B.COM I Economics

INSTRUCTIONS
Attempt FIVE questions selecting TWO from Micro Economics, TWO from Macro Economics and ONE from Economic System.

Marks are indicated against each question.

MICRO ECONOMICS

Q.1 (a). Define Price Elasticity of Demand.
Q.1 (b). Distinguish between
i. Price Elasticity of Demand
ii. Income Elasticity of Demand
iii. Gross Elasticity of Demand

Q.2 (a). Discuss consumer’s equilibrium with the help of indifference Curve Technique.
Q.2 (b). Explain the effect of a change in income of a Consumer on Consumer’s equilibrium.

Q.3 (a). Define the characteristics of perfect competition.
Q.3 (b). Explain with the help of diagrams short run the equilibrium of a firm firm under Perfect Competition.

Q.4. Write short notes on any TWO of the following:
1. Law of Diminishing Marginal Return
2. Change in quantity demanded and change in demand
3. ISO-Product Curve
4. Micro and Macro Economics

MACRO ECONOMICS

Q.5 (a). Distinguish between Consumption and consumption function.
Q.5 (b). Explain the factors which determine “Propensity to Consume”.

Q.6 (a). What is meant by Effective Demand.
Q.6 (b). How the equilibrium level of National is determined? Explain with the level of a diagram.

Q.7 (a). Define Investment and distinguish between Autonomous Investment and Induced Investment.
Q.7 (b). Explain the determinates of Investment.

Q.8. Write short notes on any TWO of the following.
1. Acceleration Principle
2. Concepts of N.I
3. Inflationary and Deflationary Gap
4. Concept of Full Employment Level.

ECONOMIC SYSTEM

Q.9. Define Economic System and compare the characteristics of Capitalism and Socialism.

Q.10. “Economic is the system of Islam is an Ideal Economic System”. Give arguments.