SAMPLE QUESTION PAPER - 2

Economics (030)
Class XI (2024-25)

Time Allowed: 3 hours Maximum Marks: 80

General Instructions:
1. This question paper contains two sections:
Section A – Micro Economics
Section B – Statistics
2. This paper contains 20 Multiple Choice Questions type questions of 1 mark each.
3. This paper contains 4 Short Answer Questions type questions of 3 marks each to be
answered in 60 to 80 words.
4. This paper contains 6 Short Answer Questions type questions of 4 marks each to be
answered in 80 to 100 words.
5. This paper contains 4 Long Answer Questions type questions of 6 marks each to be
answered in 100 to 150 words.
Section A
1. Assertion (A): Interpretation of data implies the drawing of a conclusion on the [1]
basis of the data analyzed in the earlier stage.
Reason (R): Calculation of value by different methods and tools for various
purposes is made to arrive at the last stage of study viz., interpretation of data.

a) Both A and R are true and R is b) Both A and R are true but R is
the correct explanation of A. not the correct explanation of
A.

c) A is true but R is false. d) A is false but R is true.

2. A composite price index based on the prices of a group of items is known as the [1]

a) Laspeyres Index b) CPI

c) Paasche Index d) Aggregate price index

3. When X increases, Y decreases but their ratio is not constant. What kind of [1]
correlation exist between X and Y?

a) Positive Linear b) Negative Linear

 c) Positive d) Negative Non Linear

4. Calculate price index number for 2004 taking 1994 as the base year from the [1]
following data by simple aggregative method:
Commodities A B C D E
Price (1994) (Rs) 100 40 10 60 90
Price (2004) (Rs) 140 60 20 70 100

a) 140 b) 150

c) 120 d) 130

5. An index that is designed to measure changes in quantities over time is known as [1]
the

a) Time index b) None of these

c) Quantity index d) Paasche index

6. Simple aggregate of quantities is a type of [1]

a) Quantity indices b) Quantity control

c) Both Quality control and d) Price control

Quantity Indices

7. 1 lac people attended the rally addressed by the Prime Minister in Delhi and 2 Lakh [1]
in Mumbai. These statistics are based on

a) Collection b) Accuracy

c) Estimation d) Reasonability

8. If you are interested in how the government expenditure have fluctuated over time, [1]
it would be best to use:

a) Pie graph b) Time series graph

c) Histogram d) Frequency Curves

9. Laspayer's index is based on [1]

a) Base year quantities b) Base year Prices

 c) Current year quantities. d) Average of current and base
year

10. Calculate the correlation coefficient between x and y and comment on their [1]
relationship
X 3 2 1 1 2 3
Y 9 4 1 1 4 9

a) 0.47 b) 0.25

c) 0.0 d) 0.99

11. In how many groups, different commodities have been divided while constructing [3]
the Wholesale Price Index in India?

12. Mean marks obtained by 100 students are estimated to be 40. Later on it is found [3]
that one value was read as 83 instead of 53. Find out the 'corrected' mean.

OR
The arithmetic mean of 1, 3, 5, 6, X and 10 is 6, then find the value of X.

13. From the following frequency distribution, prepare ‘less than’ and ‘more than’ [4]
cumulative frequency distribution.
Wages (in Rs.) 100-110 110-120 120-130 130-140 140-150
Number of Workers 4 12 20 7 5

14. Distinguish between classification and tabulation of data. [4]

OR
What is shown on X-axis and Y-axis of a graph?

15. “A good sample is generally based on correctness and continuity”. In the context of [4]
above statement explain the characteristics of good sample.

16. Calculate coefficient of rank correlation from the following data. [6]
X 48 33 40 9 16 16 65 24 16 27
Y 13 13 24 6 15 4 20 9 6 19
17. Compare mean, median and mode as measures of central tendency. Discuss the [6]
situations when one is more suitable than other.

OR
Wage rate of 19 workers is given below
Wages (in Rs.) 10 20 30 40 50
Number of Workers 4 5 3 2 5
Calculate arithmetic mean using step deviation method.

Section B
18. In the case of contraction of supply, we move: [1]

a) from upper point to lower point b) to left on the another supply

curve

c) to right on the another supply d) from lower point to upper point

curve

19. The problem of ‘ How to produce’ is making a choice between [1]

a) None of these b) Capital Intensive methods

c) Labour intensive methods d) Both of these

20. The steeper is the negatively sloped demand curve, the further below is the [1]
marginal revenue curve.

a) True b) May be

c) Can’t say d) False

21. The relationships between TR and MR when price fall is [1]

a) TR falls but MR rises b) TR rises but MR falls

c) Both rise in sales d) TR rises and then fall but MR

falls with sales

22. The relationship between AC & MC is [1]

a) AC continues to fall till MC is b) AC continues to fall till MC is

greater than AC less than AC
 c) AC continues to rise till MC is d) AC continues to fall till MC is
less than AC equal to AC

23. Assertion (A): There is a negative relationship between income and the demand of [1]
an individual.
Reason (R): Inferior goods are the goods the demand for which increases as the
income of the buyer rises.

a) Both A and R are true and R is b) Both A and R are true but R is
the correct explanation of A. not the correct explanation of
A.

c) A is true but R is false. d) A is false but R is true.

24. Under perfect competition, the firm earns normal profit in the long run because of: [1]

a) fee entry and exit b) large number of buyers and

sellers

c) absence of selling cost d) homogeneous commodity

25. The relationship between AR and MR when price is constant is [1]

a) AR> MR b) The values increase

c) The values decrease d) The values are same

26. Implicit costs are [1]

a) Same as explicit costs b) Total cost

c) Opportunity costs d) Imputed costs

27. In perfect competition, when the marginal revenue and marginal cost are equal, [1]
profit is:

a) Negative b) Average

c) Zero d) Maximum

28. What does a simple economy mean? [3]

OR
What is PP Frontier? Write its assumptions.
29. What is the minimum price ceiling? Explain its implications. [3]

30. Explain the difference between ‘change in demand’ and ‘change in quantity [4]
demanded’.

31. Differentiate between Short Period and Long period. [4]

OR
Giving reasons, Identify the equilibrium level of output and find profit at this output
using Marginal Cost and Marginal Revenue approach from the following table:
Output (units) 1 2 3 4 5
Total Revenue (Rs.) 10 20 30 40 50
Total Cost (Rs.) 12 22 30 40 52

32. Explain the concepts of [4]

i. Marginal Rate of Substitution (MRS),
ii. Budget line, with the help of numerical examples.

33. Explain the Law of Variable Proportion with the help of total and marginal physical [6]
schedule.

34. Answer the following questions [6]

(i) When price of a commodity falls by Rs 1 per unit, its quantity demanded rises [3]
by 3 units. Its Price Elasticity of Demand is (-) 2. Calculate its quantity
demanded if the price before change was Rs 10 per unit.

(ii) A consumer buys 30 units of a good at a price of Rs. 10 per unit. Price elasticity [3]
of demand for the good is (-)1. How many units the consumer will buy at a
price of Rs. 9 per unit Rs. Calculate.