12th Eco Rrs Quarterly

RED ROSE SCHOOL LAMBAKHEDA BHOPAL
FIRST TERM EXAMINATION , 2019

CLASS XII
SUBJECT : ECONOMICS
Max. Time :- 3 Hours Max. Marks :- 80
GENERAL INSTRUCTIONS:-
1. All the questions are compulsory. However, there is internal choice in some
questions.
2. Marks for questions are indicated against each.
3. Question No. 1-10 and 18-27 are very short answer questions carry 1 mark
each. They are required to be answered in one sentence.
4. Question No. 11-12 and 28-29 are short answer questions carry 3 mark each.
They are required to be answered in 60 words.
5. Question No. 13-15 and 30-32 are short answer questions carry 4 mark each.
6. Question No. 16-17 and 33-34 are Long answer questions carry 6 mark each.
7. Answers should be brief and to the point and the above word limit be adhered
as far as possible.
8. Graph work should be done in saperate graphs. Use appropriate scale.
SECTION A
( INDIAN ECONOMIC DEVELOPMENT )
1) The annual growth rate of per capita real GDP of India during last 50 years
before independence was ______.
2) The objective of Equity can be achieved by:- ( Choose the correct
Alternative )
a) Increasing Poverty
b) Reducing Income inequalities
c) Reducing education ratio
d) Reducing the Age – sex composition
3) Inward foreign direct investment is useful because:-
a) Brings in foreign exchange
b) Brings in Modern Technology
c) Brings in management expertise
d) All of the above
4) The achievement of Industrial and Trade Policy was :-
a) Contribution to India's GDP increased from 11.8% to 24.6%
b) Contribution to India’s Net production increasing by 10%
c) Decline of small scale sector due to Trade Policy
d) Increase in Production of wheat per year by 20 tonnes per hectare
5) Tariff barriers are the _________ restrictions imposed on a particular good.
6) The Monopolistic Tendencies in reference to the industrial Policy (1950-1990)
was ______________.
OR
“Tariffs are imposed on imports to make good cheaper”. True/False. Give
reasons.
7) “Economists raise doubts about the government’s claim for decline in poverty
levels.” True/False. Give reasons.
8) The effects of Economic reforms was noticeable that the rate of corporate tax
was :-
a. Gradually reduced
b. Increased
c. Reduced step by step
d. Does not change
9) Land Reforms were successful in Kerala and West Bengal due to:-
a) Education Rate was upto the mark
b) Landowners used the reforms to rectify the problems
c) States had adequate Coverage of farmer members
d) States had governments committed to the policy of land to the tiller.
10)The target group of “National Social Assistance Programme" , initiated by the
central government was :-
a. Unemployed labour
b. Destitute women
c. Doctors
d. Vendors, cart pullers
11)Why has Industrial sector performed poorly in the reform period?
OR
“Agricultural sector appears to be adversely affected by the reform process".
Justify.
12)Discuss economic reforms in india in the light of social justice and welfare.
OR
“India has certain advantages which make it a favourable outsourcing
destination.” Do you think Outsourcing is good for India? Why are developed
countries opposing it?
13)“The railways affected the structure of the Indian economy positively , as well
as negatively.” Discuss.
14)SSIs plays an important role in the economy of our country. Discuss.
15)While Subsidies encourage farmers to use new technology, they are a huge
burden on government finances. Discuss the usefulness of subsidies in the
light of this fact.
OR
Explain the need for adoption for Industrial Policy Resolution 1956 and the
three fold classification of Industries with reference to licensing.
16)Describe the various Poverty Alleviation Programmes initiated by the
government to eradicate poverty.
OR
What are the main causes responsible for poverty? Explain the three
dimensional attack on poverty adopted by the government.
17)What is Green Revolution? Why it was implemented and hoe did it benefit the
farmers? Is there a need of Second Green Revolution. Explain.
SECTION – B
( MACROECONOMICS )
18)Demand Deposits include :-

a) Savings account deposits and fixed deposits
b) Savings account deposits and current account deposits
c) Cu
t account deposits and fixed deposits
d) All types of deposits
19)The Value of Nominal GDP of an economy was Rs.2500 crore in a particular
year. The value of GNP of that country during the same year, evaluated at the
prices of the same base year was Rs.3000 crores. The value of GNP deflator
of the year in percentage terms is :-
a. 83.33%
b. 93.4%
c. 45.8%
d. 26.01%
20)If MPC > MPS , the value of Multiplier will be :-
a) Greater than 2
b) Less than 2
c) Equal to 2
d) Equal to 5
21)In order to encourage investments in the economy, the central bank may
________ ( Choose the correct alternative)
a) Reduce Cash Reserve Ratio
b) Increase Cash Reserve Ratio
c) Sells Government securities in Open Market
d) Increase Bank Rate
22)Compensation given to victims of Sri Lankan Riots is a good social security
measure but still it is not included in the estimation of national income. Give
reasons. Name a value highlighted in the above case.
23)In an Economy C = 100 + 0.75Y , I = 500. Calculate Equilibrium level of
Income and consumption expenditure :-
a) 3000 ; 1500
b) 6000 ; 1000
c) 2000 ; 1500
d) 1500 ; 2000
24)Weaker sections of the economy needs loans to perceive Self Employment.
The sections feel shy of approaching banks for the same. Which of the
methods of credit control the central bank can adopt to persuade commercial
banks to treat the weaker sections on priority basis:-
a. Moral suasion
b. Selective credit control
c. Margin requirements
d. Clearing House
25)Investment which is independent to the level of Income is called:-
a) Autonomous Investment
b) Fixed Investment
c) Induced Investment
d) Inventory Investment
OR
Source of Money Supply in an economy is:-
a. Central Bank
b. Commercial Banks
c. Both (a) and (b)
d. Government
26)When Real National Income increases , the production possibilities curve
shifts rightwards. True or False. Give reasons.
27)Government of India recently launched “Jan Dhan Yojana” aimed at every
household in the country to have at least one bank account. How deposits
made and the plan are going to affect the national income of the country :-
a. Increase the deposits
b. Lower the time deposits
c. Decrease the deposits
d. No effect.
28)“Higher Gross domestic Product means greater per capita availability of goods
of the economy". Do you agree with the given statement? Give valid reason in
support of your answer.
OR
A School conducts the following transactions during the year.
a) Buys furniture worth rupees 5 lakhs
b) Receives tution fees worth Rs. 50 lakhs
c) Pays Rs.10 Lakhs as salary to staff
d) Constructs a new room for 3 Lakhs
e) Distributes gifts of Rs.1 lakh to employees
Explain, with reasons, the effect of each of the above transactions on
national income and by which method.
29)Discuss the adjustment Mechanism in the following situations:-
a) Aggregate Demand is lesser than Aggregate Supply
b) Ex-Ante Savings are greater than Ex – Ante Investments.
OR
What is the difference between Voluntary Unemployment and
involuntary Unemployment? State the significance of this distinction
and relate it with Aggregate Demand.
30)In an economy 75% of the increase in income is spent on consumption.
Investment is increased by 1000 Crores. Calculate:
i. Total increase in Income
ii. Total increase in consumption expenditure
31)Explain the process of credit creation by commercial banks. How it is likely to
affect the national income?
OR
Describe the “Banker to the government" function of Central Bank.
32)From the following data , find out Net value added at factor cost.
I. Total Sales 75000
II. Purchase of Raw Material 30000
III. Indirect Tax 7500
IV. Consumption of fixed capital 2500
33)Explain the equilibrium level of income with the help of the two alternative
approaches. Use Diagram
OR
What is Inflationary gap? Explain the impact on the economy and national
income.
Explain the role of Central Bank for the following to resolve the problem:-
a) Repo Rate b) Margin Requirements
34. Calculate National Income at Market price by Value added , Income and
expenditure method.
ITEMS Rs. ( in Crores )

Net Exports 0
Depreciation 50
Mixed Income of Self 345
Employed
Closing stock (a) Primary 15
sector
(b) Secondary Sector 10
Private Final Consumption 630

Expenditure
Net Domestic Fixed 130
capital Formation
Government final 85
Consumption Expenditure
Operating Surplus 130
Opening Stock (a) 5
Primary sector
(b) Secondary sector 5
Net factor income to 0
abroad
Net Indirect Taxes 95
Sale of goods and 2395
services by all sectors
Intermediate consumption 1500
by all sectors
Compensation of 290
Employees

12th Eco Rrs Quarterly

Uploaded by

Copyright:

Available Formats

12th Eco Rrs Quarterly

Uploaded by

Document Information

Original Description:

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

12th Eco Rrs Quarterly

Uploaded by

Copyright:

Available Formats

RED ROSE SCHOOL LAMBAKHEDA BHOPAL

FIRST TERM EXAMINATION , 2019

18)Demand Deposits include :-

ITEMS Rs. ( in Crores )

Private Final Consumption 630

You might also like