EC 2105 – GENERAL ECONOMICS

(Also equivalent to EC 2103/3103)

Date & Time: 23/04/2007 / 1:00 – 4:00 Dept. No. Max. : 100 Marks

SECTION –A

Answer any FIVEof the following in 75 words (5×4=20 )

1.Write short notes on utility,want and demand.

2.How is equilibrium of a firm determined?

3.Explain the components of personal income.

4.What is selective credit control?

5.How can inflation be a sign of prosperity?

6.Explain the concept of non – developmental expenditure.

7.What is an iso-quant ?

Answer any FOUR of the following in 300 words (4×10=40)

8.Discuss the exceptions to the law of demand

9.How does the central bank control credit?

10.Explain the broader and narrow definition of money.

11.Distinguish between direct and indirect taxes.

12.What are the determinants of velocity of money ?

13.Discuss the difficulties encountered in barter system.

14.Explain the features of perfect competition .

Answer any TWO of the following in 900 words (2×20=40)

15.Elaborate the functions of commercial banks .

16.Discuss how income is determined in a two sector model.

17.Explain the determinants of consumption ,savings and investment

18.Discuss the significance of various costs & revenue concepts in production.