ST.

JOHN'S SCHOOL, SEC 7A,

FARIDABAD ECONOMICS

ASSIGNMENTS

CLASS XI (2023-2024)
MICROECONOMICS CHAPTER
1(INTRODUCTION)

1 Which of the following is a salient feature of factor or resources

a) These are limited as compared to want
b) These have alternative uses
c) Both a and b
d) None of the above

2 The point of optimum utilisation of resources lies on which side of PPC curve
a) Towards left
b) Towards right
c) Inside
d) Upwards

Consumer behaviour is studied in

3 a) Micro economics
b) Macroeconomics
c) Income theory
d) None of these

The word micro was firstly used by

a) Marshall 4
b) Boulding
c) Keynes
d) Ragnar frish

5................................. Economics is the study of individual units

Micro and macroeconomics are...........................each other
6

7 State true or false

a) production possibility curve is convex towards main point
b) central problem in the capitalistic economy is solved by price mechanism

Match the following

8

A B
1) The mechanism of A) capitalistic economy
microeconomics
2) basic economic problem B) all resources are efficiently used

3) no state interference C) price analysis

 4) no restriction on trade D) limitation and selection

5) Main assumption of PPC E) Open Economy

10
11

MICROECONOMICS CHAPTER 2 (THEORY OF DEMAND AND ITS ELASTICITY)

1 In which goods price fall does not make any increase in demand
a) necessity good
b) comfort goods
c) luxury goods
d) none of these

contraction in demand appears when

2 a) price Rises and demand fall
b) price Rises and demand also Rises
c) price remain stable and demand Falls
d) price Falls but demand remains stable

3 the demand curve of a good shift from DD’ to dd

a) Fall in price of goods

b) rise and price of goods
c) rise in the price of substitute goods
d) rise in the price of complementary goods
4 Following figure shows

a) high elastic demand

b) perfectly elastic demand
c) perfectly inelastic demand
d) inelastic demand
5
6

7 Consider the demand for a good. At price Rs 4, the demand for the good is 25 units.
Suppose price of the good increases to Rs 5, and as a result, the demand for the
good
falls to 20 units. Calculate the price elasticity?

8 8 units of a good are demanded at a price of 7 per unit. Price Elasticity of Demand
is (-) 1. How many units will be demanded if the price rises to8 per unit?

9 Explain the effect of the following on Price Elasticity of Demand of a commodity,

(i) Number of substitutes (ii) Nature of the commodity.
10 Law of demand happens due to application of law of diminishing
marginal productivity. explain

Explain with the help of diagrams, the effect of the following changes on the
demand of a commodity: 11

(i) A rise in price of Substitute good.

(ii) A rise in price of Complementary good.

12 Suppose there are two consumers in the market for a good and their demand
functions are as follows: D1(p)=20−P for any price than less 20, and D1(p)=0 at
any
price greater than or equal to 20. D2(p)=30−2P for any price less than 15
and D2(p)=0 at any price greater than or equal to 15. Find out the market
demand function.

Chapter -7 Supply

1 A vertical supply curve parallel to Y-axis implies that the elasticity of supply is:
(a) Zero (b) Infinity
(c) Equal to one
(d) Greater than zero but less than infinity
2
The supply of a good refers to:
(a) Actual production of the good.
(b) Total existing stock of the good. (c) Stock available for sale.
(d) Amount of the good offered for sale at a particular price per unit of time

3 Elasticity of supply is measured by dividing the percentage change in

quantity supplied of a good by .
(a) percentage change in income
(b) percentage change in quantity demanded of good
(c) percentage change in price
(d) percentage change in taste and preference

Fill in the Blanks

4 1. Supply curve is When supply is perfectly elastic.
2. Elasticity of supply is for durable goods.
3. Supply schedule is which shows different quantities of a
commodity supplied at different prices during a given period of time.
4. Price of commodity is related to its supply.
5. Quantity supplied changes with change in of the commodity. 6.
Supply curve shifts to a new supply curve when supply
decreases.

5 Read the following Case Study carefully and answer the questions on the basis
of the same:-
Price Elasticity of Supply is Positive so far, we have seen that the concept of
elasticity of supply is similar to the concept of elasticity of demand. However,
there is one difference. Elasticity of supply will always have a positive sign as
against the negative sign of elasticity of demand. It happens because of the
direct relationship between price and quantity supplied.
(i) Elasticity of supply is said to be perfectly inelastic when:
(a) Supply doesn't change with change in price.
(b) There is an infinite supply at a particular price.
(c) When percentage change is supply is equal to percentage change price.
(d) When percentage change is supply is more than percentage change
is price.

(ii) Which of the following statement is not valid with respect to 'Law of
Supply? (a) Indicates the magnitude of change in supply due to change
in price. (b) States one sided between price and quantity supplied.
(c) Does not establish proportional relationship between change in price and
change in supply
(d) States the direct relationship between price and quantity supplied
 (iii) Supply is said to be unitary elastic, when:
(a) Supply curve is a straight line passing through the origin
(b) Supply curve makes an intercept on the positive Y-axis
(c) Supply curve makes an intercept on the positive X-axis
(d) Supply curve is a horizontal straight line parallel to the X-axis

(iv) A straight line supply curve cuts the Y-axis in its negative range. What is
the elasticity of
supply?
(a) Highly elastic
(b) Unitary elastic
(c) Perfectly Inelastic Supply
(d) Less elastic

6 Read the following statements: Assertion (A) and Reason (R). Choose one of the
correct alternatives given below:
Alternatives:
a) Both Assertion and Reason are true and Reason (R) is the
correct explanation of Assertion (A)
b) Both Assertion and Reason are true and Reason (R) is not the
correct explanation of Assertion (A)
c) Assertion (A) is True but Reason (R) is False
d) Assertion (A) is False but Reason (R) is True

Assertion (A): An individual supply curve slopes upwards.

Reason (R): There exists a positive relationship between price and quantity supplied.

Assertion (A): Contraction in supply leads to a downward movement along the same
supply curve.
Reason (R): Downward movement along the same supply curve occurs due to an
increase in price of the commodity, other factors remaining constant.

Assertion (R): Law of supply is a qualitative Statement.

Reason (R): Law of Supply indicates the magnitude of change in the quantity supplied.

7 What do you mean by Law of supply? Explain it with the help of Schedule and
diagram.

8 .Why a Producer supply more even if the prices are high? Give Reason.

9 Differentiate between Extension and contraction of supply?

10 Explain the following determinants of Supply:

 Goals of the firm
Technology
Government policy
Cost of factor of production

11 Due to a 10 percent rise in the price of a commodity, its quantity supplied

rises from 400 units to 450 units. Calculate its price elasticity of supply. Is the
supply elastic?

12 When the price of a commodity rises from Rs.10 to Rs.12 per unit, its quantity
supplied rises by 100 units. If es = 2, Calculate its quantity supplied at increased
price. If es = 3, A seller supplies 20 units of the commodity at a price of Rs.8 per unit.
How much quantity of the commodity will the seller supply when price rises by Rs.2
per unit?

CONSUMER EQUILIBRIUM

1) Law of diminishing marginal utility was originally propounded by (a)

Prof. Alfred Marshall (b) Prof. Hicks (c) Prof. Samuelson (d) Prof. Gossen
2) Which of the following is not an assumption of law of diminishing marginal utility?
(a) Cardinal measurement of utility (b) No change in consumers income (c)
Different price for same commodity (d) All of the above
3) When marginal utility is zero, total utility will be ……… .
(a) maximum (b) maximum and constant (c) constant (d) minimum

4) A consumer is in equilibrium, how will a consumer behave if MU / Px < MU / Py ?

(a) Consumer will consume more of good X and less of good Y (b) Consumer
will consume more of good Y and less of good X (c) Consumer will consume
more of both goods (d) Consumer will consume less of both goods
5) Given the budget line 2x + 5y = 100, what will be its slope?
(a) −5/ 2 (b) 5 /2 (c) −2/ 5 (d) 2 /5
6

7 Direction :There are two statements marked as Assertion (A) and Reason (R). Read
the statements and choose the appropriate option from the options given below (a)
Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation
of Assertion (A)
(b) Both Assertion (A) and Reason (R) are true, but Reason (R) is not the
correct explanation of Assertion (A)
(c) Assertion (A) is true, but Reason (R) is false
(d) Assertion (A) is false, but Reason (R) is true

Assertion (A) If a consumer consumes a good with time lag, than law of DMU does
not holds true. Reason (R) Human wants are unlimited, as soon as one want gets
satisfied another want arises.

Assertion (A) Different persons derive different levels of utility from consumption
of similar types of commodities.
Reason (R) The want satisfying power of any commodity is known as its utility, which
is measured in ‘utils’ under cardinal approach.

Assertion (A) Consumer’s utility is the point of ‘Satiety’ where he attains

maximum gain with given resources.
Reason (R) A rational consumer always prefers consumption of more units of goods
as compared to less units.

Assertion (A) Higher IC represents higher satisfaction due to monotonic

preferences. Reason (R) A consumer always prefers more units of a good over less
units.

8 Case Based MCQs

Direction Read the following case study and answer questions on the basis of
the same.

Ravi has fallen on hard times due to lockdown. His income per week is ` 400, spending
 ` 200 on food and ` 200 on all other goods. However, he is also receiving a
social allowance in the form of ` 10 food stamps per week from government.
The coupons can be exchanged for ` 10 worth of food, and he only has to pay `
5 for such coupons.

What will be the equation of budget line food and non-food items
(without food coupons)?
(a) Price (food) + Price (non-food) = 200
(b) Price (food) + Price (non-food) = 400
(c) Price (food) + Price (non-food) < 400
(d) Price (food) + Price (non-food) > 400

What will be the equation of budget line food and non-food items
(with food coupons)?
(a) Price (food) + Price (non-food) = 210
(b) Price (food) + Price (non-food) = 410
(c) Price (food) + Price (non-food) < 410
(d) Price (food) + Price (non-food) = 405

Preferences are considered as monotonic when ………… .

(a) equal units of goods are more preferred
(b) less units of goods are more preferred
(c) more units of the goods are more preferred
(d) All of the above

If Ravi is to be at equilibrium point, what should be the condition?

(a) MRS = 2 (b) MRS= 4 (c) MUx / MUy = 2 (d) Can’t be determined

9 Assertion (A) Ravi will be in a better situation after subsidies as compared

to before subsidy situation.
Reason (R) Food subsidy or coupons has no impact on the equilibrium as
the pandemic is a rare situation. Alternatives
(a) Both Assertion (A) and Reason (R) are true and Reason (R) is
the correct explanation of Assertion (A)
(b) Both Assertion (A) and Reason (R) are true, but Reason (R) is not
the correct explanation of Assertion (A)
(c) Assertion (A) is true, but Reason (R) is false
(d) Assertion (A) is false, but Reason (R) is true

In economic terms, a consumer is an economic agent, who consumes a good or

10 service for satisfaction of his/her wants. Keeping in mind the said definition, every
individual consumer is a rational consumer and understands his/her best interest.
However, on certain occasions, we can observe that people buy goods or services
without their choice or needs, i.e. influenced by certain external
factors/components. In such
 situations, utility is derived by mere purchase of goods and not from its
consumption. Also, under such cases determining optimum level of
consumption becomes difficult. One such example can be drawn from festive
buying in India.

Rationality of a consumer depends upon which of the following factors? (a)

Consumers taste and preferences (b) Utility from consumption of a good (c)
Based upon the habit of a consumer (d) All of the above

Which of the following statements is/are true for utility?

(a) Utility is the want satisfying power of a commodity
(b) Utility depends upon want and choice
(c) Same good may give different utility in different situations
(d) All of the above

In the above case, utility should be considered as.................in nature.

(a) qualitative (b) quantitative (c) Both (a) and (b) (d) Neither (a) nor (b)

When a consumer buys goods without their need, the

consumer's equilibrium becomes .............. .
(a) static/constant (b) dynamic (c) unambiguous (d) stable
11
Assertion (A) A consumer is an economic agent who maximizes profits. Reason (R)
At equilibrium point, utility from units of goods consumed can be negative as
well.
Alternatives
(a) Both Assertion (A) and Reason (R) are true and Reason (R) is
the correct explanation of Assertion (A)
(b) Both Assertion (A) and Reason (R) are true, but Reason (R) is not
the correct explanation of Assertion (A)
(c) Assertion (A) is true, but Reason (R) is false
(d) Both are false
12

13 What is Budget Line?

14 Explain why budget line is downward

15 sloping? Define utility.

16 Define total utility

How much is total utility at zero level of consumption?

17 Suppose a consumer wants to consume two goods which are available only in
integer units. The two goods are equally priced at Rs.10 and the consumer's income
is Rs.40.
(i) Write down all the bundles that are available to the consumer.
(ii) Among the bundles that are available to the consumer's. Identify
those which cost her exactly 40.

18 Explain with diagram, the relationship between TU and MU.

19 How many chocolates will a consumer have, if they are available free of cost?

20 "Total Utility remains the same, whether Marginal Utility is positive

or negative". Defend or refute.

21 Explain the law of diminishing marginal utility schedule.

A consumer consumes only two goods. Explain the conditions of

22 the consumer's equilibrium with the help of Utility Analysis.

23 Using indifference curve approach, explain the conditions of

consumer's equilibrium.

24 Why is the consumer in equilibrium when he buys only that combination of

the two goods that is shown at the point of tangency of the budget line with
an indifference curve? Explain

25 What are the conditions of consumer's equilibrium under the indifference

curve approach? What changes will take place if the conditions are not
fulfilled to reach equilibrium

26 State and explain the conditions of consumer's equilibrium in

indifference curve analysis.

Ch-1 Introduction to Statistics

Ch-2 Nature , Importance and functions of statistics

Q. No. 1 to 5 are based on the given text. Read the text carefully and
answer the questions:
Statistics is a data interpretation tool used for collecting, classifying and
It is an indispensable tool for an economist to understand various business and
economic problems and formulate policies to tackle them. In economics, we analyze
behavior of different groups such as consumers, producers, government and come
out with intuitions, models, and observations. However, it is the data that enables
an economist to claim such observations as exact and precise. Statistics helps in
Analysing various economic problems such as inflation, unemployment etc by
looking at numbers, trends over the years. It summarises mass data like income,
consumption etc into measures like per capita income and per capita consumptions
which are more explanatory of how an economy is performing. It predicts change
that might happen in a factor due to changing some other factor. For instance,
predicting how inflation would be affected if money supply is increased in the
economy.
1. Which of the following is false regarding the importance of statistics in
economics? a. It helps in finding mathematical relations between variables
b. It is used in the administration and efficient functioning of
government departments c. It helps in understanding and solving
economic problems
d. It helps in studying market structure

2. Which of the following is not a Function Of Statistics?

a. Economic Equilibrium
b. Economic Forecasting
c. Construction of Economic Models
d. Political Equilibrium

3. The First Stage Of Statistical Study Is:

a. Presentation of data
b. Organization of data
c. Collection of data
d. Analysis of data

4. Which of the following statements accurately reflects the root

of economic problems?
a. Scarcity is the root of all economic problems in a country
b. Inflation is the root of all economic problems in a country
c. Recession is the root of all economic problems in a country
d. Monopoly is the root of all economic problems in a country

5. Statistics facilitate and comparison.

6. The word 'statistics' is used as:

a. Singular
b. Plural
c. None
d. Singular and Plural Both
7. The law of scarcity:
a. Implies that consumer's wants will never be
completely satisfied. b. Applies only to the less
developed countries.
c. Implies that consumer's wants will be satisfied in a
socialist system. d. Does not apply to rich, developed
countries.

8. The study of mankind in the ordinary business of life

a. Economy. b. Environment
c. Economics d. Econometric

9. are always scarce in relation to .

a. Means, limited wants
b. Means, wants
c. Wants, means
d. Wants, unlimited means

10. Who among the following is not engaged in economic activity?

a. A devotee visiting a pilgrimage
b. A farmer or a manufacturer
c. A doctor or a porter
d. Buying goods for family needs

11. Assertion (A): The statistical laws are true only on an average basis. Reason
(R): The results are affected by a small number of causes.
a. Both A and R are true and R is the correct explanation of A.
b. Both A and R are true but R is not the correct explanation of A.
c. A is true but R is false.
d. A is false but R is true.

12. Assertion (A): Data should be gathered with maximum care by the investigator
himself or obtained from reliable published or unpublished sources. Reason (R):
Collection is the last step in a statistical study and is the basis of statistical
analysis.
a. Both A and R are true and R is the correct explanation of A.
b. Both A and R are true but R is not the correct explanation of A.
c. A is true but R is false.
d. A is false but R is true.

13. Fill in the blanks:

i. activities are included in National Income.
ii. Production includes all those activities which are undertaken to produce goods
and services for the generation of income by enhancing the utility of and
 .

14. Define economics.

15. Give two examples of quantitative data.
16. How will you choose the wants to be satisfied?
17. State any three function of statistics.
18. Define Statistics in singular sense.
19. Do you think statistics reflects true human value in all the
cases? 20. Describe the importance of statistics in
economics.
COLLECTION & ORGANISATION OF DATA
prepare a frequency distribution chart by using inclusive method with the help
of the following data which shows marks obtained by 22 students.

10, 15, 16, 20, 18, 22, 17, 14, 25, 26, 08, 2, 23, 28, 22, 19, 14, 12, 18, 21, 24,

13 Fill in the blanks from the alternatives given in the brackets

1) data is collected by someone else and used by

the investigator. (Primary, Secondary, Official, Confidential)

2) In case of method, each and every unit of population is

studied. (Sample, Census, Lottery, Random)

3) Random Sampling is a sampling by

(Chance, Choice, Purpose, Quota)

4) The extreme values of the classes are called

(Class-mark, tally marks, class-limit, class-frequency)

Match the following

Group A Group B
1. Deliberate sampling a) Original data
2. Primary data b) Orderly arrangement
3. Random Sampling c) Selection by chance
4. Frequency array d) borrowed data
e) selection by choice
f) attributes
State whether the following statements are True or False

1) Collection of primary data is time consuming.

2) Secondary data is original.

3) Indirect information is useful for the inquiry of complex problems.

4) Questionnaire method is used to collect secondary data.

5) The lottery method is an example of random sampling.

6) Larger the size of samples, greater will be the accuracy.

 Read the following Case Study carefully and answer the questions on the
basis of the same:
Unpublished data or literature is known as grey literature in research. (The term
‘grey literature’ also includes data published in a non-commercial form, such as a
conference proceeding.) These data are collected by the government
organisations and others, generally for their self-use or office record. Unpublished
data is useful mainly in secondary research, such as literature reviews and
systematic reviews. It provides pointers to new research and perhaps also
research paths to avoid.
Preprints are a growing form of unpublished data these days and have proved
very useful in guiding research in critical areas such as COVID-19. Published
sources of secondary data are government publications, semi-government
publications, publications of research institutions, international publications etc.

1. data are collected from published or

unpublished reports. (Primary/ Secondary)
2. In the case of a , answers are to be written by the
enumerators specifically hired for the purpose. (
Questionnaire/ Schedule)
3. publish data relating to education, health, births and
deaths. (Government publications/ Semi- Government
Publications)
4. 76th round of NSSO was on (Persons with
disabilities and drinking water/ density of population)
MEASURE OF CENTRAL TENDENCY

1 What is the definition of "mean"?

A. The number that is repeated the most

B. The middle value in a number line

C. The average of all numbers
2
What is the definition of the "median"?

A. The middle number

B. The last number
C. The first number
D. The average of all numbers

3 Mode refers to the value within a series that occurs number of

 times.

Maximum, Minimum, Zero, Infinite

4 The values of extreme items do not influence the average for .

a. Mean
b. Mode
c. Median
d. None of the above
The sum of deviations from the is always zero.
5
1. Median
2. Mode
3. Mean
4. None of the above

6 The number of observations smaller than is the same as the number

of observations larger than it.

a. Median
b. Mode
c. Mean
d. None of the above
7

10

11

12

13
14

15

16

17

18

19

20
21 The export of agricultural product in million dollars from a country during eight
quarters in 1974 and 1975 was recorded as 29.7, 16.6, 2.3, 14.1, 36.6, 18.7, 3.5, 21.3
Find the median of the given set of values

22 The following list of numbers is arranged in the ascending order of their

values: 19, 23, 29, 30, 32 x-10, x-8, x-5, 54, 66, 70, 78. If their median is 42,

find the value of x.

23

Study the following case study and answer the questions

24

Measures of central tendency or averages are used to summarise the data. It

specifies a single most representative value to describe the data set. Arithmetic
mean is the most commonly used average. It is simple to calculate and is based on
all the observations. But it is unduly affected by the presence of extreme items.
Median is a better summary for such data. Mode is generally used to describe the
qualitative data. Median and mode can be easily computed graphically. In case of
open-ended distribution, they can also be easily computed. Thus, it is important to
select an appropriate average depending upon the purpose of analysis and the
nature of the
 distribution.

Which of the following is qualitative data where Median and mode can
be best calculated?

(a) Gender (b) Population

(c) age (d) income

Which of the following is TRUE in case of open- ended

distribution? (a) The upper and lower limit of the classes are

same.

(b) The upper and lower limit of the classes are not equal.

(c) The lower and upper limit of the classes are not found.

(d) The lower limit of the class is found and upper limit of the class is

not found Mode can be shown with the help of a Multiple bar diagram.

(a) True (b) False

The arithmetic mean is 136.5 and standard deviation is 37.32. The co-
efficient of variation is .

PART-A : STATISTICS FOR ECONOMICS-2023-24

Unit - 1 INTRODUCTION

QUESTION BANK COMPETENCY BASED QUESTIONS (1 MARK)

1. Define Economics.
2. What are economic activities.
3. Define non-economic activity.
4. Give examples each of economic activity and non economic activity.
5. What is scarcity?
6. What is consumption?
7. Define Production.
8. What is Distribution?

SELECT RESPONSE TYPE QUESTION (1 MARK)

 9. The root cause of all economic problems is –
(a) Poverty (b) population (c) Unemployment (d) scarcity

10. Economics is best defined as the study of how people

(a) use their infinite resources (b) attain wealth
(c) employ scarce resources (d) attain education from best school

11. Today's activities of my friend Atul who is a singer, given below:

1. In the morning He perform stage show for singing and get ` 10000 as a fee.
2. In the evening he celebrate his 4 years daughter's birthday at home and he sang a song for her
From above information which statement is true-
(a) activity 1 is economic activity and 2 is non economic activity
(b) activity 1 is non-economic and 2 is economic activity
(c) Atul is a service provider
(d) (a) and (c) both are true

12. Economic problem implies

(i) Unlimited wants (ii) Limited resources
(iii) Alternative uses of resources (iv) All of the above

13. Which of the Following is not a non-economic activity

(a) Blood donation for a noble cause
(b) household work done by a mother
(c) care of children by father
(d) service provided by doctor in hospital

14. Which of the following statement is not true:

(i) Statistics solve economic problems
(ii) Statistics helps to analyse economic problems
(iii) Statistics helps in formulating policies
(iv) Statistical methods are no substitute for common sense

Q.15. ‘COVID-19 cases are on rise’. This is a ___________

(a) Qualitative fact (b) Qualitative data
(c) Quantitative fact (d) Statistical data

16. Which of the following activities does not constitute the ordinary business of life?
(a) Producing goods and services
(b) Selling goods and services
(c) Buying goods and services
(d) Storing goods and services

17. Identify a service provider

(a) A waiter working in a restaurant
(b) A labour working on a construction site
(c) A cobbler sitting roadside
(d) A manager of a firm

18. Which is not an economic activity

(a) Saving as much as we can
(b) production of goods and services
(c) consumption of goods and services
(d) selling goods and services

19. Statistics deals with-

(a) Only one number
(b) Only qualitative data
(c) Facts which can be numerically expressed
(d) None of the above

20. Choose the correct sequence of stages of a statistical study

(a) Collection of data, organisation of data, presentation of data, analysis of data, interpretation of data
(b) Organisation of data, presentation of data, collection of data, interpretation of data, analysis of data
(c) Collection of data, analysis of data, presentation of data, organisation of data, interpretation of data
(d) Collection of data, analysis of data, organisation of data, presentation of data, interpretation of data.

Competency Focused Questions Assertion (A) and Reason (R) Question

DIRECTIONS for the questions 21 and 22 In each of the questions given below, there are two statements
marked as Assertion (A) and Reason (R). Mark your answer as per the codes provided below:
(a) A and R are true and R is the correct explanation A.
(b) Both A and R are true but R is not the correct explanation of A.
(c) A is true but R is false.
(d) Both A and R are false.

20. Assertion (A) : Statistics helps in condensing the mass of data in a representative value.
Reason (R) : erical measures such as Mean, Median etc. summarise the data.

22. Assertion (A) : When economic facts are expressed in Statistical terms, they become exact. Reason
(R) : Exact facts are more convincing than vague statement.

Case-based Questions
Climate change is also a global problem just like Corona and the whole world has to deal with it. In the
next 20 years, global temperatures will cross the 1.5 degree Celsius threshold. The last decade was much
warmer than the previous 1.25 million years, recording 1.09 degrees celsius between 2011 and 2020
compared to between 1850 and 1900. If greenhouse gas emissions continue as they are currently, global
temperatures will cross the 2°C threshold in the middle of the 21st century itself. Every 1 degree
Celcium increase in temperature will increase the intensity of heavy to heavy rain events by 7 percent.
Concentration of carbon dioxide is the highest in 20 million years. The data given in the above report will
be helpful in policy formulation on climate reflection as statistics.

23. Economic facts definitely proves helpful in _________ the problem

(a) analysing (b) finding measures to solve
(c) evaluation of impact of (d) all of the above

24. Statistical methods can not ___________ the problem

(a) solve (b) predict (c) assess (d) all of the above

25. The relationship between greenhouse gas emissions and global temperatures can be ________
(a) Known (b) Verified (c) Forecast (d) All of the above

CONSTRUCTIVE RESPONSE QUESTIONS (3-4 MARKS)

1. Describe the importance of statistics in economics.
2. Explain any three characteristics of statistics
3. Explain the scope of statistics.
4. State any three limitations of statistics.
5. State any three function of statistics.
6. Consumption, Production and distribution are economic activities, and were considered as ordinary
business of life by Alfred Marshall. Explain.

Unit - 2 COLLECTION, ORGANISATION AND PRESENTATION OF DATA

A : COLLECTION OF DATA

Competency Focussed Questions (1 MARK)

1) What is data?
2) What are the two main types of data?
3) Give the meaning of primary data.
4) What is secondary data?
5) Write the meaning of population in statistics.
6) Define sample.
7) What is direct personal investigation?
8) What is random sampling?
9) State any two sources of secondary data.
10) What is NSSO stands for?
11) What is census method
12) What is a pilot survey?

Select Response Type Questions (1MARK)

13) Main demerit of mailing questionnaire is that the respondents.
(a) do not answer the questions.
(b) do not read them carefully.
(c) do not send it back.
(d) All the above.

14) What type of questions should not be included in a questionnaire?

(a) Two-way (b) Multiple choice (c) Open-ended (d) Leading (giving a clue)

15) 'Census of India' collect data related to :

(a) Industry (b) National Income (c) Agriculture (d) Demography

16) Which is the most expensive method of data collection in term of time, money and efforts involved?
(a) Telephone Interviews (b) direct personal investigation
(c) information through questionnaires (d) information from local sources

17) Which one of these is not a method of secondary data collection.

(a) Ouestionnaires (b) Interviews (c) Observations (d) All of the above

18) Secondary data may include which of the following?

(a) Official documents (b) Personal documents
(c) Archived research data (d) All of the above

19) Which one of the following is not a mode of collection of primary data :
(a) Questionnaires (b) Personal Interviews
(c) Telephone interviews (d) Published source
 20) Primary data can be collected from-
(a) its source of origin (b) an agency (c) a website (d) NSSO

21) Data collected from NSSO (National Sample Survey Organisation) are called-
(a) Primary data (b) secondary data
(c) primary and secondary data both (d) none of the above

22) Which one is not a mode of collecting primary data-

(a) Direct Personal investigation (b) data obtained from Census of India reports
(c) information through questionnaire (d) indirect oral investigation

23) Personal investigation method is not suitable for

(a) If field of Investigation is very large
(b) if field of Investigation is Limited
(c) if greater degree of originality of data is required
(d) if information is to be kept secret

24) Which is not a feature of a good questionnaire

(a) Undesirable questions (b) limited number of questions
(c) proper order of questions (d) simple and short questions

25) Which one is a merit of census method-

(a) Costly (b) It require huge manpower
(c) not suitable for large area (d) investigation is reliable and accurate

Competency Based Questions (1 MARK)

26) Data originally collected in the process of Investigation method are known as ....................... (primary
data/ secondary data)

27) ................................... are costlier in term of time, money and efforts than the ...................................
(secondary data/ primary data)

28) ................................... Is a person who collects data for the investigator (enumerator/respondent)

29) ................................... Is a group of items from universe which represents characteristics of the
universe. (investigators/ sample )

30) in mailing method questionnaires are filled by ......................... (Investigator/informant)

31) "Collection of primary data is more economic than secondary data". (true /false)

32) Census method is suitable when area of Investigation is very large (true /false)

33) Oxford. Astrazencea vaccine recommended for conditional approval. Before recommendation and
approval, the efficacy of vaccine must have been ascertained on __________ of people for investigation
on various age groups (sample/universe)

34) 60% turnout over 5 days of vaccination. The city recorded a turn out of 86% at its centres, the
highest for a single day. H.T January 25, 2021 This is a ___________ data. (Published/unpublished)

35) Mr. X says that according to his observation, 10 people are infected from COVID-19 in his locality.
This is a ________ source of data. (Primary/Secondary) Assertion (A) and Reason ® Question DIRECTIONS
for the questions

36 and 37 In each of the questions given below, there are two statements marked as Assertion (A) and
Reason ®.
Mark your answer as per the codes provided below:
(a) A and R are true and R is the correct explanation A.
(b) Both A and R are true but R is not the correct explanation of A.
(c) A is true but R is false.
(d) Both A and R are false
(e) Both A and R are false.

36) Assertion (A) : Random sampling is one where the individual units from the population are selected
at random.
Reason (R) : In random sampling, every individual has an equal chance of being selected.

37) Assertion (A) : Closed-ended questions are easy to use, score and to codify for analysis.
Reason (R) : They tend to restrict the answers by providing alternatives
Case-Based Questions-I
An investigator collects data in very few days regarding the percentage expenditure on fast food by
households in a locality. The total households are 1,000 and investigator himself collects the data. It
surveyed 100 households. Answer the following questions on the basis of above information:

38) The ____________ survey conducted by investigator. (Census/Sample)

39) The data collected is ____________ in nature. (primary/secondary)

40) The data is collected by ____________ investigation. (Direct personal/indirect oral) Sample, Primary,
Direct personal

Case-Based Questions-II A researcher wants to collect data from people on the understanding of climate
change. These days online surveys or surveys through Google forms are popular and researcher
collected the data by sending a Google from to his friends and family making a request to forward it.

41) The data collected will be

a) reasonably reliable b) accurate information at a lower cost
c) shorter time d) all of the above

42) Requirement of enumerators is

a) Very large b) Large c) Small d) No requirement

43) The data from Google form may cover population of

a) Wide area b) only educated people
c) only having internet facility d) all of the above

44. State whether the following statements are True or False.

(I) There are many sources of data.
(ii) Telephone survey is the most suitable method of collecting data. When the population in literate and
spread over a large area.
(iii) Data collected by investigator is called the secondary data.
(iv) There is a certain bias involved in the non-random selection of samples.
 Constructed Response Type Questions (3 - 4 MARKS)

1) Differentiate between primary data and secondary data

2) Differentiate between Personal Interviews and Telephone Interviews.

3) What is the difference between a questionnaire and a schedule?

4) Explain the importance of pilot surveys.

5) What are the main sources of secondary data? Explain.

6) What precautions are necessary while using secondary data?

7) Write the precautions to be taken while taking data from a website.

8) What type of information does the reports and publications of NSSO contain?

9) Differentiate between census and sample.

10) Write two merits and two demerits of Census method.

11) Mention four demerits of sample method.

12) What do you mean by random sampling? Explain it‘s Lottery method.

13) Discuss the stratified sampling with an example.

14) What are the essentials of a sample ?

15) "Sampling is a necessity under certain conditions". Explain.

Constructed Response Type Questions (6 MARKS)

1) “The choice of source of data and mode of collection depends on the objective of the study”

2) Explain personal Interview method of collection of data. Write its merits and demerits.

3) Write a short note on census survey.

4) What is a questionnaire? Write the qualities of a good questionnaire.

5) Explain, why a sample survey is usually preferred over a census survey.

7) Explain the procedure for selecting a random sample of 3 students out of 10 in your class by using
random number tables.

B : ORGANISATION OF DATA

Competency Focused Questions (1 MARK)

1) State the meaning of classification.
2) State the meaning of qualitative classification.
3) What is a variable ?
4) Give the meaning of mid-value.
5) Define discrete series or frequency array.
6) Define class-interval.
7) Give the meaning of exclusive series.
8) What is meant by frequency ?
9) What do you mean by continuous variable ?

Select Response Type Questions (1 MARK)

10) Choose the correct one about inclusive series;

(a) Value of upper limit is included in the same class interval.
(b) Value of lower limit is included in the previous class interval
(c) Value of upperlimit of one class interval is the lower limit of next class interval.
(d) It is also known as open end series

11) Choose the correct match:

(a) Frequency Distribution Individual series
(b) Frequency Array Discrete series
(c) Mid Value
(d) Class Interval

12) The number of times an item repeat itself in a class interval is known as _____.

13) Choose the correct one: An open end series in that series in which:
(a) Lower limit of the first class interval is not given
(b) Upper limit of the last class interval is not given
(c) In which frequency of the last class interval is missing
(d) Either (a) or (b) or both (a) and (b)

14) Class intervals maybe classified as

(a) Equal class intervals and unequal class intervals
(b) Inclusive class intervals and exclusive class intervals
(c) (a) and (b) both
(d) Only (b)

15) Exclusive class intervals may exclude

(a) Lower limit of the class
(b) upper limit of the class
(c) Either lower limit or upper limit of the class
(d) exclude both the limits

Which of the following alternative is true?

16) The class midpoint is equal to:

(a) The average of the upper class limit and the lower class limit
(b) The product of upper class limit and the lower class limit
(c) The ratio of the upper class limit and the lower class limit
(d) None of the above.
 17) The frequency distribution of two variables is known as
(a) Univariate distribution
(b) Bivariate distribution
(c) Multivariate distribution
(d) None of the above

18) Statistical calculation in classified data are based on

(a) The actual values of observations
(b) The upper class limits
(c) The lower class limits
(d) The class midpoints

Competency Focussed Questions

19) Calculate class size and mid value of class interval “20–40”.

20) From the following frequency distribution. Calculate no. of student, who got marks between 70 – 75.
Marks (less than) 65 70 75 80
No. of students 0 2 17 32

21) Those series in which items are listed singly, is known as ______.

22) _____ is the difference between the largest and smallest observation.

23) Choose the correct match.

(a) Classification of data on the basis of time period Geographical classification

(b) Difference between upper limit and lower limit of class Class mark
(c) No. of students in a class continuous variable
(d) Words “Less than & More than related to Cumulative frequency series

Choose the correct statement:

24) (a) Discrete variable data are normally expressed in fractions.
(b) Cumulative frequency is the frequency of a class.
(c) A frequency distribution should not have more than 5 classes.
(d) Statistical calculations in classified data are based on the class mid–points.

25) The frequency distribution based on two variables is known as _______.

26) A characteristic which is capable of being measured and changes its value overtime is called ______.

Assertion (A) and Reason (R) Question DIRECTIONS for the questions 27 - 29.
In each of the questions given below, there are two statements marked as Assertion (A) and Reason (R)
Mark your answer as per the codes provided below:
(a) A and R are true and R is the correct explanation A.
(b) Both A and R are true but R is not the correct explanation of A.
(c) A is true but R is false.
(d) Both A and R are false (e) Both A and R are false.

27) Assertion (A) : Classification of objects or things saves our valuable time and effort
Reason (R) : Classification is arranging or organising things into groups or classes based on some criteria.
28) Assertion (A) : A discrete variable takes only certain values which changes only by a finite 'jumps' and
not intermediate fractional values between two integral values
Reason (R) : The case of discrete variables, both exclusive and inclusive class intervals can be used.

29) Assertion (A) : The classes should be formed in such a way that the class mark of each class comes as
close as possible, to a value around which the observations in a class tend to concentrate.
Reason (R) : Use of class mark instead of the actual values of the observations in statistical methods
involves considerable loss of information

Constructed Response Type Questions (3 - 4 Marks)

1) State the objectives of classification.
2) Write the characteristics of a good classification.
3) Difference between discrete and continuous variables.
4) Write three advantages of classification.
5) By using exclusive method and inclusive method make a frequency distribution from following data :-
33, 10, 17, 15, 20, 12, 18, 16, 20, 22, 29, 29, 23, 24, 16, 11, 16, 19, 24, 30, 29, 18, 42, 26, 32, 14, 40, 20, 23,
27, 30, 12, 15, 18, 24, 36, 18, 48, 21, 28
6) What is a variable? Distinguish between a discrete and a continuous variable.
7) Explain the 'exclusive' and 'inclusive' methods used in classification of data.
8) Distinguish between Univariate and bivariate frequency distribution.

Construct a discrete frequency series the help of following data by arranging in ascending order.
Marks 6 6 5 7 9 8 7 4 8 4 6 9 5 7 5 7 8 5 6 5

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 6 1 8 3 10 5 20 16 12 8 4 33 27 21 15 9 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

Unit - 3 STATISTICAL TOOLS AND INTERPRETATION

MEASURES OF CENTRAL TENDENCY

(I) COMPETENCY BASED QUESTIONS (1 Mark)

1. What is meant by mean?
2. Write two types of mean.
3. Write one merit of median.
4. Find mode 10, 5, 4, 6, 4, 5, 4, 12, 4,15, 4
5. Write one merit of mode.
6. Define mode.
7. Define median.
8. What is the relationship between mean, median and mode?
9. What is the sum of derivations taken from mean in a series?
10. Write one objective of an average.
11. Write the name of most popular statistical average.
12. Find median of 4, 9, 10, 12, 14.
13. State one disadvantage of mode.
14. Find mean- 10, 20, 40, 80, 100.
15. If mean is 40 and median is 48. Find mode.

Fill the appropriate word in the bank:

16. ........... is based on all the items of the distribution. (mode/mean)
17. Median can be easily located through .................... (histogram/ogive)
18. ................. mean gives relative importance to each item. (simple/ weighted)
19. Mode is calculated graphically through ................ (ogive/histogram)
20. The sum of the square of the deviations of the items from their arithmetic mean is .....................
(zero/minimum)
21. The sum of deviations of the observations from their arithmetic mean is always......................
(zero/minimum)
22. .......................... is very much affected by the extreme values. Median/Mean)

II. Select Response Type Questions (1 Mark)

23. The most common used measure of central tendency is:
(a) Median (b) Mode (c) Arithmetic mean (d) Percentile

24. Median are the measures which divide the series into
(a) Two equal parts (b) Three equal parts (c) Five equal parts (d) Four equal parts

25. Which of the following is not a merit of mean?

(a) Based on all items (b) Easy to calculate (c) Affected by extreme items (d) None of these

26. Which of the following is a demerit of mode?

(a) Not affected by extreme items (b) Based on all items (c) uncled item measure (d) Both (a) and (b)

27. Which of the following represent Median?

(a) Q1 (b) Q2 (c) Q3 (d) Q4

28. Sum of deviation about mean is

(a) Zero (b) One (c) Minimum (d) Maximum

29. Assign weights to various items according to their importance is called

(a) Arithmetic mean (b) Median (c) Mode (d) Weighted mean

30. The most suitable average for qualitative measurement is

(a) Arithmetic mean (b) Median (c) Mode (d) Weighted mean

31. Which average is affected most by the presence of extreme value

(a) Arithmetic mean (b) Median (c) Mode (d) None of these

32. Which of the following is not a measure of central tendency

(a) Mean (b) Median (c) Mode (d) Mean deviation

33. Which of the following is a positional average

(a) Arithmetic mean (b) Geometric mean (c) Median (d) Harmonic mean

34. Five students obtained 100, 200, 300, 400 and 500 marks, what would be the mean?
(a) 300 (b) 400 (c) 250 (d) 350

35. In India, shoe size of most of the men is no. 7. Which measure of central tendency represent it?
(a) Mean (b) Median (c) Mode (d) Quartile

36. Find the correct option from the following:

(a) Mode = 3 Median-2 Mean (b) Mode=2 Median-3 Mean (c) Median = 3 Mode-2 Mean (d) Mean = 3
Median-2 Mode
 37. The values of all items are taken into consideration in the calculation of:
(a) Mean (b) Median (c) Mode (d) Quartile

38. Find out the demerit of median from the following

(a) Simplicity (b) Ideal average (c) Not based on all observation (d) Graphic presentation

39. Mode can be obtained graphically from the following

(a) Bar diagram (b) Histogram (c) Frequency polygon (d) Frequency curve

40. The middle most value of a arranged series is known as:

(a) Mean (b) Median (c) Mode (d) Quartile

41. The value of a variate that occur most often is known as:
(a) Mean (b) Median (c) Mode (d) Quartile

42. Find median from 5,9,10,6,4,17,23,3 and 11

(a) 6 (b) 5 (c) 9 (d) 10

43. Find mode from 34, 77,18,6,8,17, 22, 6, 34, 6 and 56

(a) 77 (b) 34 (c) 56 (d) 6

44. Histogram is used to determine graphically the value of

(a) Mean (b) Median (c) Mode (d) Quartile

45. For calculating quartiie, all items of the series are arranged
(a) Ascending order (b) Descending order (c) Ascending order or descending order (d) All of these

46. Mode can be calculated by:

(a) Inspection method (b) Grouning method (c) Both (a) and (b) (d) None of these

47. Which measure of central tendency cannot be calculated by graphic method:

(a) Mode (b) Median (c) Mean (d) None of these

48. For a skewed distribution, median = 30 and mode = 35. What is the value of the mean.
(a) 35 (b) 30 (c) 32.5 (d) 27.5

49. In India, shoe-size of most of the women is no. 7. Which measure of central tendency represents it?
(a) Mean (b) Median (c) Mode (d) Quartile

50. Read the following statements carefully

Statement 1: Arithmetic mean is based on all the items of the series.
Statement 2: Mode can be determined with the help of the histogram.
Based on the given statements, choose the correct option from the following-
(a) Statement 1 is true and statement 2 is false.
(b) Statement 1 is false and statement 2 is true.
(c) Statement 1 and 2 are true.
(d) Both the statements 1 and 2 are false.

51. Read the following statements carefully

Statement 1: In computing the median, all the items of the series are included.
Statement 2: Mode can be determined with the help of ogive. Based on the given statements, choose the
correct option from the following-
(a) Statement 1 is true and statement 2 is false.
(b) Statement 1 is false and statement 2 is true.
(c) Both statement 1 and 2 are true.
(d) Both the statements 1 and 2 are false.

COMPETENCY BASED QUESTIONS Directions for Questions 52-54

In each of the questions given below, two statements are given mark them as Assertion (A) and Reason
(R).
(a) Both (A) and (R) are true and (R) is the correct explanation of (A).
(b) Both (A) and (R) are true but (R) is not the correct explanation of (A).
(c) (A) is true but (R) is false.
(d) (A) is false but (R) is true.

52. Assertion (A): Arithmetic mean is affected by extreme values.

Reason (R): All the items are considered while computing the mean.

53. Assertion (A): While computing the median in the series, the data needs to be arranged in ascending or
descending order.
Reason (R): Median is that item which divides the series into two equal

54. Assertion (A): The mode of the series 8, 4, 85, 6, 2, 3, 8, 9, 2, 5, 10, 8 is 8.

Reason (R): The mode of a series is the item which divides it into two equal parts.

Study the following case study and answer the question numbers 55-57.
Measures of central tendency are used to summarize the data. It specifies a single most representative
value to describe a set of data. The most commonly used average is the arithmetic mean. It is easy to
calculate and all are based on observations but it is affected by extreme values. Median is better for
analysing such data. Mode is commonly used to describe qualitative data. The median and mode can be
easily calculated from the graph. Thus it is important to choose an appropriate average depending on the
purpose of the analysis and the nature of the data.
55. Mean can be represented by graph (True/False)
56. Which average is used in case of qualitative data?
57. Which average is least affected by extreme values?

CONSTRUCTED RESPONSE QUESTIONS (3–4 MARKS)

1) Write two merits and demerits of median.
2) State three advantages of mode.
3) The average marks in statistics obtained by 30 students is 52. The average marks of top 6 students is 31.
Calculate average marks of the remaining students. Ans. 57.25
4) The average marks of 100 students were found to be 40. Later on it was discovered that a score of 53
was misread as 83. Find the correct mean. Ans. 39.7
5) Calculate Mean Class 1-10 11-20 21-30 31-40 41-50 Freq 4 10 20 13 3 Ans. X = 25.7
6) Find out Q, and Q,. 6, 8, 10, 12, 18, 19, 23, 23, 24, 28, 37, 48,49,53,56 Ans. Q1 = 12 Q3 = 48
7) Show that the sum of deviations of the observation from their arithmetic mean is zero with the help of
suitable example.

CONSTRUCTED RESPONSE QUESTIONS (6 MARKS)

1) If X = 52, find missing frequency. Class 10-20 20-30 30-40 40-50 50-60 60-70 70-80
Freq. 5 3 ? 7 2 6 13 Ans. 7
2) Calculate mean from following information by short-cut method.
 Marks 0-10 10-20 20-30 30-40 40-50
No. of Students 4 6 10 20 10 Ans. X = 30.2 72

3) Calculate mean by step derivation method.

Class 5-15 15-25 25-35 35-45 45-55 55-65
Freq. 8 12 6 14 7 3 Ans. X = 31.8

4) Find out median.

Age(Yrs) 20-25 25-30 30-35 35-40 40-45 45-50 50-55 55-60
No. of Person 50 70 100 180 150 120 70 60
Ans. 40 Year

5) Calculate the Mean.

Class 0-5 5-10 10-15 15-20 20-25 25-30 35-35 35-40
Freq. 7 9 11 29 30 22 7 5 Ans. 21

6) Calculate Mean, Median and Mode.

Marks 10-19 20-29 30-39 40-49 50-59
No. of 4 Students 3 5 9 3 2 Ans. X = 37.6, M = 36.7, Z = 36

7) Graphically calculate Median.

Class 0-10 10-20 20-30 30-40 40-50 50-60
Freq. 6 11 20 12 6 5 Ans. M = 26.5

CORRELATION
COMPETENCY BASED QUESTIONS (1 MARK)
1) What is meant by correlation?
2) List some variables where accurate measurement is difficult.
3) What is negative correlation?
4) Give the meaning of positive correlation.
5) What is the range of simple correlation coefficient?
6) State the type of correlation when two variables change in the same ratio.
7) Give two examples of positive correlation.
8) Mention the principal short coming of scatter diagram as a method of estimating correlation.
9) Give two examples of negative correlation.
10) When is rank correlation method used?
11) Mention the names of different methods for measuring correlation.
12) What is the main demerit of spearman's rank method?
13) Mention the principal short coming of Karl Pearson's coefficient correlation.

SELECT RESPONSE TYPE QUESTIONS (1 MARK)

14) If r = 0, then the variables X and Y are : xy
(a) Linearly related (b) Not linearly related (c) Uncorrelated

15) The unit of correlation coefficient between height in feet and weight in kilograms is :
(a) kg / feet (b) percentage (c) non-exist
 16) Which method of measuring correlation is confined to linear relations.
(a) Karl Pearson's Co-efficient of correlation. (b) Spearman's rank correlation. (c) Scattered Diagram.

17) If precisely measured data are available, the simple coefficient correlation is :
(a) more accurate than rank correlation co-efficient.
(b) less accurate than rank correlation co-efficient.
(c) as accurate as the rank correlation co-efficient.

18) If the Pearson Product Correlation Coefficient shows zero value, this definitely means absence of
any relationship between the two variables. (True/False)

19) To measure ranked variables the following correlation coefficient is used (a) Pearson's (b)
Spearman's (c) Fisher's (d) Marshall's

20) The correlation coefficient:

(a) has no unit (b) Always expressed in measure units
(c) Can be measured between more than two variables together. (d) All of these.

21) A correlation coefficient:

(a) Efficiently summarises some of the information in a scatter plot.
(b) Is a sort of index of how close the points of a scatter diagram deviate from the best fitting straight
line through those points
(c) Tells you the direction of the slope of the scatter diagram.
(d) All of these.

COMPETENCY BASED QUESTIONS (1 MARK)

The following information concerning five individuals is needed to answer Questions 22 to 24. The
data consist of scores on three different scales of Political attitudes.
SCALE A SCALE B SCALE C
3 5 4
2 6 6
1 5 8
5 2 2
7 8 1

22) The Scale-A and the Scale-C are likely to:

(a) Correlate positively. (b) Have identical means. © Reciprocate. (d) Correlate negatively.

23) For the correlation between the Scale-A and the Scale-C, N =
(a) 7 (b) 5 (c) 8 (d) 6

24) What is the Spearman rank correlation coefficient between the Scale-A and the Scale-C?
(a) -1.0 (b) 1 © -0.1 (d) 0

25) Rank the score of 3 in the following set: 1, 3, 2, 3, 5, 6, 9

(a) 3 (b) 4.5 (c) 4 (d) 2.5

26) Rank the score of 6 in the following set of scores: 9, 3, 6,10, 8, 6, 9, 6, 3, 4

(a) 4 (b) 5 © 5.5 (d) 6

27) A researcher carefully computes the correlation coefficient between two variables and gets r = 1.13.
What does this value mean?

28) Examples of negative correlation are

(a) Demand of a commodity may go down as a result of rise in prices.
(b) Age of husband and age of wife.
(c) The family income and expenditure on luxury items.
(d) Increase in height and weight.

29) If the plotted points in the plane are spread all over the diagram there is
(a) Highly Positive Correlation (b) No Correlation
(c) Highly Negative Correlation (d) None of the above

30) Following are the examples of positive correlation except

(a) Increase in height and weight.
(b) Price of commodity and amount of supply.
(c) Age of husband and age of wife.
(d) Sale of woolen garments and rise in day temperature

31) Degree of Correlation Between + 0.25 and + 0.75 is

(a) Perfect (b) Moderate (c) High (d) Low

32) The relationship between three or more variables is studied with the help of correlation
(a) Double (b) Multiple (c) Single (d) None

33) The correlation coefficient is used to determine:

(a) A specific value of the y-variable given a specific value of the x-variable
(b) A specific value of the x-variable given a specific value of the y-variable
(c) The strength of the relationship between the x and y variables
(d) None of these

34) If there is a very strong correlation between two variables then the correlation coefficient must be
(a) any value larger than 1
(b) much smaller than 0, if the correlation is negative
(c) much larger than 0, regardless of whether the correlation is negative or positive
(d) Value equal to 1 o ness 1

35) If two variables, x and ry, have a very strong correlation, then
(a) there is evidence that x causes a change in y
(b) there is evidence that y causes a change in x
(c) there might not be any causal relationship between x and y
(d) None of these alternatives is correct.

36) Suppose the correlation coefficient between heights (as measured in feet) versus weight (as measured
in pounds) is 0.40. What is the correlation coefficient of height measured in inches versus weight measured
in ounces? [12 inches = one foot; 16 ounces = one pound]
(a) 0.40 (b) 0.30 © 0.533 (d) cannot be determined from information given

37) Assume the same variables as in question above; height is measured in feet and weight is measured in
pounds. Now, suppose that the units of both variables are converted to metric (meters and kilograms). The
impact on the slope is:
(a) the sign of the slope will change
(b) the magnitude of the slope will change
(c) both a and b are correct
(d) neither a nor b are correct

38) The correlation between shoe-size and intelligence is:

(a) Zero (b) Positive (c) Negative (d) None of these

39) Rank the scare of ‘6’ in the following set of scores: 9, 3, 6, 10, 8, 6, 9, 6, 3, 4 (a) 4 (b) 5 (b) 6.5 (d) 6

COMPETENCY BASED QUESTIONS (1 MARK)

Assertion (A) and Reason ® Question Directions for the questions 40 to 45. In each of the questions given
below, there are two statements marked as Assertion (A) and Reason ®. Mark your answer as per the
codes provided below:
(a) A and R are true and R is the correct explanation A.
(b) Both A and R are true but R is not the correct explanation of A.
(c) A is true but R is false.
(d) A is false but R is true.
(e) Both A and R are false.

40) Assertion (A) : If you spend less hours in your studies, chances of scoring low marks/grades increase.
Reason (R) : This is an instance of negative correction

41) Assertion (A) : I the data contains some extreme values, spearman's Rank correlation coefficient can be
veryuseful
Reason (R) : Rank correlation coefficient is not affected by extreme values. Assertion

42) (A) : Karl Pearson's coefficient of correlation should be used only when there is a linear relation
between the variables
Reason (R) : When there is a non-linear relation between X and Y, then calculating the Kari Pearson's
coefficient of correlation can be misleading.

Case-based Questions (1 Mark)

Suppose we are trying to estimate the correlation between the heights and weights of students in a
remote village where neither measuring rods nor weighing machines are available.
43) In such a situation, can we measure the precise correlation? (Yes/No)
44) Which method can be used to measure coefficient of correlation in the above situation
(a) Kari person's coefficient of correlation (b) Spearman's rank correlation (c) Scatter Diagram (d) All of the
above
45) Will the value of correlation affected by extreme Height and Weight ............ (Yes/No).

CONSTRUCTED RESPONSE QUESTIONS (3–4 MARKS)

1) State the objectives of classification.
39) Rank the score of ‘6’ in the following set of scores: 9, 3, 6, 10, 8, 6, 9, 6, 3, 4
(a) 4 (b) 5 (c) 15 (d) 6

Short Answer Type Questions (3/4 Mark Questions) :-

1. What is meant by correlation? What are the properties of coefficient of correlations?
2. Interpret the values of r as 1, –1 and 0.
3. Calculate the correlation coefficient between X & Y and comment on their relationship.
X -3 -2 -1 1 2 3
Y 9 4 1 1 4 9

4. Calculate the correlation coefficient between X & Y and comment on their relationship :
 X 1 2 3 4 5
Y 3 4 6 7 10

5. Plot the following data as a scatter diagram and comment over the result :
X 11 10 15 13 10 16 13 8 17 14
Y 6 7 9 9 7 11 9 6 12 11

6. Number of pairs of observations of X and Y series = 10 X series Arithmetic average = 65 Standard

deviation = 23.33 Y series Arithmetic average = 66 Standard deviation = 14.9 Summation of products of
corresponding deviation of X and Y series = + 2704 Calculate product moment correlation of x and y series.
(Ans. r = + 0.78)

7. From the following data, compute the product movement correlation between x and y.
X series Y series
i) No. of items 15 15
ii) Arithmetic mean 25 18
iii) Square of deviations From arithmetic mean 136 138
iv) Summation of products of deviations of X and Y series from respective means = 122 (Ans. r = 0.89)

PART-B: INTRODUCTORY MICROECONOMICS

UNIT 1
INTRODUCTION

SELECT RESPONSE TYPE MULTIPLE CHOICE QUESTIONS (1 MARK)

1. Which of the following subject matter study in Micro Economics,
(a) Money supply (b) Aggregate demand (c) Market demand of a good (d) National Income

2. Which subject matter does not study in macro economics,

(a) Employment Level (b) Aggregate Supply
(c) National Income (d) Determination of market price

3. Economic Problem arises due to

(a) High population of a country
(b) Competition among buyers
(c) Resources have alternative uses
(d) Producer wants maximum profit

4. Which of these is a central problem of an Economy?

(a) Deficit demand (b) Equilibrium of an economy
(c) For whom to produce (d) Decreasing return to a factor

5. Any point beyond the PPF shows:

(a) Under utilisation of Resource (b) Unattainable combination of output
(c) Efficient utilisation of Resources (d) Decrease in resources.

6. In which situation PPF shifts towards right

(a) Increase in foreign capital (b) Resources are reduced
(c) Fully efficient use of resources (d) Increase in employment
7. Production Possibility Frontier can be a straight line: when
(a) Decrease in production of both goods
(b) More of both goods can be produced
(c) All resources are equally efficient in production of both goods
(d) All resources are not equally efficient in production of both goods

8. Which of the followings are assumptions of PPF

(a) Available Resources are fully and efficiently utilized
(b) Technology remain stable
(c) Resources are not equally efficient in production of all goods
(d) All of the above

9. Which of these statement is correct about Opportunity cost?

(a) Opportunity cost is always higher than the given price.
(b) Opportunity cost is always less than the given price.
(c) Opportunity cost is always calculated in money.
(d) Opportunity cost can be less than, more than or equal to given price.

10. Which of these is Normative Economics.

(a) 25 percent population of India is below poverty line.
(b) Increase in FDI has increased the GDP of India.
(c) Equal distribution of income will make India poverty free.
(d) Higher welfare spending by government increases the Aggregate Demand

11. ln which situation ,can PPF be a straight line:

(a) When MRT is decreasing (b) When MRT is increasing
(c) When MRT is constant (d) When MOC is decreasing

12. PPF is concave to the point of origin due to :

(a) increasing MRT (b) decreasing MRT (c) constant MRT (d) decreasing MOC

13. PPF can be convex to the point of origin due to:

(a) increasing MRT (b) decreasing MRT (c) constant MRT (d) increasing MOC

14. Which of the following central problem of an economy deals with technique of production ?
(a) What to produce (b) How to produce
(c) For whom to produce (d) When to produce

15. Which of the following central problem of an economy deals with deciding the quantity of goods to be
produced?
(a) What to produce (b) How to produce
(c) For whom to produce (d) When to produce

16. Which of the following central problem of an economy deals with selection of category of people who
will ultimately consume the goods?
(a) What to produce (b) how to produce (c) For whom to produce (d) When to produce

17. Which of the following will not lead to shift in PPF?

(a) Improvement in technology
(b) Growth of resources
(c) Degradation in technology
(d) Unemployment