Micro and Macro : The subject-matter of Economics has been divided into two parts - Micro-Economics and Macro Economics. In Micro-Economics we study the economic behaviour of an individual, firm or industry in the national economy. It is thus a study of a particular unit rather than all the units combined. The term Micro Economics is derived from the Greek word mikros, meaning “small”. We mainly study the following in Micro-Economics
Important Question : Which of the following statements is incorrect? (a) Most of the big industrial units in India are sick (b) The industrial pattern on the eve of independence was not balanced, (c) During the planning period, Indian Industrial structure has shifted in favour of basic and, capital goods and intermediate sector, (d) None of the above
Important Question : Which of the following is false about disinvestments? (a) As a result, the total realization of the government from various rounds of disinvestments has been much below the target, (b) The disinvestments was started in 1991-92, (c) Adequate efforts were not made to build up the much needed linkages between the public enterprises and the capital market, (d) None of the above
Important Question : The population of India living below the poverty line: (a) is rising in relative and absolute terms, (b) is falling in relative terms but rising in absolute terms, (c) is falling in both relative and absolute terms, (d) has not changed at all over the years
Important Question : Infant mortality rate refers to : (a) the number of children dying before reaching the school going age, (b) the number of children dying before reaching 3 years of age, (c) the proportion of children dying within a year of their birth, (d) none of the above
Important Question : Budgetary deficit can be expressed as: (a) The excess of pubic expenditure over public revenue, (b) The sum of deficit on revenue account and deficit on capital account, (c) That portion of government expenditure which is financed through the sale of 91 days, Treasury Bills and drawing down of cash balances, (d) All of the above
Important Question : Which of the following is correct? (a) Normative economics is not concerned with value judgment. (b) A market is a process that reconciles consumer decision, production decisions and labour decisions. (c) A mixed economy has a certain level of government intervention in the economy along with private sector ownership of the economy. (d) Both (b) and (c).
Important Question : Which of the following statements is false? (a) An indifference curve is concave to the origin, (b) An indifference curve is convex to the origin, (c) A higher indifference curve is better than a lower indifferent curve, (d) An indifference curve is a curve which represents all those combinations of two goods which give same satisfaction to the consumer.