Sandeep Garg Microeconomics Class 11: Chapter 1 Introduction

Sandeep Garg Class 11 Microeconomics Solutions Chapter 1 Introduction as per the revised syllabus of CBSE is explained by the expert Economic teachers from the latest edition of Sandeep Garg Microeconomics Class 11 textbook solutions. 

We at BYJU’S provide Sandeep Garg Economics Class 11 Solutions to give comprehensive insight about the subject to the students. These insights help as a priceless benefit to the students while completing their homework or while studying for their exams. 

In this article, we are providing you with the solutions from Microeconomics Chapter 1-  Introduction which will be useful for the students to score well in the board exams.

Sandeep Garg Solutions Class 11 – Part B – Chapter 1-Microeconomics

Question 1

What is an economy?

Answer:

Economy is a system that provides people with the means to work and earn a living.

Question 2

Define scarcity.

Answer:

Scarcity refers to a situation in which resources are insufficient to meet all the human wants.

Question 3

What are the major central problems of the economy?

Answer:

The major central problems are:

•       What to produce?
•       How to produce?
•       For whom to produce?

Question 4

What are the reasons for the economic problem?

Answer:

The three main reasons for the existence of economic problems are:

•       Scarcity of resources
•       Alternate uses of these scarce resources
•       Unlimited human wants

Question 5

What are the two branches of economics?

Answer:

Economics is classified into two parts, namely,

      Microeconomics: It is that part of economic theory which studies the behaviour of individual units of an economy.

      Macroeconomics: It is that part of economic theory which studies the behaviour of aggregates of the economy as a whole.

Students can also refer to – Introduction To Microeconomics

Question 6

Expand the term PPF.

Answer:

Production possibility frontier

True or False Questions

Question 7

The problem of ‘how to produce’ involves a choice between consumer goods and capital goods. (True/False)

Answer:

False

Question 8

The economy always operates on the production possibility frontier. (True/False)

Answer:

False

Question 9

The growth of resources shifts the production possibility frontier towards the right. (True/False)

Answer:

True