Commerce (English Medium) इयत्ता १२ - CBSE Important Questions for Economics

Explain its chain of effects on the market of that good. Use diagram

What is the difference between revenue expenditure and capital expenditure? Explain how taxes and government expenditure can be used to influence.

Equilibrium price of an essential medicine is too high. Explain what possible steps can be taken to bring down the equilibrium price but only through the market forces. Also explain the series of changes that will occur in the market.

Explain the implications of large number of sellers in a perfectly competitive market.

Explain why there are only a few firms in an oligopoly market. 

Explain the concept of ‘fiscal deficit’ in a government budget. What does it indicate?

When is a firm called ‘price-taker’?

Draw average revenue and marginal revenue curves in a single diagram of a firm which can sell more units of a good only by lowering the price of that good. Explain. 

Market for a good is in equilibrium. There is an ‘increase’ in demand for this good. Explain the chain of effects of this change. Use diagram. 

Explain the ‘redistribution of income’ objective of Government budget.

Classify the following statement into positive economic or normative economic, with suitable reason:
Government should try to control the rising fiscal deficit.

Answer the following question.
Define Price Floor. State the likely consequence of this type of intervention by the government.

Suppose you are a member of the "Advisory Committee to the Finance Minister of India". The Finance Minister is concerned about the rising Revenue Deficit in the budget.
Suggest anyone measure to control the rising Revenue Deficit of the government.

Answer the following question.
Explain the meaning and implications of the maximum price ceiling and minimum price ceiling.

State whether the following statement is true or false. Give reasons for your answer :
When the equilibrium price is greater than the market price there will be excess supply in the market.

Answer the following question.
How are capital expenditure different from Revenue expenditure?  Discuss briefly.

Answer the following question:
The market for a good is in equilibrium. How would an increase in an input price affect the equilibrium price and equilibrium quantity, keeping other factors constant? Explain using a diagram.

Define "Trade surplus" and "Trade Deficit".

Compare the trends depicted in the figures given below:

Figure 1: Trends in Fiscal deficit and Primary deficit	Figure 2: Fiscal deficit as a percent of Budget estimate

‘Under the Ayushmaan Bharat Scheme, the Government provides free medicines to the economically backward section of the society’.

Identify and discuss the nature of the government expenditure indicated in the given statement.