Krishna Public School

Half Yearly Paper

Economics Marks: 80

1. Identify the correct statement (1)

a. statistics deal with individuals
b. statistics are true only on an average
c. statistics deal with qualitative statement only
d. statistics do not help in condensing mass data into a few numerical measures.
2. Assertion- Economic problem is essentially a problem arising from the necessity of choice.
Reason- Since given resources are limited and have alternative uses, an individual has to make a choice to
which want (according to intensity) should be satisfied with limited resources. (1)
a. Both Assertion and Reason are true and reason is the correct explanation of the assertion.
b. Both Assertion and Reason are true and reason is not the correct explanation of the assertion.
c. Assertion is true but Reason is false.
d. Assertion is false but Reason is true.
3. ________ (Primary/Secondary) data need to be adjusted to suit the objective of study in hand. (1)
4. Statement 1- Indirect oral investigation method is used when information is required by radio, newspapers,
TV etc, which need to be supplied with regular and continuous data.
Statement 2- Under indirect oral investigation method data are original as information is collected directly
from the informants. (1)
a. Both the statements are true
b. Both the statements are false.
c. Statement 1 is true and statement 2 is false.
d. Statement 2 is true and statement 1 is false.
5. Statement 1- Discrete variables are finite and represent an exact value in the series.
Statement 2- Continuous variables are expressed as a range. These can be of any value (integral as well as
fractional) within the limits. (1)
a. Both the statements are true
b. Both the statements are false.
c. Statement 1 is true and statement 2 is false.
d. Statement 2 is true and statement 1 is false.
6. Identify the incorrect set of statements from the sets of statements given below in column I and column II.
(1)
Column I Column II
(i) Frequency distribution of two a. Bivariate frequency distribution.
variables
(ii) More than cumulative frequency b. Less than cumulative frequency
series. series.
(iii) Continuous Series. c. Grouped frequency distribution.
(iv) Class size d. Difference between the upper limit
and the lower limit of a class interval.
a. I-a
b. ii -b
c. iii -c
d. iv -d
7. Average profits of a company is: (1)
a. A discrete variable
b. A continuous variable
c. Both a and b
d. Neither a and b
8. Identify the type of table on the basis of Construction (1)
9. Division of workers on the basis of education and literacy levels is qualitative classification of data. True or
False (1)
10. Identify the incorrect statement from the following (1)
a. Ogive is constructed by representing individual frequency distribution.
b. Ogive is constructed in the form of a smoothed curve.
c. Frequencies of all preceding class intervals are summed up to the frequency of a class to construct less
than ogive.
d. Frequencies of all succeeding class intervals are summed up to the frequency of a class to construct more
than ogive.
11. What is direct personal investigation? Give its one merits and demerits. (3)
OR
Differentiate between census and sample method of statistical enquiry on the basis of cost, accuracy and
verification.
12. Convert the following series into an exclusive series: (3)
x 100-109 110-119 120-129 130-139 140-149
f 26 24 37 19 9
13. Explain any four limitations of statistics. (4)
14. Convert the following data into less than and more than cumulative frequency distribution: (4)
Marks 0-10 10-20 20-30 30-40 40-50 50-60
No. of 60 70 100 150 80 40
students
OR
Prepare a frequency distribution by inclusive method taking class interval of 7 from the following data
28, 17, 15, 22, 29, 21, 23, 27, 18, 12, 7, 2, 9, 4, 1, 8, 3, 10, 5, 20, 16, 12, 8, 4, 33, 27, 21, 15, 3, 36, 27, 18, 9, 2,
4, 6, 32, 31, 29, 18, 14, 13, 15, 11, 9, 7, 1, 5, 37, 32, 28, 26, 24, 20, 19, 25, 19, 20, 6, 9
15. Out of 1000 workers in a factory A, 650 are male employees. 128 female employees and 328 male employees
belong to urban areas. Out of 800 workers in factory B, 450 are female employees. 250 male employees and
150 female employees belong to rural areas. Tabulate the above information in a suitable schedule. (4)
16. You want to launch a new variety of battery cell in South Delhi. To enquire about demand for it, which type
of survey you will make?
Explain the method and write its suitability, advantages and disadvantages. (Any one) (6)
17. Construct histogram and frequency curve from the following data: (6)
Marks (more 0 10 20 30 40 50
than)
No. of 49 44 36 21 10 4
Students
OR
Draw ‘less than ogive’ and ‘more than ogive’ from the given data. Also determine the median value
X 0-20 20-40 40-60 60-80 80-100
Y 10 20 40 20 10

18. Economic problem arises due to (1)

a. Scarcity of resources
b. Unlimited wants
c. Resources can be put to alternative uses
d. All of these
19. Statement 1- ‘For whom to produce’ is the problem that relates to the distribution of income.
 Statement 2- Growth of resources is possible only when the economy generates more resources. (1)
a. Both the statements are true
b. Both the statements are false.
c. Statement 1 is true and statement 2 is false.
d. Statement 2 is true and statement 1 is false.
20. A consumer of two goods A and B is in equilibrium. The prices of good A and B are Rs 10 and Rs 20
respectively. If MUB is 60 utils then, _____ is the value of MUA. (1)
21. A consumer prefers to buy more of ‘Y’ as compared to ‘X’ when: (1)
a. MUX = PX
b. MUX > PX
c. MUX/Px < MUY/PY
d. MUX/Px > MUY/PY
22. Statement 1. The slope of indifference curve is different at different points of the curve.
Statement 2. Slope of indifference curve is not measured by marginal rate of substitution. (1)
a. Both the statements are true
b. Both the statements are false.
c. Statement 1 is true and statement 2 is false.
d. Statement 2 is true and statement 1 is false.
23. Points at which the consumer is indifferent____ (1)

Indifference
curve

a. D
b. A and D
c. A and B
d. R
24. The factor which causes movement along the demand curve is (1)
a. Price of the commodity
b. Income of the consumer
c. Price of other goods
d. Tastes of the consumer
25. Assertion- The demand of normal goods varies directly with income. (1)
Reason- The demand curve of normal goods shifts to its right with fall in income of the consumer.
a. Both Assertion and Reason are true and reason is the correct explanation of the assertion.
b. Both Assertion and Reason are true and reason is not the correct explanation of the assertion.
c. Assertion is true but Reason is false.
d. Assertion is false but Reason is true.
26. Assertion- If close substitutes of the commodity are available, its demand is going to be highly elastic
because a very small increase in price would make its consumer shift to other products.
Reason- Demand of the commodity is likely to be inelastic if there is absence of close substitutes. These
goods will have less elastic demand. (1)
a. Both Assertion and Reason are true and reason is the correct explanation of the assertion.
b. Both Assertion and Reason are true and reason is not the correct explanation of the assertion.
c. Assertion is true but Reason is false.
d. Assertion is false but Reason is true.
27. Choose the correct pair of statements, from the set of statements given in column I and column II. (1)
Column I Column II
a. Diverse i. Highly
uses of the elastic
commodity demand
 b. Perfectly ii. 𝑃𝑒𝐷 = ∞
inelastic
demand
c. Perfectly iii. % ∆𝑄 =
elastic %∆𝑃
demand
d. 𝑃𝑒𝐷 𝑄𝑡.𝐷𝑒𝑚𝑎𝑛𝑑𝑒𝑑
iv. 𝑃𝑟𝑖𝑐𝑒

28. Explain how Scarcity and Choice go together. (3)

OR
Distinguish between Micro economics and Macroeconomics.
29. Explain the three properties of the indifference curves. (3)
30. Why should marginal rate of substitution diminish for a stable consumer’s equilibrium? (4)
OR
a. What is a budget line? What does the point on it indicate in terms of prices?
b. A Consumer consumes x and y. Her money income is Rs 24 and the prices of x and y are Rs 4 and Rs 2
respectively. Answer the following questions:
i. Can the consumer afford a bundle 4x and 5y?
ii. What will be MRSxy, when the consumer is in equilibrium? Explain.
31. There are train and bus services between Chandigarh and New Delhi. If train fare between the two cities
comes down, how will it affect the demand curve for bus travel? Use Graph. (4)
32. Distinguish between expansion of demand and increase in demand with the help of diagrams. (4)
33. A consumer consumes only two goods X and Y whose prices are Rs 4 and Rs 5 per unit respectively. If
consumer chooses a combination of two goods with Marginal Utility of X equal to 5 and that of Y equal to 4.
Use utility Analysis. (6)
34. I) State true or false (1.5 +1.5 + 3)
a. More the number of substitutes of a good available, higher is its price elasticity of demand.
b. Law of demand explains quantitative relationship between price and quantity demanded.

II. Price elasticity of demand of a commodity is -1.5. When its price falls by Rs 1 per unit, its quantity
demanded rises by 3 units. If quantity demanded before price change was 30 units, what was price at this
demand?