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Section B (10 marks each) |
| 2 |
What are
indifference curves? Explain the effect of an increase
in money income of a consumer on his consumption of (i)
normal goods, and (ii) inferior good , other things
being equal. illustrate with diagram. |
| 3 |
Define
micro economics. What is its place in economic theory?
How it is different from macro economics? |
| 4 |
What do you understand by the term
national income? what are various methods of estimating
national income? point out its imperfections. |
| 5 |
Explain the concept of multiplier and its
role in the theory of employment. Also describe the
limitations and leakages of multiplier. |
| 6 |
Discuss what do you consider to be the
most satisfactory explanation of a trade cycle. What
measure should be adopted to fight business
fluctuations. |
| 7 |
What are the causes of inflation? discuss
the various monetary and fiscal measures to combat
inflation. |
