PAPER-I
Time Allowed Three hours Maximum Marks 300
The figures in the margin indicate fUll marks for the questions
Candidates should answer Question Nos. 1 and 5 which are compulsory and
three from the remaining questions, selecting at least one from each Section
SECTION-A
1. Answer any three of the following questions in not more than 200 words each:
20x3=60

"The theory of distribution is only a special case of the theory of value." Discuss.


"Monetary policy is far more effective for controlling inflation than fiscal policy." Discuss.


Explain the classical doctrine of comparative costs. On what grounds has Ohlin criticised it?


What is 'ta,xable capacity'? Discuss the factors which determine the taxable capacity of a country.


2.
What is the need of credit control? Describe various methods of credit control adopted by a central bank. 60

3.
Distinguish between balance of payment and balance of trade. How would you remove deficit in balance of payments? Discuss. 60

4.
Discuss the basic needs approach as a measure of growth-human development indices. 60

5.
Answer any three of the following questions in not more than 200 words each 20x3=60


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Make a comparison among Ricardian, Marshallian and Walrasian approaches of price determination. "


Discuss the statement that the rate of interest is determined by the demand for and the supply of money.


What is deficit financing? Discuss its role as a means of capital formation in a developing economy.


Examine the economic integration schemes of developing countries.


6.
What is exchange rate? Discuss how exchange rate is adjusted under capital mobility. 60

7.
How can you measure economic growth? Whlilt are the benefits and costs of growth? Discuss. 60

8.
Examine the effects of public expenditure on production and distribution. 60



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