1. For downward movement along the iso-quant, MRTS of Labour per unit of capital (MRTSL,K) is given by

dK/dL

dK/dL

dL/dK

dL/dK


2. Charging a different price in different markets is called

price discrimination

second degree price discrimination

third degree price discrimination

perfect price discrimination


3. Which of the following is the most significant in stabilization policy

Private investment

Inventory investment

Autonomous investment

Public investment


4. The concept of vicious circle of poverty is associated with

Kindleberger

Schumpeter

Ragnar Frish

Gunnar Myrdal


5. Solow built his model as an alternative to

Kaldor's model of growth

Ranis-Fei model of growth

Harrod-Domar model of growth

Meade's model of growth


6. If interest payments are subtracted from gross fiscal deficit, the remainder will be

revenue deficit

gross primary deficit

capital deficit

budgetary deficit

7. Which of the following measures of central tendency will be the most appropriate to use if the data relate to rates, proportions and ratios

Arithmetic mean

Median

Harmonic mean

Geometric mean

8. Opportunity cost version of comparative cost advantage doctrine was introduced by

J.M. Keynes

Kindleberger

Haberler

Karl Marx

9. The most popular definition of sustainable development is given by

World Development Report

UNDP Report

Brundtland

IMF Report

10. During the planning period, highest growth rate was achieved during

eighth plan

tenth plan

ninth plan

seventh plan
11. Labour theory of value was propounded by

a. Adam Smith
b. David Ricardo
c. Ragnar Nurkse, Gunnar Myrdal, R.M. Solow
d. Fei-Rani's, Ragnar Nurkse

Codes

a and b

a and c

c

d


12. The features of the classical system are

a. Monetary factors determine output and employment.
b. Self adjusting mechanism of the economy.
c. State action to direct development.
d. Optimization through market in the absence of state control.

Codes

a and b

c

b and d

d


13. Concepts of displacement and concentration effect in public expenditure are attributed to

a. A.C. Pigou and J.K. Mehta
b. Alan T. Peacock and Jack Wiseman
c. Kenneth Arrow and Paul A. Samuelson
d. A.R. Prest and I.M.D. Little

Codes

a and b

b

c

d


14. Human Development Index is constructed with reference to

a. Life expectancy at birth, real GDP per capita, gross enrolment ratio, adult literacy rate.
b. Life expectancy at birth, real GDP per capita, combined gross enrolment ratio, adult literacy rate.
c. Life expectancy, GDP per capita, infant mortality rate, literacy rate.
d. GDP per capita, infant mortality rate, literacy rate

Codes

a and b

a and c

c

d

15. The unbalanced growth model was propounded first by

a. Albert O. Hirschman
b. H.S. Singer and Raul Prebisch
c. Kindel berger and Ragnar Nurkse
d. W.W. Rostow and Paul Streeten

Codes

a and b

a and c

a and d

a

16. Harrod-Domar model of growth is based on the concepts of and their equality

a. Population and productivity growth.
b. Investment and average growth rate of income.
c. Actual, warranted and natural growth rate.
d. Productivity growth and investment growth.

Codes

a and c

a and d

c

c

17. Factor endowment theory is also known as

a. Modern theory of international trade.
b. Classical theory of international trade.
c. Reciprocal demand theory.
d. Factor proportions theory of international trade.

Codes

a and b

b and c

a and d

c and d


18. Most important theory of increasing public expenditure is associated with

a. Adolph Wagner's hypothesis
b. Critical limit hypothesis
c. Administrative efficiency hypothesis
d. Stability of income hypothesis

Codes

a and b

a and c

a and c

c and d


19. Under the Bretton wood system, the long term development assistance was to be provided by
a. IBRD
b. IDA
c. IMF
d. All the above

Codes

a and b

c

b and c

d


20. The Planning Commission of India has recently announced the poverty line as
a. 42 per day per person for urban area.
b. 26 per person per day for rural areas.
c. 32 per person per day for urban areas.
d. 32 per day per person for rural areas.

Codes

a and b

a and c

b and c

c and d

21. Assertion There is a natural tendency to collude under oligopoly.

Reason Inter-dependence of firms in oligopolistic markets.

Codes

Both and are correct, but is not the correct explanation of

Both and are correct, and is the correct explanation of(A).

is correct, but is incorrect.

is incorrect, but is correct.

22. Assertion In short run, the marginal cost of output is the cost of additional labour and materials used in production.

Reason : Materials and labour used in production alone vary inshort run.

Codes

is correct and is incorrect.

is incorrect, but is correct.

Both and are correct and is the correct explanation of

Both and are incorrect.

23. Assertion Post reform liberal trade policies have stimulated India's growth.

Reason Private enterprise got opportunities to contribute to growth of Indian manufacturing industries. Codes

Both and are correct, and is the correct explanation of(A).

Both and are correct, but is not the correct explanation of

Both and are incorrect.

is incorrect, but is correct.

24. Assertion Use of goods and services from which one can be excluded are pure private goods.
Reason Such goods and services are not provided free by the State.
Codes

Both and are correct and is the correct explanation of(A).

Both and are correct, but is not the correct explanation of

is correct, but is incorrect.

is incorrect, but is correct.


25. Assertion country is poor because it is poor'.
Reason Income of a poor country is low, so its savings and investment are low. Low investment limits its productive capacity which leads to low output and income.

Codes
Both and are correct, but is not the correct explanation of

Both and are correct and is the correct explanation of(A).

is correct, but is incorrect.

is incorrect, but is correct.


26. Assertion All historical events are the result of a continuous economic struggle between different classes and groups in a society.
Reason This struggle is because of the conflict between the mode of production and the value attachedto the roles of different agents of production.

Codes

Both and are correct, but is not the correct explanation of

Both and are correct and is the correct explanation of(A).

is correct, but is incorrect.

is incorrect, but is correct.

27. Assertion K/L will adjust through time to the equilibrium value of the ratio.
Reason Technical coefficients of production are fixed.

Codes Both and are correct, but is not the correct explanation of

Both and are correct and is the correct explanation of

is correct, but is incorrect.

is incorrect, but is correct.

28. Assertion Investment has a demand effect.
Reason Investment augments the productivity and income in the economy.

Codes
Both and are correct and is the correct explanation of

Both and are correct, but is not the correct explanation of

is correct, and is not correct.

is incorrect and is correct.

29. Assertion Agriculture is the main source of livelihood of people in India.
Reason Measures for agricultural development should be undertaken.

Codes
Both and are correct and is the correct explanation of

Both and are correct, but is incorrect explanation of

is correct, but is incorrect.

is incorrect and is correct.

30. Assertion In the following regression equation Y a bX, shows the autonomous value of Y.
Reason If X Y a holds. Hence, a is the minimum value of Y which is independent of any influence of X on Y.
Codes
Both and are correct and is the true explanation of

is correct, but is not the correct explanation of

is correct, but is not correct.

is incorrect, but is correct.

31. Identify the order of chronological development of the theory of demand.

a. Marshall's theory of demand
b. Indifference curves
c. Revealed preference theory
d. Weak Preference ordering theory of demand.

Codes

b

c

d

d


32. Identify the correct chronological order of the following theories

a. Cambridge version of quantity theory of money.
b. Fisher's version of quantity theory of money.
c. Tobin's theory of demand for money.
d. Baumol s theory of demand for inventory.

Codes

b

c

c

d


33. Identify the correct chronological order of the following

a. Keynes consumption function
b. Life Cycle hypothesis
c. Relative income hypothesis
d. Friedman s permanent income hypothesis

Codes

c

d

b

a

34. Identify the correct chronology of stages of Marxian model of economic development.

a. Capitalist crisis
b. Capital accumulation
c. Surplus value
d. Materialistic interpretation of history

Codes

d

a

a

d

35. The sequencing process of Harrod s model of development is
a. Natural growth rate
b. Warranted growth rate
c. Actual growth rate
d. Divergence

Codes

a

d

c

b

36. Arrange the following summits of SAARC members in order in which these were organized

a. New Delhi
b. Bangalore
c. Islamabad
d. Kathmandu

Codes

b

d

a

d

37. Arrange the structure of balance of payments accounts in which these items appear

a. Capital account
b. Errors and omissions
c. Current account
d. Official settlements account

Codes

d

b

a

b


38. State the order of the appointment of the following as chairman of Finance Commission

a. K.C. Neogy
b. K. Brahamanand Reddy
c. N.K.P. Salve
d. A.K. Chanda

Codes

d

c

b

c


39. Indicate the sequence of the following in terms of the implementation.

a. Income Tax
b. Expenditure Tax
c. Value Added Tax
d. Fringe Benefits Tax

Codes

d

d

a

b


40. Determine the order in which the following were developed

a. Fisher's F test of significance of differences between the means of more than two samples.
b. Gossets t-test of difference between the means of two samples.
c. Pearson's correlation coefficient.
d. Spearmans rank correlation coefficient.

Codes

d

d

d

c


41. List I List II
a. Kinked demand 1. William curve hypothesis Baumol
b. Sales maximization 2. Paul Sweezy
model of oligopoly.
Social Welfare 3. Adam Criterion Smith
d. Law of Invisible hand 4. Bergson

Codes

a b c d

4 2 2 1

1 3 4

4 1 3

2 3 4 2

42. List I List II
a. Psychological Law 1. Irving of Consumption Fisher
b. Time preference 2. J.M. Keynes theory of interest
c. Public Choice 3. Mundell and View Fleming
d. Open Economy 4. Gorden IS-LM model Tullock


Codes

a b c d

3 2 4 1

4 1 3 2

2 1 4 3

1 3 4 2

43. List I List II

a. Mid-day meal 1. 2006 scheme
b. Implementation 2. 1995 of M-NREGA
c. Cash Reserve 3. Finance Ratio Commission
d. Divisible Taxes 4. Reserve Bank of India


Codes
a b c d

1 2 3 4

2 1 4 3

4 2 3 1

3 4 1 2

44. List I List II

a. Monetary Policy 1. Tax Rate
b. Trade Policy 2. Margin Money
c. Credit Policy 3. Imports and Exports
d. Fiscal Policy 4. Bank Rate


Codes

a b c d

4 3 2 1

4 2 3 1

3 2 1 4

2 1 4 3

45. List I List II
a. J.M. Buchanan 1. Canons of Public Expenditure
b. Findlay Shirras 2. Functional Finance
c. R.N. Bhargava 3. Public-Choice
d. A.P. Lerner 4.federal finance


Codes

3 2 1 4

3 1 4 2

2 3 1 4

1 4 3 2

46. List I List II

a. Organic Composition 1. Hirschman
of Capital

b. Doctrine of Natural 2. Schumpeter
Law
c. Innovation 3. Marx
d. Doctrine of 4. Adam Smith
Unbalanced Growth

Codes a b c d

3 4 2

4 3 1

2 1 3

1 2 4 1

47. List I List II
a. Low Income 1. Karl Marx Equilibrium Trap
b. Poverty Measurement 2. Adam Smith
c. Laissezfair 3. Nelson
d. Industrial 4. Suresh Tendulkar
Reserve Army

Codes
a b c d

1 2 4

3 4 2

4 3 1

2 1 3 3 1 2 4

48. List I List II

a. Law of Absolute Cost Advantage 1. Haberler
b. Doctrine of Comparative Cost Advantage 2. Hescher- Ohlin
c. Modern Theory of International Trade Smith 3. Adam
d. Opportunity Cost Principle 4. Ricard

Codes

a b c d

4 2 1 3

3 4 2 1

2 3 4 1

1 4 3 2

49. List I List II
a. Monetarism 1. R.F. Kahn
b. Employment multiplier 2. T. Havelmo
C. multiplier effect of balanced budget 3. john muth
D. rational expectation hypothesis 4. milton friedman
Codes
a b c d
2 4 3 1

4 1 2 3

1 3 4 2

3 2 1 4

50. List I LIST-II
a. Theory of Probability 1. Single value to represent distribution

b. Mean
2. Uncertain events
3. Mini replica of population
c. Normal Distribution 4. Symmetrical with almost total area with in M(mean) ma)
d. Sample

Codes

a b c d
1 2 3 4

4 3 2 1

2 1 4 3

4 1 2 3