Micro Economics' 2019 | Gauhati University Question Papers | B.Com 1st Sem Hons | CBCS Pattern

 Gauhati University Question Papers
Micro Economics’ 2019
Paper: Com-GE-1046
Full Marks: 80
Time: 3 hours
The figures in the margin indicate full marks for the questions
Answer the Questions from either Option-A or Option-B
Answer either in English or in Assamese
OPTION-A
MICROECONOMICS (Honours Generic)
Paper: Com-GE-1046 (A)

1. (a) Choose the correct answer:   1x5=5

(i) What is the root cause of economic problems?

(1) Investment

(2) Savings

(3) Scarcity

(4) Population

(ii) If supply is fixed, then market price is determined by

(1) demand

(2) income

(3) cost of production

(4) supply

(iii) The total area under the demand curve of any goods measures

(1) MU

(2) TU

(3) consumer’s surplus

(4) producer’s surplus

(iv) If the price of Pepsi decreases relative to the price of Sprite and 7 Up, then the demand for

(1) Sprite will increase

(2) 7 Up will decrease

(3) Sprite and 7 Up will increase

(4) Sprite and 7 Up will decrease

(v) The shape of the demand curve faced by a firm under perfect competition is

(1) horizontal

(2) vertical

(3) positively sloped

(4) negatively sloped

(b) Answer the following questions:    1x5=5

(i) What is demand function?

(ii) Give an example of implicit cost.

(iii) What is selling cost?

(iv) State the law of demand.

(v) What is break-even point?

2. Answer the following questions in brief:         2x5=10

(a) What is microeconomics?

(b) What is the difference between fixed cost and variable cost?

(c) State the relation between AR and MR.

(d) What is Engel curve?

(e) What do you mean by ‘excess capacity’ of a firm under monopolistic competition?

3. Answer any four questions of the followings:   5x4=20

(a) Write a note on opportunity cost.

(b) Discuss the properties of indifference curve.

(c) Explain the possibilities of price discrimination under monopoly.

(d) Discuss the different types of production function.

(e) Write a short note on ‘economic region of production’.

(f) Explain the concept of cross-elasticity of demand.

4. Answer the following questions:       10x4=40

(a) Explain the different methods of measurement of price elasticity of demand. Mention the importance of price elasticity of demand in decision-making of a firm.         6+4=10

Or

Explain why an indifference curve for two normal goods is convex to the origin. Show with the help of indifference curve, how a consumer attains equilibrium.           4+6=10

(b) Distinguish between ‘returns to factor’ and ‘returns to scale’ in the context of production function. Discuss the laws of returns to scale.        5+5=10

Or

Define isoquant and isocost. Explain producer’s equilibrium with the help of isoquants.        4+6=10

(c) What are the basic objectives of a firm? Discuss how a firm maximizes its profit under perfect competition in short run and long run.             4+6=10

Or

Illustrate the effects of taxes and subsidies on demand and supply.               10

(d) What are the main features of monopolistic competition? Discuss the price-output determination process under monopolistic competition in long run.           5+5=10

Or

What is oligopoly? Explain the price-output determination process under price leadership in oligopoly.        4+6=10

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