The Standard Model

Q.

Mention the major functions of WTO.

Q.

What is the difference between microeconomics and macroeconomics?

Q.

Mention the major functions of WTO?

Q.

What is the meaning of quantitative restrictions?

Q.

What Three Entities Make Up the Circular Flow Model?

Q. Fill in the blanks with appropriate alternatives given in the brackets.

1) The terms Micro and Macro Economics were first used by _______________. (Adam Smith/ Robbins/ Ragner Frisch/ Marshall).

2) Micro Economics is a study of _________. (Whole economy/ general price level/ National output/ Individual economic unit).

3) Micro Economics is also called as ________________. (Income theory/ Price theory/ Growth theory/ Employment theory)

4) Micro Economic analysis adopts __________________ method. (lumping/ aggregative/ Slicing/ inclusive)

5) Micro Economics is a __________________________ equilibrium approach. (partial/ general/ total/ multi-variable).

Q. State whether the following statements are TRUE or FALSE.

1) Dr. Marshall is known as the Father of Economics.

2) Micro Economics studies theory of firm.

3) Micro Economics deals with allocation of resources.

4) Micro Economic theory assumes full employment.

5) Micro Economic theory suggests policies to solve problem of inflation.

Q. what is the meaning of liberalisation of foreign trade? what does it mean in indiancontext?

Q. Positive economic analysis __________

1. Compares the desirability of alternative government policy outcomes
2. Provides a framework within which we can study how some groups are better off than others
3. Analyzes the sources of improvements in the standard of living that result from favourable government policies
4. Is based on observed cause and effect relationship in the economy

Q. what can be used reduce foreign trade

Q. Centralised planning was first adopted in the economy of _____.

1. Russia
2. Poland
3. India
4. China

Q. Answer the following questions

What is the importance of Micro Economics?

Q. The economic policy of restricting trade in order to shield domestic industries from competition is called .

1. protectionism
2. globalisation
3. Free Trade Agreement
4. Export Quotas

Q.

The establishment of the US Federal Reserve is an example of which of the following aspects of the standard model?

1. Protectionism

2. Creation of national markets

3. Adoption of technology

4. Creation of national bank

Q. Which of the following policies of a country brings a crucial impact on the economic growth of the nation?
A. Fiscal policy
B. Foreign policy
C. Social policies

1. Only (A) and (B)
2. Only (A)
3. Only (B)
4. Only (B) and (C)

Q. Which of these is a normative statement?

1. Forward trading in commodity market has led to inflationary conditions in food grains.
2. Export of onion has created shortage of domestic supply of onions.
3. None of the above.
4. Forward trading in commodities ought to be banned to curb rising prices.

Q.

Which of the following is not part of the 'Standard Model of Development'?

1. Mass education

2. Creation of a national bank

3. High internal tarrifs

4. Adoption of technology

Q. Economic laws are essentially _________.

1. conditional
2. rigid
3. neutral
4. unconditional

Q. Laissez faire policy is adopted in

1. Socialistic economic system
2. Capitalistic economic system
3. Mixed economic system
4. Communist economic system

Q. Whose definition studies normative aspect of economics?

1. Adam Smith
2. Robins
3. Marshall
4. Samuelson

Q. Write short notes on :

Importance of Micro Economics

Q. Microeconomics analysis adopts ________ method.

1. Slicing
2. Lumping
3. Aggregative
4. Inclusive

Q. Choose the five key areas of the Standard Model.

1. Mass Education
2. Protectionism
3. National Market
4. Banking Growth
5. Modernisation
6. Tariff Abolition
7. Low Wages
8. Labour-intensive

Q. State whether the following statements are True or False.
New Economic Policy of 1991 aimed at liberalisation of Indian Economy.

1. True
2. False