VIVEKANANDHA COLLEGE OF ARTS AND SCIENCES FOR WOMEN(AUTONOMOUS)

DEPARTMENT OF COMMERCE

Internal Examination 1 – August 2014

BUSINESS ECONOMICS (14U1CMA01) I B.Com – Section A, B, & C (SEMESTER –I)

Time: 3 Hrs. Maximum: 75 Marks

Part – A (10 X 2 = 20 Marks)Answer ALL the Questions

1. Define ‘Business Economics

2. Explain the term ‘Economics’

3. What is Effective Demand?

4. What is Elasticity of Demand?

5. What is Individual Demand Schedule?

6. What is the difference between ‘Law of Demand’ and ‘Elasticity of Demand’?

7. Write the ‘Wealth definition of Economics’ given by Adam smith

8. Write the ‘Scarcity definition of Economics’ given by Lionel Robbins

9. What are the differences between Micro Economics and Macro Economics?

10. What is cross Elasticity of Demand?

Part – B (5 X 5 = 25 Marks)Answer ALL the Questions

11.

A) Explain the Law of Demand with the help of Demand Curve and Demand Schedule

(OR)

B) What are the factors determine the Demand?

12.

A) Why does the Demand Curve slope downwards?

(OR)

B) “Economics is a Science or Arts” – Explain

1

13.A) Explain the terms a) Positive Economics b) Normative Economics

(OR)

B) Explain the scope of the Business Economics

14.A) What are the characteristics of Business Economics?

(OR)

B) What are the exceptions of Law of Demand with examples?

15.A) Explore the modern view of Economics given by Paul. Samuelson

(OR)

B) Explain the advantages and disadvantages of Marshall’s view on Economics

Part – C (3 X 10 = 30 Marks)Answer any THREE Questions

16. “Inductive and Deductive methods of Economics are complementary to each other” –

Discuss

17. Describe the importance of Micro Economics and Macro Economics

18. Elaborate the different types of electivity of Demand with suitable diagrams

19. Explain various types of Demand

20. What are the factors that determine Elasticity of Demand? Bring out the practical

applications of Elasticity of Demand in business.

*******************************

2