Economics Imp Questions

UNIT 1:
1. Explain the meaning and Scope of Managerial Economics.
2. Discuss the PPC curve in relation to scarcity of resources, choice and opportunity
cost.

UNIT 2:
3. What is Demand? Explain its type.
4. What are the various factors affecting demand?
5. Write in detail the law of demand.
6. Explain the concept of consumer surplus.

UNIT 3:
7. What do you mean by demand elasticity? Explain its significance for business
manager.
8. Elaborate the various methods of demand elasticity with their mathematical
expressions.
9. What are the various degrees of demand elasticity? Explain their application areas.
10. Explain the various methods of demand forecasting.

UNIT 4:
11. Law of Supply.
12. Effects of changes in Demand and Supply on Equilibrium. (6 diagrams)
13. How is supply analysis important? (significance)
14. Supply Function

UNIT 5:
15. Cobb Douglas Production Function with Limitations.
16. Production Function – assumptions, types, significance.
17. TP, AP, MP – with illustrations and explanation

UNIT 6:
18. Explain in detail, Economies and Diseconomies of Scale.
19. Explain the concept of Economies of Scale.

UNIT 7:
20. Explain in detail the different types of Costs.
21. Differentiate between:
a) Accounting and Economic Cost
 Economics Imp Questions

b) Marginal and Average Cost

c) Sunk and Opportunity Cost
d) Fixed and Variable Cost
22. Discuss Revenue function.
23. Examine Break-Even Analysis in detail.

UNIT 8:
24. Features on All 3 Markets
25. Price Equilibrium.
26. Oligopoly - Sweezy’s kinked demand curve.
27. Cartels, Collusion – short notes
28. Price leadership model.

UNIT 9:
29. Factors affecting pricing decisions. (markup, skimming, penetration, marginal)

UNIT 10:
30. Explain in detail Profit Management and its Significance in Market Economy.
31. Profit Management Policies.

UNIT 11 & 12:

32. Capital Budgeting
(meaning, process, steps, 2 methods – Pay back and Net present value method)

CASE STUDY