Production and cost — Economics STD 12 Humanities & Commerce — Question

What happens to the equilibrium price of a commodity when its demand decreases? Show with the help of a diagram.

A producer borrows money and opens a shop. The shop premises is owned by him. Identify implicit cost and explicit cost from this information. Explain.

Giving reasons, classify the following into direct tax and indirect tax.

1. Wealth tax.
2. Entertainment tax.
3. Income tax.

What is the relation between Price and MC at equilibrium (when price falls with the rise in output)?

Define investment multiplier. How is it related to marginal propensity to consume?

Draw straight line supply curves with price elasticity of supply equal to (i) one, (ii) less than one (iii) more than one.

A consumer has ₹ 40 and both goods X and Y are priced at ₹ 20 and are available in integer units. (a) Give the bundles that this consumer can afford (b) give the bundles that cost exactly ₹ 40.

Suppose a consumer's preferences are monotonic. What can you say about her preference ranking over the bundles (10, 10), (10, 9) and (9, 9)?

Giving reason, classify the into stock or flow.
Foreign Investment.

What is meant by consumer’s equilibrium? State its condition in case of a single commodity.