
d)      Mention four characteristics of iso-product curve.
3. (a) Discuss the role and responsibilities of a manager in business economics.                  7+7=14
(b) Mention the characteristics of business economics. Discuss the different problems of business economics. 7+7=14
4. (a) What is price elasticity of demand? Explain the practical utility of price elasticity.                                     4+10=14
(b) What do you mean by elasticity of demand? Explain different methods of measurement of price elasticity of demand.     3+11=14
5. (a) Discuss the law of variable proportions with the help of suitable diagram.                  14
(b) What do you mean by economies and diseconomies of large-scale production? Discuss the different factors influencing economies and diseconomies of large-scale production.                               6+8=14
6. (a) State the features of a perfectly competitive market. Explain the conditions of short-run equilibrium of a firm under perfect competition.                      8+6=14

(b) How does a businessman fix his equilibrium price in monopoly market? Discuss the factors influencing the fixation of this price.                                            5+9=14


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