Course:

Economics (402) Semester Spring, 2012 Level: B.A. Marks: 100 Assignment No. 1 (Units 1-4)

Q. No.1

Define economics by discussing different views about its definition (20)

given by the eminent economists. Also differentiate between microeconomics and macroeconomics with the help of some suitable examples. Q.No.2 What is meant by the term utility? Is the term utility synonymous (20)

to usefulness and satisfaction? Explain the law of diminishing marginal utility with the help of a table and diagram. Q. No.3 detail. Q.No.4 1. 2. 3. (20) Explain with the help of indifference curves that how a rational Write a note on the elasticity of demand and its measurement in

consumer attains equilibrium under these conditions?(20) Prices of the two commodities and income of the consumer remain unchanged. Price of one commodity decreases and income of the consumer remains unchanged. Prices of the commodities remain unchanged while income of the consumer increases. Q. No.5 Define and clarify the concepts of cost and revenue of a firm. How the total revenue, average revenue and marginal revenue of a firm are treated differently in the case of perfect competition and imperfect competition? Explain with the help of a table and diagrams. (20)

Assignment No. 2 Q.No.1 1. 2. Define a firm. Also discuss generally the equilibrium of a firm under (20) these two methods:

Difference in the total cost and total revenue Equating the marginal cost and marginal revenue Explain the different cases of the equilibrium of a firm under perfect (20) (20) Explain with the help of diagrams the equilibrium of a firm having What are the factors of production? Clarify their relative importance Write a short note on each of the following: b. d. Ricardian theory of rent Mean, Median and Mode (20)

Q No. 2. Q No.3 Q No. 4 Q. No.5 a. c.

competition in the short-run and long run.

monopoly power in the market in the short-run and long-run.

by discussing their definitions, characteristics, efficiency and mobility. (20) Net and gross profit Types of functions

Assignment No. 3 (Units 9-13) Q. No.1 Differentiate between Gross National Product (GNP) and Gross Domestic, Product (GDP). Explain different methods of measuring GNP and the items normally left uncounted. Also discuss how these methods can be reconciled. (20) Q. No.2 Q. No.3 Q.No.4 (20) Q.No.5. (i) (ii) (iii) (iv) Differentiate between: (20) Multiplier and Accelerator Inflationary and Deflationary gaps Commercial and Central bank Net National Product (NNP) and Net Domestic Product (NDP) What are the determinants of national income? Also discuss in detail (20) Explain different functions of money. Also discuss the Quantity Theory (20) Differentiate between balance of trade and balance of payment. Also Keynes view about consumption function. of Money in detail.

explain the structure of balance of payment and the four types of equilibrium in it.

Assignment No. 4 Q. No.1 What is meant by a commercial policy? Also discuss in detail the instruments of commercial policy. (20) Q. No.2 Enlist and explain different forms of public debts. Also write a note on the limits of public debts, their method of repayment and their burden on the society in detail. (20) Q.No.3. Define fiscal policy. Also discuss the importance of fiscal policy in achieving the economic stability of a country like Pakistan. (20) Q.No.4 Define economic development. Also write a detailed note on role of economic factors in accelerating the development process of a country like Pakistan. (20) Q.No.5. What is planning? Also discuss the process of planning in Pakistan by explaining Fifth Five-Years Plan as an example. (20)