Distinguish between any four of the following:

Do you think that demand for labour is essentially derived in nature? Why does individual labour supply curve is backward bending?

Distinguish between monopoly and monopolistic competition. How does monopolistic competitive firm decide its price and output in short run period.

State the difference between variable cost and fixed cost. Explain the reasons for U shaped short run average cost curve.

Distinguish between laws of variable proportions and returns to scale. Why does law of diminishing returns operate?

What do you understand by the term ‘Equilibrium in real market and money market’? Is it possible to integrate both the markets in a way both the markets are in equilibrium? Discuss with diagram the techniques through which such an equilibrium can be attained

 The demand curve and the supply curve of the product is given as under:

Q_d=300-2P+4l

Q_s=3P-50

Where I is the average income measured in thousands of rupees, P is the price of the product, Q_d is the quantity demanded and Q_s is the supply of the product.

Find out the market clearing price and the quantity demanded if I=25.

Distinguish between price elasticity of demand and income elasticity of demand. How will you judge the quality of a good on the basis of value of income elasticity of demand?

?_? = −4000 + 2000?_x

?_? = 8000 − 1000?_x

Normal profit and abnormal profit.

Adverse selection and moral hazards.

Marginal physical product and marginal revenue product.

Distinguish between any two of the followings:

Discuss the relationship between marginal and average product curves.

Explain how does 'scarcity' lie at the root of all economic activities?

Explain with diagrams the approaches that are used to decompose the price effect into substation effect and income effect.

What do you understand by the term 'market failure'? Explain the various sources of market failure. Which policy instruments can be resorted to regulate the inefficient market situations?

Distinguish between public monopoly and private monopolist. How does public monopoly firm makes its price and output decisions? Illustrate.

What are implicit costs? How are these implicit costs estimated? Do you think that these costs be included as part of costs of production? Give reasons for your answer.