WE—A / SECTION—A A, Frente wen we 7 ae errs 250 ed A aii; Answer the following questions in about 10 words each : 1OKSa5y fa) a eer ST en aT EL ATI =e IR Ri 1 Explain how equilibrium rate of interest and ineorhe are determined With the interaction of both product and money market. sesrain yr sagt 8s argue wel west frarat see aRterdt seal Bite Af) Distinguish between post‘Keynesian approaches to horizontalist. and Structuralist theory of endogenous money supply, sarees dame fee & order Foe afte 8 seer A, are Pay Explain how renewable resources will play a role in future economics, SS wis Se ae wpe yeaa aie a age Af teFentey see S Geen ahies Se F anh aA are arama Hater Afar Mention the classification of assets held by @ commercial bank. Discuss the problems faced by commercial bank due to rise in NPAs, fam fears $94 fete & deh arden fara A aren Aa Explain Myrdal’s cumulative causation theory as the theory for development. spies fares vn tar 87 veftia Hay PS steer 3 ge wise sah sree Fe aS fax aa 81 What is conjectural variation? Show how some models of oligopoly are derived on the basis of it. welts fifan, fe gear a apa em Pafas aa A ama thie wa cate Atal Feet eat Show that systematic monetary and fiscal policies are ineffective in controlling output and price level. () aifafto eta eh srrerata wen waren 87 en oy Waa Ef eR eH Hevea Bid i) wie An Fs fev ts oe a, a ae AN at eg se ) What makes technical progress endogenous? Do you think that technology is a ‘non-rival’ good? i fa) Show that if the research becomes more, suctessfil, the growth rate will increase and hence the standard of living, URC-U-ECON/11SG) er ion Fe wea ae eaee atten cH RT. SS. AA ey eet on ey Sm RY wae rae 3 fe arqers wen BP ty eT yt & fee ye ew BE Suppose that we have only two firms in the market with constant marginal Goats of G and G respectively such that C,>C,. What is the Bertrand equilibrium in this market? How is it different from the competitive equilibrium? 847-15. fo) “et Spal oA Re hte ge ae 2" a1 ong arene BP Sa fey a sere eA A gE Se SR Fe AA! “Even green energy is not always green.” Do you agree? Illustrate your answer taking biofiels as an example. 18 fo) Sie} ep sidoraean Ff Fraferfens ail oe tae fee om, i Rea sIy = 300 Pritfaa Fan = 200, , ‘qa facia = so NT = 250 ART = OL era-soit wah = 0-5 (2 33-5 (Y) 1500 sum &, snl (c) 600 81 zIeA HIN eae AR) fii) 2 vigel—overan 4 ora A svete wa sayfa a fits fre pn 8 Y-,) Ba a PA ea (i) ae er (i) 3 8 Vi % sir art sisbaraeen 3 erga Fase a f Bei foto tye he veh tm ein at Rae (aftat ¢ 000 ate AF, WES FTG ho Jo me staan ‘You are given the data on the following variables in-an economy : Government spending = 300 a Planned investment = 200 Net exports = 50 Autonomous taxes = 250 Income-tax rate = 0-1 Marginal propensity to consume = 95 4 a Join @CivilServicesPDFNy? Piggram Segnnel APOMaMeemer) Ae Qieaaeey Consumption (c) ig 600, ‘on (C) is 600, 9 autonomous consumption MMe income 4 couny tw ie 0 Solve for the equilibrium levels gp ba vor | Silig & and ¥i4)/in the two *otmarioe—preseney 4. noted thot the economy. Mil absence of ince On He iy fy (i) Solve for the change in net exports thar : output level in the economy with the fone i The cenit that you found in (@). Specity both the m 0 ANE eves change. B@hitude ang is (Rigures are int ‘000 crore, obviously except tax rate and ape) co 4 fa) S88 on om gs in ro ee ET RC) 2 6 a Seema ES ewe SSS ST Se ay; Oe Rats ae & eae ae (a ane 8909-1 AR wy she aha few yer Many countries’ subsidize some of their ex; i tries: Use g Partial equilibrium model under Perfect competi lustrate the following effects ofan export subsidy for a large () Which group is winning and which is losing from the subsidy? (0) alta an fr ister uth 7 Re Ge ae vtwtea. sata ale fra aa SH ara hy 4 Show how the idea of monopolistic Sompetition becomes intrinsic. endogenous growth theory as postulated by Romer, RC-U-BCONS, AL 4 Join @CivilServicesPDF = |Bf SECTION on SRM ere ees wr mie ve Aniieet tie fillieinn «7 @ Baw af) ag aoa ifiee, FER Ac NPA eI REN a sen EE eR wire : 4 State Arow's five reasonable conditions which a social welfare Gunetion mus, oe fiat wat} sear ene her, Fafa wait oA) een faa raational trade theory, discuss in detail the varigus stages oduct life cycle: sxefea reo 3 ore re Fae AN Pater | saue of compatibility between) international trade and ent sustainability. eta skoereat 3 wt A am a eat BA yA Aft A geen A ose ai curd #2 xh am & ay BHO ga SATE do you think that fiscal policy is more sons in support of your answer. mare Ta rapid economic 5 the context of a developing economy, efiective than’ monetary policy? Give FeAl wane anh site Fre 8 rs Pech ah A ART wee 8 how publiciprivate partnership helps 1 the opment of a country. ve dara 8, care oes wh Prana Reh ate Rath ation ato eerie aera et srrenfa 2 ow sore we TE BT a sah ay 6 oer afar eA me, ote A TAT ua Fi Beal 87 fay area, ae ah wort fie oe sgh 8 en AR STATE A Reseenst wy Ata sat BL cathe oie fir wrote Fara ra & atari ae starrer Aha weata eet Bh In an economy, the government is trying to boost the local economy by a massive advertisement ‘buy local—local is, bent’, Assuming that the public tend to be persuaded by the campaign, what effect might this have on the economy's multiplier? Critics argue that this is unfair and leads to distortions in free trade fi Examine how the economy performs here under flexible exchange rate system. 8+7=15 fl ) URC.U-Re URC-U-RCON/11 8; [P-T.0. Join @CivilServicesPDFJoin Our’ & Fare @ ones er ard 49 lier es Wee Se Reece i air & +g SSR Ae eae iat di i the a ey se by Tobin's ‘q' theory of investment? How wou, SM Funetions in the presence of Tobin's yer nt 4 tay () =e Any fas e | mia a Stns ast ats, often sam ate, Hh Hf Fag Explain how Ke ‘YNesian speculative d id expectation mo, lemand for money is restated in : : 5 re del. Point out its lim ec: itations. | a | 7 (a) aria ay SNF att tp ad i We siden 9 feare & ata tea a als Afar a SAGE USTs 87 er eng * : Bhi Describe Lewis model of dev elopment in an economy with unl ly ‘capital-driven? Give reasons. - limited suppl = Iabour. is Lewis model reall PHY of B75 ) Bara sac =/, Oy = 243 ta afte atom Hn eH P= 100-14, +4.) afta ‘Sees Feel oe seen oe weft fe fs get-Fer gen wc! 2 ge gS a a eget FH gern F sera yar wah &| caren fare Re ge ar wa Ri ‘Two firms produce homogeneous outputs with cost functions G; =q?,' and the inverse market demand function P=100~(g, 4g). Show that Cournot-Nash equilibrium, firm 2 makes higher profit than at the joint maximizing equilibrium, Explain why this is 80. (a) fea 8 fetta Sah & mea omer we sr yard A sifiqaR Rada A aren Aaa) wa ahead 3 mga ante arcei A Raen Aa) Explain the recent changes in the trade and investment flows among’ countries in the world. Discuss the major factors that led to these chanj we )ataraen Ae 8) aga, @ soairinetl aw em seater rem re) AT Sere are) terse "spd Behera eT a A a AA ; ‘economy with only two commodities, two consumers and two preducers ‘single oe manson derive the necessary conditions for Pareto ity in a ‘perfect’ economy, Join @CivilServicesPDFCe) era & fairer eat a Pade AAPG) forthe aefatiad seb “ann e Ra, ‘Arn rea wa wate tq ArheT Discuss different forms of subsidies. Explain how perverse subsidies arc — detrimental to the economy and environment the long run. 20 kk