CBSE Class 12 Economics Sample Paper 2013 Set 05

SECTION-A

1. Define micro economics. 

2. What is meant by budget line? 

3. What happens to total expenditure on a commodity when its price falls and its demand is price elastic? 

4. Define production function. 

5. When is a firm called price taker? 

6. How is production possibility curve affected by unemployment of resources in the economy? Explain.

7. A consumer consumes only two goods X and Y and is in equilibrium. Price of X falls. Explain the reaction of the consumer through the utility analysis. 

8. Distinguish between explicit costs and implicit costs and give examples.

9. Explain the implications of the feature’ homogeneous products in a perfectly competitive market.

10. Due to the increase in population the demand for agricultural land has” increased”. But the supply of agricultural land is fixed. Explain two methods by which the demand for land can be “decreased”. 

11. What does the Law of Variable proportions show? State the behaviour of marginal product according to this law.

12. Define marginal cost. Explain its relation with average cost. 

13. Explain the conditions of consumers equilibrium with the help of indifference curve Analysis.

14. Explain the distinction between ‘’change in quantity supplied” and “change in supply”. Use diagram. 

15. Market for a good is in equilibrium. There is “increase” in supply of the good. Explain the chain of effects of this change. Use diagram

16. Define ‘Statutory Liquidity Ratio’. 

17. State the two components of money supply. 

18. State the Say’s Law of markets. 

19. In an economy, the value of MPC is 0.75. Calculate the value of multiplier. 

20. The Indian currency against US $ has appreciated from 50 to 40.What measure the Central Bank can follow to control the situation. 

Please refer to attached file for CBSE Class 12 Economics Sample Paper 2013 Set E