Assignment (2023-24)

UNIT : Price Determination

CLASS: XI; SUBJECT: ECONOMICS
TEACHER’S NAME: HANISHA ARORA

1. Market for a commodity is in equilibrium. Demand for the commodity ‘increases’. Explain
the chain of effects of this change till the market again reaches equilibrium. Use diagram.
2. Explain the chain of effects of ‘increase’ in demand for a good.
Market of a commodity is in equilibrium Demand for the commodity ‘decreases’.
3. What is ‘excess demand for a good in a market? Explain its chain of effect on the market
for that Good. Use diagram.
4. Explain the chain of effect of excess demand of a good on its equilibrium price.
5. . What is meant by ‘excess supply of a good in a market? Explain its chain of effects on
the market for that good. Use diagram.
6. . Market for a good is in equilibrium. Supply of the good ‘increases. Explain the chain of
effects of the Change.
7. Explain the effects of ‘maximum price ceiling on the market of a good. Use diagram.
8. What are the effects of ‘price floor’ (minimum price ceiling) on the market of a good? Use
diagram
9. What is maximum price ceiling? On what type of goods is it normally imposed? Use
diagrams
10. What is maximum price ceiling? Explain its implications.
11. Explain the chain effects, if the prevailing market price is below the equilibrium price.
12. What is minimum price ceiling? Explain its implications Or Explain the meaning of ‘minimum’
price ceiling and its implications.
13. If the prevailing market price is above the equilibrium price, explain its chain of effects.
14. Good Y is a substitute of good X. The price of Y falls. Explain the chain of effects of this
change in the market equilibrium
15 Explain the chain of effects of the increase supply change till the market again reaches
equilibrium. Use diagram