Ask questions which are clear, concise and easy to understand.
Ask QuestionPosted by Shubham Malik 7 years ago
- 1 answers
Posted by Shubham Malik 7 years ago
- 2 answers
Yogita Ingle 7 years ago
By establishing a large number of institutes of science and technology, the PPC or Production Possibility Frontier of an economy will shift upwards as there are more skilled resources and technology in the economy. As a result, the production potential of the economy will increase and then the PPC will shift to the right
I think with large number of institutes, more people will get trained and workforce will increase, i.e. rise in human resources. so, rightward shift.
Kartikey Negi 7 years ago
Posted by Shubham Malik 7 years ago
- 1 answers
Yogita Ingle 7 years ago
Environmental degradation can have direct effects on the production potential of a country. For example: because of soil erosion, a farmer produces less output. Also, workers become less productive because of air pollution, water pollution and noise pollution and thus there is depletion of natural and human capital. In terms of Production Possibility Curve(PPC), environmental degradation shifts the PPC to the left. PPC shifts to the left because of lower quality of environment and human capital.

Posted by Shubham Malik 7 years ago
- 1 answers
Kartikey Negi 7 years ago
Posted by Shubham Malik 7 years ago
- 1 answers
Pragya Tyagi 7 years ago
Posted by Shubham Malik 7 years ago
- 2 answers
Abhay Pandey 7 years ago
Gaurav Seth 7 years ago
There will be rightward shift in PPC because due to education campaign people get educated and after being educated person they will be able to help the economy in improving the resources and technology and with the increase in resources nd technology there will be rightward shift in ppc.
Posted by Shubham Malik 7 years ago
- 1 answers
Yogita Ingle 7 years ago
Make in India campaign was started by honorable Prime Minister of India with a aim to boost economy and mind you that economy is a process where people work to earn their living. Make In India will increase the production of new items for which technology will be upgraded and new equipments will be needed. Therefore it will impact the PPC with a shift towards it right.
Rightward shift of ppc as increase in the efficiency of resources and advanced technology.
Posted by Keshav Duggal 7 years ago
- 1 answers
Yogita Ingle 7 years ago
APC can be zero only when consumption becomes zero. However, consumption is never zero at any level of income. Even at zero level of national income, there is autonomous consumption (c).
If entire additional income is saved, i.e. AC = 0, then MPC = 0. In normal situations, value of MPC varies between 0 and 1.
Posted by Akash Ragu 7 years ago
- 1 answers
Yogita Ingle 7 years ago
- Microeconomics deals with individuals whereas macroeconomics deals with the economy as a whole entity consisting of collective individual units.
- Macroeconomics uses aggregate demand and aggregate supply to explain it’s concepts whereas microeconomics employs demand and supply.
Microeconomics explains that to earn maximum profit producers should decrease supply when prices are low and increase supply when prices are high, but if all individual suppliers decrease the supply of a commodity, then collectively the overall supply would change, and this will have effects on income, expenditure, taxation policies etc. Thus to overcome the shortcomings of microeconomic theory, the macroeconomic theory came into existence which focuses on aggregates and discusses the welfare of the economy as a whole.
Posted by Sanskriti Soni 7 years ago
- 2 answers
Sanskriti Soni 7 years ago
Sanskriti Soni 5 years, 8 months ago
Posted by Saurabh Tiwari 7 years ago
- 0 answers
Posted by Harshit Pandey 7 years ago
- 4 answers
Sumit Pal 7 years ago
Yogita Ingle 7 years ago
Returns to a factor It refers to the behaviour of output when only one variable factor of production is increased in short-run and fixed factors remain constant.
Law of diminishing returns to a factor It refers to a situation in which total output increases at a diminishing rate when more and more variable factor is combined with the fixed factor of production. In this situation, Marginal Product of the variable factor must be diminishing.
Anjali Parsad 7 years ago
Posted by Namsha R 7 years ago
- 2 answers
Yogita Ingle 7 years ago
Primary deficit is defined as fiscal deficit minus interest payments on previous borrowings. We have seen that borrowing includes not only accumulated debt but also interest payment on the debt. If we deduct 'interest payments on debt' from borrowing, the balance is called primary deficit. It shows how much government borrowing is going to meet expenses other than interest payments. Thus zero primary deficit means that government has to resort to borrowing only to make interest payments. To know the amount of borrowing on account of current expenditure over revenue, we need to calculate primary deficit. Thus primary deficit is equal to fiscal deficit less interest payments. Symbolically:
Primary deficit - Fiscal deficit - Interest payments
Posted by S Nimisha Panicker 7 years ago
- 2 answers
Pragya Tyagi 7 years ago
Namsha R 7 years ago
Posted by Dushyant Yadav 7 years ago
- 3 answers
Posted by Cbse Student 7 years ago
- 2 answers
Posted by Monica Krmdb 7 years ago
- 1 answers
Anjali Parsad 7 years ago
Posted by Monica Krmdb 7 years ago
- 1 answers
Tanya Jain 7 years ago
Posted by Cbse Student 7 years ago
- 2 answers
Yogita Ingle 7 years ago
Appreciation of a currency is the increase in its value in terms of another foreign currency. Thus currency appreciation takes place when there is a decrease in the domestic currency price of foreign currency. For instance, if the value of a rupee in terms of US dollar increases, say from र 50 to र 49 to a dollar, it will be called appreciation of Indian currency (i.e., rupee) because less rupees are required to buy one US dollar. This shows strengthening of the Indian rupee. So with same amount of money (Rupees), more goods can be purchased from US. It means imports from US have become cheaper. This may result in increase of imports by India from US. By contrast when Indian rupee in dollar terms appreciates, the dollar would depreciate. In short, lower exchange rate like $I = र 49 instead of र 50 means appreciation of Indian currency.
Posted by Cbse Student 7 years ago
- 2 answers
Yogita Ingle 7 years ago
Depreciation of a currency is fall in price of domestic currency (say, rupees) in terms of foreign currency (say, dollar). It means one dollar can be exchanged for more rupees. Its implication is that with the same amount of dollars more of goods can be purchased from India. This means Indian goods have become cheaper for Americans. This may result in increase of exports from India to America. Thus currency depreciation takes place when there is an increase in the domestic-currency-price of the foreign currency. For instance, if the value of rupee in terms of US dollar falls, say from र 50 to र 51 to a dollar, it will be a case of depreciation of Indian rupee because more rupees are required now to buy one US dollar. In short, higher exchange rate like $1 = र 51 instead of र 50 means depreciation of Indian currency.
Posted by Ayan Ahmed 7 years ago
- 2 answers
Vaibhav Madaan 7 years ago
Posted by Kamna Saini 7 years ago
- 2 answers
Yogita Ingle 7 years ago
| Cardinal Utility | Ordinal Utility |
| It assumes that the satisfaction can be measured & expressed in cardinal i.e. countable numbers. | It assumes that satisfaction cannot be measured in numbers but things can be arranged in the order of our preference. |
| Ram yields 60 utils of satisfaction from pizza and 40 utils from a burger. | Ram yields more satisfaction from Pizzas in comparison to burger. |
| It says that ‘Utility’ is measured in ‘utils’ | It says that ‘Utility’ is rank based on “satisfaction” |
| It is less realistic. | It is more realistic. |
| This concept was used by Prof. Marshall | This concept was used by Prof. J R Hicks |
Posted by Pinki Yadav 7 years ago
- 2 answers
Vaibhav Madaan 7 years ago
Yogita Ingle 7 years ago
Households buy more of a commodity at a lower price due to the working of the following factors:
- Law of diminishing marginal utility: As marginal utility derived from every additional unit of a good consumed tends to decline at the same price. Consequently, for each additional unit of the good, the consumer is willing to pay a lesser price. Thus, the consumer will increase his demand only when the price falls.
- Several uses of a commodity: A commodity can be used for different purposes. For example, wheat flour can be used for making chapatis, biscuits, bread, etc. With the fall in the price, the good will be put to various uses and consequently the demand will rise.
- Substitution effect: It implies that with fall in the price of a good makes its substitute goods relatively expensive. For example a fall in the price of pepsi would make coca-cola relatively expensive. Thus, the consumers who were having coca-cola will shift their demand towards pepsi and thereby demand for coca-cola reduces and for pepsi increases.
- Income effect: It implies that a fall in the price of a good leads to the rise in the purchasing power of the money income of the consumer and consequently leads to the increase in the demand for good. This is because more of good can be purchased with the same amount of money.
Posted by Ayush Semwal 7 years ago
- 1 answers
Posted by Himanshu Sharma 7 years ago
- 2 answers
Kanika Mastana 7 years ago
Abhishek Lakhotia 7 years ago

myCBSEguide
Trusted by 1 Crore+ Students

Test Generator
Create papers online. It's FREE.

CUET Mock Tests
75,000+ questions to practice only on myCBSEguide app
myCBSEguide
Kamna Saini 7 years ago
2Thank You