1. In the standard adjoining diagram, the measure of consumer surplus is

<img src='./qimages/2110-1.jpg'><br><br>

PA

OB

AO

AB


2. A cartel aims at maximising


individual profits

industry profits

share of output of members

goodwill of the members


3. The statement that, "no one can be made better off without making someone worse off" describes which of the following

Pareto Optimum

Nash Equilibrium

Low level Equilibrium Trap

Cournot's Equilibrium


4. Slutsky equation explains the


Demand for durable goods.


Supply of durable goods.

Split between price, income and substitution effects.


Demand for rare or non-reproducible goods






5. L shaped average cost curve is witnessed in the large firms because

Only the law of increasing returns operates.


The law of constant returns to scale operates.


Only the law of constant return operates.


The operation of law of decreasing returns is continuously postponed.


6. Consider the following statements regarding the long run equilibrium in the monopolistic market.

I. Firms are in no profit no loss situation.
II. There is no entry or exit of the firms.
Which among the above statements are true Answer from the code below

Code

Only I is true.

Only II is true.

Both I and II are true.

Neither I nor II are true.


7. Which of the following is not a problem of Insurance Markets


Adverse selection

Moral Hazard

Asymmetric Information

Principal-agent problem


8. In consumption, inferior goods have

Negative income effect

Positive income effect

Zero income effect

Infinite income effect



9. Consider the following statements

I. Inflation is advantageous to debtors.
II. Inflation is advantageous to the bond-holders.
Which of the statements given above is/are correct

Codes

I only

II only

Both I and II

Neither I nor II


10. 'Near money' is correctly defined as an

asset which has 100% liquidity.


asset which has no store of value function.


asset which is a medium of exchange.


asset which fulfils the store of value function and can be converted into a medium of exchange at a short notice.

11. Match the following
List I List II
(Multiplier)

A. MPC 0.2 K 2
B. MPS 0.5 K 1.66
C. MPS 0.75 K 1.33
D. MPC 0.4 K 1.25
Select the correct answer from the codes given below

Codes
A B C D













12. In the context of steady state growth in Solow s model, the output growth rate overtime will be

increasing

decreasing

constant

fluctuating


13. Who among the following economists assume dualism in the economy

I. Ranis and Fei
II. D. Ricardo
III. Robert Solow
IV. R. Harrod

Answer from the codes given below

Codes

All the four above

Only I and II

Only IV

II and III


14. Who among the following, originally, formulated the 'Turnpike Theorem'

Dorfman, Samuelson and Solow

Radner

Koopmans

Von Neumann and Morgenstern


15. Backward and forward linkages are relevant for which kind of growth strategy

Unbalanced growth

Trickle down growth

Balanced growth

Equilibrium growth


16. 'Reserve Army of labour' term was used by who among the following economists

J. Schumpeter

J.R. Hicks

Karl Marx

T.R. Malthus
17. Which production function admits both Harrod-neutral and Hicks-neutral technical progress

Cobb-Douglas

C.E.S.

V.E.S.

None of the above


18. Match the following
List I List II
(Plan Model) (Proposer)

A. Bombay Plan Sriman Narayan
B. Gandhian Plan M.N. Roy
C. People's Plan Jai Prakash Narain
D. Sarvodaya Approach Birla and Tata Group
Select the correct answer from the codes given below

Codes
A B C D













19. Which among the following is not a criterion for declaring special category state

Over population

Poor infrastructure

Hilly and difficult terrain

Non-viable state finances


20. For the testing of consistency and viability of a planning project, which of the prices are used

Market Price

Shadow Price

Administered Price

Controlled Price


21. In which of the Five Year Plans in India, for the first time an extensive input-output model was used

First Plan

Second Plan

Third Plan

Seventh Plan


22. Who among the following economists developed the Reinvestment-Criterion

Walter Galenson and Harvey Leibenstein


A. K. Sen

Maurice Dobb


None of the above


23. Area approach to decentralised planning in India was advocated by who among the following

D.R. Gadgil

K.N. Raj

Raj Krishna

Pranav Mukherjee


24. Which amongst the following is included in the Capital account of the Balance of payments

I. Foreign loans
II. Foreign Direct Investment
III. Private Remittances
Choose the correct answer from the codes below

Codes

All the three.

I and III

II and III

I and II


25. Which amongst the following options is correct for a teaser loan

It is an introductory rate of interest.


This rate is permanent in nature.


Both and are correct.


Neither nor are correct.


26. The movement of free international trade is most likely to generate short-term unemployment in which of the following industries

Industries in which there are neither imports nor exports.


Import competing industries.


Industries that sell to domestic and foreign buyers.


Industries that sell to only foreign buyers.


27. Which among the following will be classified as non-tariff barrier

I. Phyto-sanitary measures. II. Import and export licensing.
III. Countervailing duty IV. Environmental standards
Select the answer from the code given below.

Codes

All the four above.

I and II

I and IV

III and IV


28. Who developed the use of trade indifference curves in the analysis of trade theory

J.E. Meade

A. Marshall

A.P. Lerner

B. Ohlin


29. Which among the following is not the main areas of BASEL III norms

Risk Coverage

Bank branch expansion

Adequate capital provision

Adequate liquidity



30. Which among the following is most volatile flow of foreign exchange

Foreign Direct Investment

External Commercial borrowings

Foreign Portfolio investment

Foreign aid by IMF and World Bank


31. State Governments in India finance their Gross fiscal deficit by

I. Loans from the Central Government.
II. Market Borrowings.
III. External Borrowings.
Select the correct answer from the codes given below

Codes

I and II

II and III

II only

I only


32. 'Make in India' campaign aimed at attracting industrialists to make India a Global Manufacturing Hub was launched on

September 25, 2014

March 20, 2015

February 25, 2016

December 30, 2015


33. The Second Green Revolution in India is necessiated by
I. Productivity in agriculture is stagnating.
II. Diversification of agriculture has not progressed much.
III. Exports of agricultural commodities have declined.
Select the correct answer from the codes given below


Codes

I and II

II and III

I and III

I only


34. Which among the following is not included in the Small Savings Scheme

Unit Trust of India

National Savings Certificate

Kisan Vikas Patra

Sukanya Samridhi Accounts Yojana

35. In which of the following year, all tax revenues of Centre have become shareable among the Centre and States

2000 AD

2003 AD

2007 AD

1998 AD


36. Which arrangement of following would show the correct sequence of demorgraphic transition as typically associated with economic development
I. High birth rate with high death rate.
II. High birth rate with low death rate.
III. Low birth rate with low death rate.
Select the correct answer from the codes given below

Codes

II III

II, I III

III, II I

III II


37. If with the increase in income, the percentage of income collected as tax remains constant, tax will be called

regressive

progressive

proportional

neutral


38. Consider the following liquid assets
I. Demand deposits with the banks.
II. Time deposits with the banks.
III. Saving deposits with the banks.
IV. Currency
The correct sequence of these in the ascending order of liquidity is


Codes

IV, III, II, I

IV, III, II

II, III, IV

IV, III, II



39. Given the budgetary parameters including public expenditure remaining the same, then as a result of imposition of a tax, if the pattern of distribution of income changes, then such an incidence is called

Effective incidence

Monetary incidence

Relative incidence

Specific tax incidence


40. Assertion The sale of T-bills is conducted through an auction.

Reason The method helps in price discovery. Select the answer from the code below
Codes

is true, but is false.

Both and are true.


is false, but is true.

Both and are false.


41. The social cost curve lies above the private cost curve for the producer in case of which of the following

Positive externalities

Negative externalities

Public goods

Near-public goods


42. Which one of the following is true in case of Performance and Programme Budgeting System

Its emphasis is on outcome only.


Its emphasis is more on outcome and less on expenditure allocation.


Its emphasis is on expenditure allocation only.


Its emphasis is more on expenditure allocation and less on outcome.


43. Who among the following has developed the concept of 'Effective incidence' of a tax

Ursula K. Hicks

J.R. Hicks

H. Dalton

A.C. Pigou


44. Voting fails to generate the efficient quantity of a public good because

Lobbying groups use bribes to change people's votes.


Public goods are not depleted by consumption.


Public goods cannot be withheld from consumption.


Voting does not accurately reflect the magnitude of benefits from public goods.



45. Which of the following item of expenditure is not a part of the plan expenditure

Agriculture

Defence

Industry

Social Services


46. The Time Series of production yielded following Trend equation Y 136 e0.021 T. Where Y Production, T Time. From this equation it can be inferred that growth rate of Y in percent terms is

0.021

2.1

21

0.21


47. Which is not a sampling distribution

Student's distribution

Fisher's distribution

Poisson distribution

.2 (chi square) distribution


48. Co-efficient of correlation is independent of which of the following

Change of origin only

Change of scale only

Change of origin and scale

None of these


49. Which of the following is not satisfied for independence of two events A and B

P

P

P

P


50. Match the items in List-I and List-II and answer from the codes given below

List I List II
Standard Deviation Positively skewed distribution

Stratified Random Sampling Analysis of attributes

Coefficient of Association Measure of dispersion

Mean Mode Probability based sampling


Codes