Economics Board Paper October 2014 with solution

 Economics Board Paper October 2014 with solution
 Q1. A. Fill in the blanks with proper alternatives given in the brackets:

(1) Microeconomics is a study of ____________
[whole economy/ individual economic unit / general price level/ national output]
(2) The slope of demand curve is ___________ in the case of relatively inelastic demand.
[flatter/ steeper/ horizontal / vertical]
(3) The book ‘The General Theory of Employment, Interest and Money’ was written by __________
[Marshall/ Keynes / Smith/ Ricardo]
(4) Every loan creates a ___________
[loss/ profit / deposit/ credit]
(5) _____________ is an example of direct tax.
[Excise duty/ Income tax / Sales tax / Gifts]

(B) Match the following Group ‘A’ with Group ‘B’
Group A
Group B
(1) Inferior goods
(a) Average Cost (AC)
(2) Reward of capital
(b) 1st April to 31st March
(3) Financial year
(c) Quantitative measure of credit control
(4) Bank rate
(d) Marginal cost
(5) Total Cost (TC) / Total Quantity (TQ)
(e) 1st January to 31st December
(f) Profit
(g) Interest
(h) Giffen goods

(C) State whether the following statements are true or false. (6)
(1) Demand for electricity is elastic. (TRUE)
(2) Supply is directly related to price. (TRUE)
(3) In monopolistic completion goods have no close substitutes. (FALSE)
(4) Barter system did not have any difficulty. (FALSE)
(5) D-mat account is useful to investors who deal in shares. (TRUE)
(6) Clearing house system economises the use of cash. (TRUE)

Q2. (A) Define or Explain the following  concepts (Any Three) (6)

 (3) Monopoly
(4) Land

(B) Give reasons or Explain the following statements (Any Three) (6)

Q3. (A) Distinguish between the following. (Any Three) (6)

(B) Write short notes on (Any Two) (6)

Q4. Write short answers for the following questions. (Any Three) (12)

Q5. Explain, with reasons, whether you Agree or Disagree with the following statements. (Any Three) (12)

Q6. Write explanatory answers. (Any Two) [16]