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Economics 2014-2015 HSC Commerce (English Medium) 12th Standard Board Exam Question Paper Solution

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Economics
Marks: 80 Maharashtra State Board
HSC Commerce (English Medium)
HSC Science (General)
HSC Arts (English Medium)
HSC Science (Electronics)
HSC Science (Computer Science)
HSC Commerce: Marketing and Salesmanship

Academic Year: 2014-2015
Date & Time: 2nd March 2015, 11:00 am
Duration: 3h
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[16]1
[5]1.1
[1]1.1.1

The terms ‘micro’ and ‘macro’ economics were first used by ............................

(Marshall \ Ragnar Frisch \ Robbins \ Adam Smith)

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Chapter:
[1]1.1.2

The objective of a seller in monopoly market is...............................

(loss \ profit \ negative profit \ zero profit)

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Chapter:
[1]1.1.3

Marginal propensity to consume + marginal propensity to save ......................... '

(zero \ one \ less \ more)

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Chapter:
[1]1.1.4

Method of withdrawing money without going to the bank is by ...................................

(cheque \ demand draft \ ATM \ mail transfer)

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Chapter:
[1]1.1.5

The term 'budget' is derived from the ......................... word 'bougette'.

(Greek / German / French / Latin)

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Chapter:
[5]1.2 | Match the following
  Group 'A'   Group 'B'
a. Pen and ink 1 Quantity-price
b. Revenue 2 Accident
c. Insurable risk 3 Transfer income
d. Unemployment allowance 4 Short period
e. Reverse repo rate 5 Long period
    6 Change in demand
    7 Joint demand
    8 Quantity * price
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Chapter: [1.03] Analysis of Demand and Elasticity of Demand [3.1] Demand Analysis
[6]1.3 | State whether the following statements are True or False
[1]1.3.1

State whether the following statement is True or False.

Demand for perishable goods is inelastic.

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Chapter: [1.03] Analysis of Demand and Elasticity of Demand [3.1] Demand Analysis
[1]1.3.2

Total cost is the total expenditure incurred by a firm.

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Chapter:
[1]1.3.3

The seller is a price maker in the perfect competition.

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Chapter:
[1]1.3.4

Cheque is an optional money.

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Chapter:
[1]1.3.5

A bank is an institution which deals in money and credit.

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Chapter:
[1]1.3.6

The RBI was nationalised in the year 1935.

True

False

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Chapter: [2.06] Central Bank
[12]2
[6]2.1 | Define or explain the following concepts (Any THREE)
[2]2.1.1

Resource allocation

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Chapter:
[2]2.1.2

Elasticity of supply

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Chapter:
[2]2.1.3

Meaning and Definition of Market?

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Chapter:
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[2]2.1.4

Labour

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Chapter:
[2]2.1.5

Meaning and Definition of Macroeconomics

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Chapter:
[2]2.1.6

Meaning and Definition of Central bank?

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Chapter: [2.06] Central Bank
[6]2.2 | Give reasons or explain the following (Any THREE)
[2]2.2.1

Give reason or explain the following statement.

Micro economics studies individual economic unit.

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Chapter:
[2]2.2.2

Change in the price of substitute goods affects the demand for another goods.

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Chapter: [1.03] Analysis of Demand and Elasticity of Demand
[2]2.2.3

In order to avoid double counting, value added approach is used.

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Chapter:
[2]2.2.4

Effective demand is also called macro economic equilibrium.

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Chapter:
[2]2.2.5

The Central bank may take direct action against the defaulting commercial banks.

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Chapter: [2.06] Central Bank
[2]2.2.6

Unpaid services are not included in national income.

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Chapter:
[12]3
[6]3.1 | Distinguish between (Any THREE)
[2]3.1.1

Explain Place utility and Time utility?

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Chapter:
[2]3.1.2

Demand curve and Supply curve.

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Chapter: [1.03] Analysis of Demand and Elasticity of Demand [3.1] Demand Analysis
[2]3.1.3

Distinguish between Individual supply and Market supply.

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Chapter:
[2]3.1.4

Slicing method and Lumping method.

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Chapter: [1.01] Introduction to Micro Economics
[2]3.1.5

Convertible paper money and Inconvertible paper money.

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Chapter:
[2]3.1.6

Distinguish between revenue expenditure and capital expenditure. 

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Chapter: [8] Public Finance in India
[6]3.2 | Write short notes (Any TWO)
[3]3.2.1

Microscopic study

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Chapter:
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[3]3.2.2

Income elasticity of demand.

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Chapter:
[3]3.2.3

Determination of equilibrium price under perfect competition.

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Chapter: [1.05] Types of Market and Price Determination Under Perfect Competition
[3]3.2.4

Functions of an Entrepreneur.

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Chapter:
[12]4 | Write short answers for the following questions (Any THREE)
[4]4.1

Explain the law of diminishing marginal utility.

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Chapter:
[4]4.2

Explain the features of monopoly.

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Chapter:
[4]4.3

Explain the concept of Macro economics and its features.

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Chapter:
[4]4.4

Explain various types of investment expenditure.

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Chapter:
[4]4.5

Explain the secondary functions of money.

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Chapter:
[4]4.6

Explain different types of loans and advances provided by commercial banks.

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Chapter:
[12]5 | Explain with reasons whether you ‘agree’ or ‘disagree’ with the following statements (Any THREE)
[4]5.1

The law of equi-marginal utility is based on certain assumptions.

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Chapter: [1.02] Consumers Behavior
[4]5.2

Population is the only determinant factor of demand.

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Chapter: [1.03] Analysis of Demand and Elasticity of Demand
[4]5.3

There are no exceptions to the law of supply.

Agree

Disagree

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Chapter: [4] Supply Analysis
[4]5.4

Providing safe deposit vault facility is the only general function of commercial banks.

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Chapter:
[4]5.5

There is no difference between the Central bank and a commercial bank.

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Chapter: [2.06] Central Bank
[4]5.6

During the period of inflation surplus budget is advisable.

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Chapter: [2.07] Public Economics [8] Public Finance in India
[16]6 | Write explanatory answers (Any TWO)
[8]6.1

Explain in detail ‘saving function’ with schedule and diagram.

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Chapter:
[8]6.2

What is the elasticity of demand?

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Chapter: [1.03] Analysis of Demand and Elasticity of Demand [3.2] Elasticity of Demand

Explain the factors determining the elasticity of demand.

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Chapter: [1.03] Analysis of Demand and Elasticity of Demand [3.2] Elasticity of Demand
[8]6.3

What is ‘National income’?

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Chapter:

Explain the theoretical difficulties involved in the measurement of national income.

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Chapter: [7] National Income
[8]6.4

State and explain the ‘law of demand’ with its exceptions.

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Chapter: [1.03] Analysis of Demand and Elasticity of Demand [3.1] Demand Analysis

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