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Economics - 1998 (I.S.C)
You are on questions 1 to 9

- Answer Question 1 (compulsory) from part -I and four questions from Part-II, choosing two from     Section-A and two questions from Section-B.
- All working including rough work, should be done on the same sheet as the rest of the answer .
-Duration of the exam is three hours.


( PART  -  1 )

Q. 1 Answer briefly each of the items(i) to (xx) in this question: (20 marks)
Q.1(i) Who is the father of the modern macro-economic analysis ?
Q.1(ii) Mention two difficulties of the barter system.
Q.1(iii) What is the difference between progressive taxation and proportional taxation ?
Q.1(iv) What is the difference of GNP at factor cost and GNP at market price ?
Q.1(v) Explain 'Money illusion'.    
Q.1(vi) What is meant by 'Production' in the context of the trade policy of a country ?
Q.1(vii) How and why do open market operations take place ?
Q.1(viii) Which sections of the society gain the most due to inflation ?
Q.1(ix) Mentions the items included in the current account of the Balance of Payments.
Q.1(x)  Name the various elements of fiscal policy.
Q.1(xi)  What are the different types of unemployment usually found in the underdeveloped countries ?
Q.1(xii) Mention the most important function of the entrepreneur.
Q.1(xiii) Which institution is responsible for making plans for India's economic growth ?
Q.1(xiv)  Mention two economic causes of poverty in India.
Q.1(xv) Name the official agency; which regulates the  capital market in India. 
Q.1(xvi) What is the full form of 'MODVAT' ?
Q.1(xvii) Define a trade union.
Q.1(xviii) Mention an important cause of industrial disputes in India.
Q.1(xix) Mention two important objectives of long-term planning in India.
Q.1(xx) What is currently the Base Year of the Index number of wholesale prices in India ?

Section A    
Part II 
( ECONOMIC THEORY)


Q. 2 (a) What is macro-economics ? How is it different from micro - economics ? (10 marks)


Q. 2 (b) Explain the main functions of a commercial bank.  (10 marks)

Q. 3 (a) Discuss the weapons available with a central bank to control a persistent inflationary situations. (10 marks)

Q. 3(b) Explain the difficulties faced in comparing national income of various countries. (10 marks)

Q. 4 (a) Explain the basic objectives of the fiscal policy.  What are the instruments used to attain them and how ? (10 marks)

Q. 4 (b) Explain Fisher's quantity theory of money. (10 marks)


Q. 5 (a) Discuss the basic characteristics associated with an underdeveloped economy.
(10 marks)


Q. 5 (b) Critically examine the purchasing power parity theory of exchange rate determination. (10 marks)

 

SECTION - B
(INDIAN  ECONOMICS)

Q.6 (a) Mention the factors responsible for the growing inequalities in the distribution of income in India. How effective have been the official steps to remedy the situation ?      (10 marks)


Q.6 (b) Point out the major features of the Indian money market. (10 marks)

Q.7 (a) Outline the cause  of the slow progress of the trade union movement in India and suggest methods to strengthen. (10 marks) 


Q.7(b) What are the sources of finance for the Indiaan agriculturist ?
(10 marks)


Q. 8 (a) Discuss briefly the achievements of planning in India and its shortcomings. (10 marks)


Q. 8 (b) Point out the obectives of the policy of economic Liberalisation adopted by the Government of India.asic obj
. (10 marks)


Q. 9 Write short notes on any two of the following : (20 marks)
(a) Functions of the Reserve Bank of India.

(b) Main causes of unemployment in India.

(c) Functions of the Industrial Finance Corporation of India.



 
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