BCOG-171 PRINCIPLES OF MICRO ECONOMICS in English Solved Question Paper June 2023

BCOG-171 PRINCIPLES OF MICRO ECONOMICS in English Solved Question Paper June 2023

PRINCIPLES OF MICRO ECONOMICS
Course Code: BCOG-171

1. (a) What is an economic system ? Explain the
fundamental/central problems of an
economy. 4+6
(b) Explain the law of demand with the help of
demand schedule and demand curve. 10
2. (a) What is supply ? How is it different from
stock ? 4+6
(b) Explain the concept of consumer’s surplus.
What are its limitations ? 4+6
3. (a) What are the assumptions of an
indifference curve ? 10
(b) How the various tools of government
intervention are applied while determining
the price ? 10
4. What is monopoly ? How does it differ from
perfect competition ? Explain the determination
of a monopolist’s equilibrium in the long
period. 2+8+10
5. (a) What is backward bending supply curve ?
Explain with an example. 10
(b) Explain how wage rates and employment
are determined in factor market. 10
6. (a) Why is long-run average cost curve “U”-
shaped ? Explain with the help of a
diagram. 10
(b) Distinguish between nominal and real
rates of interest. How are these interest
rates determined ? 5, 5
7. Write short notes on any four of the
following : 4×5=20
(a) Microeconomics and Macroeconomics
(b) Marginal utility of money
(c) Oligopoly
(d) Price ceiling
(e) Quasi rent