(Compartment 2014), Define capital goods. Introduction to Microeconomics (ECON 201) Uploaded by. 5.Define final product. Which combination of economic concepts is illustrated by a production possibility curve? NCERT Solutions for Class 6, 7, 8, 9, 10, 11 and 12. This post of Economics GK Questions for Competitive Exams is very very important. They are the fixed assets of the producer, e.g. Academic year. There are three fundamental questions every society must answer. (i) Furniture purchased by school — Final product. Giving reasons, classify the following into intermediate and final goods. Professionals, Teachers, Students and Kids Trivia Quizzes to test your knowledge on the subject. (i) Final goods The goods, which have crossed the boundary line of production and are ready for use by their final users are known as final goods, e.g. (ii) Expenditure on improvement of machine in a factory. (a) Durable goods These are those goods, which can be used several number of times for a considerable period of time. (ii) Aggregate investment It refers to the total capital formation in the economy during an accounting year. 7. (i) Final consumer goods                               (ii) Final producer goods, 6.Giving reasons, classify the following into intermediate products and final products, (ii)Chalks, dusters, etc purchased by  school                                  (Delhi 2012). steel used in the production of cars and those finished goods which are meant for resale such as milk purchase by milk seller. (All India 2013). building, plant and machinery. Reason: A mobile dealer purchases mobile sets for reselling purpose. 3. (ii) A car purchased by a household. "Capitalism" refers to: a. the use of markets b. government ownership of capital goods c. private ownership of capital goods d. private ownership of homes & cars 3. ADVERTISEMENTS: Exam questions and answers on economics! Importance of Macroeconomics Reason: Expenditure on improvement of machine in a factory is a kind of capital investment, so it should be considered as final expenditure. Whereas managerial economics is micro-economic in character economics is both macro-economic … Topic 1 : Basic Concepts of Economics 1. 2016/2017 For example, milk, vegetables etc. 8. Ans. (i) Expenditure on maintenance of an office building — Intermediate expenditure. Concordia University. (All India 2012). Study of small economic units such as individuals, firms, and industries (competitive markets, labor markets, personal decision making, etc.) Consumer goods are further classified into: i. clothes, milk consumed by a consumer. 10. They help to convert intermediate goods into finished goods. The goods purchased by a firm for the use in production of other goods or for the purpose of reselling are known as intermediate goods, e.g. Ans. Reason: Schools buy furnitures for long-term use and it can be considered an investment. 1. The goods, which have crossed the boundary line of production and are ready for use by their final users, known as final goods, e.g. (i) Computers installed in an office — Final product. (c) Non-durable goods These are the goods which have a very short life span and mostly get exhausted in a single use. these goods has certain life spam like car, A.C. etc. (Delhi 2010 c). 2. 4. You should also check Basic Questions of General Awareness and Basic General Knowledge Questions for better practice of gk questions for competitive exams. Give two examples of each. Two examples of intermediate goods are: (ii) Mobile sets purchased by a mobile dealer. (iii) Consumer goods Goods which are directly used for satisfaction of human wants and which are not used in production for other purpose are known as consumer goods, e.g. *, 2. Study of macroeconomics includes: Final goods are often classified as: Introduction to Microeconomics (ECON 201), Chapter 1 - economics basics - questions and answers, Copyright © 2020 StudeerSnel B.V., Keizersgracht 424, 1016 GC Amsterdam, KVK: 56829787, BTW: NL852321363B01, Upgrade to Premium to read the full document, Share your documents to get free Premium access, Practical - chapter 1-3 questions & answers, Practical - chapter 8 questions & answers, 511Notes - ------------------------------------------------------------------------------------------------------, Chap01Sup - ------------------------------------------------------------------------------------------------------, Summary - A Brief Review on Microeconomics Principles - Introduction to Microeconomics. Ans. (ii)Mobile sets purchased by a mobile dealer. (a) Final consumer goods These are the goods which are consumed by the consumers like milk, bread etc. (i) Machine purchased by a dealer of machines — Intermediate goods, Reason: A dealer purchases machines for reselling purpose, so it is an example of intermediate goods. Goods which are directly used for satisfaction of human wants and which are not used in production and for other purpose are known as consumer goods or consumption goods, e.g. (ii) Mobile sets purchased by a mobile dealer — Intermediate products. Basic conomic Problem 5 B The prices of two types of products being produced C The quantity of capital and consumer goods that people would like to be produced D The relative profitability of capital and consumer goods 9. ii. 1. Reason: A household purchases a car for consumption purpose, so it is an example of final goods. Ans. 9. You can easily get 2-3 marks with the help of Economics GK Questions and answers for Competitive Exams. (iii) Aggregate Demand (AD) It is the total demand of an economy including all the sectors at a given level of income during at a given period of time. (b) Semi-durable goods These are those good which do not have very long life span however do not gets exhausted in a single use either. (iv) It has special significance in studying monetary problems that affects the economy. The fundamental economic problem faced by all societies is: a. unemployment b. inequality c. poverty d. scarcity 2. Ans. (v) Domestic income It is the income generated with in the domestic boundary of the country during an accounting year. Ans. i.e. clothes, milk consumed by a consumer. Give reason and identify whether the following are final expenditures or intermediate expenditure. The goods which are repeatedly used in the process of production. (All India 2012). Macroeconomics It studies economic problems at the level of an economy as a whole. Chapter 1 - economics basics - questions and answers. lucas tonton. Reason Offices buy computers as long-term durable products and are investment for them. Ans. Great Depression :The period from 1929 to 1933 is called the period of great depression. Course. How does Managerial Economics Differ from Economics? (b) Final producer goods These are the goods which are consumed or used by the producers like machinery equipment etc. (i) It helps in government policy formulation. Give the meaning of capital goods. ice-cream and milk used by the households. Practical question (Chapter 1 to 5) University. steel used in the production of cars and those finished goods which are meant for resale, such as milk purchases by a milk seller. 3.Define consumption goods. NCERT Solutions for Class 10 Science Chapter 1, NCERT Solutions for Class 10 Science Chapter 2, Periodic Classification of Elements Class 10, NCERT Solutions for Class 10 Science Chapter 7, NCERT Solutions for Class 10 Science Chapter 8, NCERT Solutions for Class 10 Science Chapter 9, NCERT Solutions for Class 10 Science Chapter 10, NCERT Solutions for Class 10 Science Chapter 11, NCERT Solutions for Class 10 Science Chapter 12, NCERT Solutions for Class 10 Science Chapter 13, NCERT Solutions for Class 10 Science Chapter 14, NCERT Solutions for Class 10 Science Chapter 15, NCERT Solutions for Class 10 Science Chapter 16, CBSE Previous Year Question Papers Class 12, CBSE Previous Year Question Papers Class 10. MACROeconomics-Study of the large economy as a whole or in its basic subdivisions (National Economic Growth, Government Spending, Inflation, Unemployment, etc.) building, plant and machinery. (ii) Intermediate goods The goods purchased by a firm for the use in production of other goods or for the purpose of reselling, are known as intermediate goods, e.g. Distinguish between intermediate and final goods. (ii) A car purchased by a household — Final goods. (i) Aggregate consumption It is the consumption of goods and services by all individuals in the economy during the period of an accounting year. Expenditure on improvement of machine in a factory — Final expenditure. Please sign in or register to post comments. 1. 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