NCERT_CLASS_12_ECONOMICS_MICROECONOMICS

1. Take a look at the following statement about An equilibrium.

Choose the correct answer from the following statements:

2. Take a look at the following statement on a price ceiling.

1. A price ceiling is essentially a price control mechanism.
2. Only necessary commodities are subject to price ceilings.
3. There will be an excess demand for vital products in the market
   (x RS) at that price if the government sets a price ceiling at x RS, which is
   lower than the equilibrium price level.

Choose the correct answer

3. Take a look at the following remark on the Price Floor.

1. The price floor becomes effective when it is set higher than the equilibrium price.
2. A price floor causes a market surplus or oversupply of goods.
3. Minimum wages are one of the most well-known examples of a price floor.

Select the correct response.

4. When the price exceeds the equilibrium price, the following happens:

5. For a particular supply curve, a decrease in demand causes
a decrease in supply.—————-.

6. Assume that both consumer income and the number of sellers
in the Good A market are decreasing. Based on this evidence,
we can confidently assume that the equilibrium exists.

7. Assume that increasing imports result in an increase in the
number of cameras available. Which of the following scenarios is
the most likely?

8. Assume that demand and supply are both increasing at the
same time in the market for a good Z. The final result will be
as follows:

9. Assume that computer manufacturing technology advances
and that individuals discover new ways to utilize computers,
leading in increased computer usage. If any of the following
statements/factors are true, what will happen to the equilibrium
price and quantity?

10. When demand increases and supply decreases, the
equilibrium price is as follows: