MICROECONOMICS CH : 7 PRODUCTION FUNTION AND RETURNS TO A FACTOR — Economics STD 11 Commerce — Question

Under perfect competition, commodities are heterogeneous in nature. (True/ False)

Price elasticity of demand is identical with slope of demand curve.

Which of the following statements are true or false? Give reason.
An economy always produces on but not inside the PP curve.

Giving reasons, state whenever the following statements are true or false:
With increase in level of output, Average Fixed Cost goes on falling till reaches zero.

The rate at which the consumer can substitute Good-X for Good-Y tends to decline as we move downward along the price line.

Giving reasons, state whether the following statement are True or False.
When government imposes more unit tax, supply of the concerned good increases?

In case of inferior goods, law of demand fails.

Firm's demand curve shows highest elasticity in a state of perfect competition.

State giving reasons, whether the following statements are true or false:As output is increased, the difference between Average Total Cost and Average Variable Cost falls and ultimately becomes zero.

Average fixed cost curve is a rectangular hyperbola.