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Code -07
ECONOMICS
Time: 3 Hours
Maximum Marks: 150


Note: Attempt FIVE questions in all. All questions carry equal marks. Question No.1 is compulsory. Answer two questionsXrom Part and two questions from Part -II. The parts of same question must be answered together and must not be interposed between answers to other questions.
1. Write notes on any four of the following: (4x7.5=30)
India suffers from several serious problems like those of
regional disparities. Does deficit financing inevitably lead to inflation? Supply creates its own demand. The concept of consumer's surplus is hypothetical, imaginary
and illusory. Firm is a price taker not a price maker under perfect competition. The value of money, other things remaining same, varies inversely with its quantity.
PART-I

2.
Distinguish between 'balance of trade' and 'balance of payment' . What are the causes ofdisequilibrium in the balance ofpayments? How disequilibrium can be removed?

3.
Distinguish between 'cost-push' and 'demand-pull' inflation. Discuss measures to control inflation.

4.
Distinguish between perfect competition and monopoly. Discuss equilibrium of a fiml under perfect competition in short run and long nm both.


C-09/M-07 1 PTO.
PART-II

5. Describe causes of slow progress of land refonns in India. What eff011s have been made in this regard by the Government?
6. Discuss the effects oftaxation on the production and distribution with special reference to a developing country?
7. Critically discuss the industrial policy of 1991.

C-09/M-07
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