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ECO404 Current Final Term Papers Fall 2011 ( 03 Feb to 16 Feb 2012 )
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Had Ec0's paper today... Pattern as far as i remember: 56 or 57 mcqz 4 qz of 5 marks 4 qz of 3 marks Long qz,Public goods (5) A q from Behavioral theory (5) One q was about Costs of production,Analysis and reasons for change in historical n current costs(5) why firms produce more than one product )5) Risk attitudes (3) Change in demand cuvre factors (3) Transfer pricing (3)Marris model assumptions (3)
Difference between PERFECT COMPETITION and MONOPOLY
Simultaneous games and Sequential games
DEGREES OF PRICE DISCRIMINATION
MEASURING RISK WITH PROBABILITY DISTRIBUTIONS
CAPITAL BUDGETING PROCESS
PAYBACK PERIOD
Question # 1
Game which is played repeatedly over a period of time is known as:
Select correct option:
Repeated game
Non-repeated game
Simultaneous game
Sequential game
Question # 2
The questionnaires which include answers like Yes or No are called:
Select correct option:
Open ended questionnaires
Closed questionnaires
Bad questionnaires
Good questionnaires
Question # 3
Change in slope of the function can be shown by:
Select correct option:
First derivative of the function
Second derivative of the function
Elasticity of the function
Tangent of the function
Geometrically, the derivative refers to the slope of the function, while the second derivative
refers to the change in the slope of the function. The value of the second derivative can thus be
used to determine whether we have a maximum or a minimum at the point at which the first
derivative (slope) is zero.
The rule is if the second derivative is positive, we have a minimum, and if the second derivative is negative, we have a maximum.
Question # 4
The questionnaire which allows the respondents to answer according to their own choice is called:
Select correct option:
Open ended questionnaire
Closed questionnaire
Bad questionnaire
Good questionnaire
Question # 5
Break even output can be calculated as:
Select correct option:
Break even output = Total fixed cost / (Price – Average variable cost)
Break even output = Total variable cost / (Price + Average variable cost)
Break even output = Total fixed cost / (Price + Average fixed cost)
Break even output = Total fixed cost + (Price – Average variable cost)
Question # 6
Percentage change in profit due to one unit change in sales is known as:
Select correct option:
Degree of operating leverage
Economies of scale
Degree of freedom
Cost elasticity
Question # 7
Decreasing part of marginal product of labor curve shows which of the following law?
Select correct option:
Law of diminishing returns
Law of diminishing marginal utility
Law of demand
Law of supply
Question # 8
What will happen if there is an increase in wage rate?
Select correct option:
Short run cost curve will shift upward
Short run cost curve will shift downward
There is movement along the short run cost curve
No change will happen in the cost curve
Any change in the operating environment leads to a shift in short-run cost curves. For example,
a general rise in wage rates leads to an upward shift; a fall in wage rates leads to a downward
shift.
Question # 9
The term of regression was first used by:
Select correct option:
Milton Friedman
Francis Galton
Dominick Salvatore
J M Keynes
Question # 10
Monopoly firm breaks even at the point where:
Select correct option:
Average total cost = Price
Average total cost > Price
Average total cost < Price
Average total cost = Marginal cost
If ATC = P at best level of output, the monopolist breaks even,
and if ATC > P at the best level of output, the monopolist incur a loss.
Question # 11
Which of the following is the similarity of monopolistic competition with perfect competition?
Select correct option:
Small number of buyers and sellers
Free entry and exit of firms
Barriers to entry and exit of firms
Single buyer
Question # 12
Price always exceeds marginal revenue in which of the following market structures?
Select correct option:
Perfect competition
Monopoly
Monopolistic competition
Oligopoly
Given a downward sloping monopoly demand curve, price always exceeds marginal revenue
under monopoly
Question # 13
Given the total revenue equation: TR = 26Q, marginal revenue is:
Select correct option:
Q
26Q
26
26 + Q
Question # 14
Which of the following type of demand directly satisfy consumer desires?
Select correct option:
Direct demand
Indirect demand
Derived demand
Market demand
Direct demand : This model is appropriate for analyzing individual demand for goods and services that directly satisfy consumer desires. This is also labeled as consumer demand
Question # 15
Marginal product of labor is defined as the:
Select correct option:
Change in total product due to one unit change in labor
Change in average product due to one unit change in labor
Change in total product due to one unit change in average product
Change in total product due to one unit change in cost of labor
Question # 16
Average product of labor is defined as the:
Select correct option:
Total product / Labor input
Average product / Input
Total product / Average product
Total product / Cost of labor
Question # 17
Cournot oligopoly model was developed in:
Select correct option:
1830
1838
1840
1845
Cournot oligopoly model 1838
BERTRAND MODEL: 1883
Stackelberg Model 1934
Sweezy (Kinked-Demand) Model 1939
Question # 18
If price elasticity of demand for any product is constant, the demand curve of that product will be:
Select correct option:
Horizontal
Vertical
Rectangular hyperbola
Positively sloped
Some demand curves have constant elasticity; the Demand curve assumes the shape of a
rectangular hyperbola
Question # 19
Parameters of structural equations can not be estimated by -------------------- technique.
Select correct option:
Ordinary least square
Root mean square error
Simultaneous equation
Behavioral equation
we cannot use the ordinary least squares technique (OLS) to estimate the parameters of the structural equations
Question # 20
The total cost (TC) function is given as: TC = 200 + 80Q. What is the variable cost?
Select correct option:
80Q
250
340
200
.
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