Dear students get fully solved assignments
Send your semester & Specialization name to our mail id :
“ help.mbaassignments@gmail.com ”
or
Call us at : 08263069601
National Institute of Business Management
Chennai – 020
EMBA/ MBA
Elective: Principles of Economics
Attend any 4 questions. Each question carries 25 marks
(Each answer should be of minimum 2 pages / of 300 words)
- 1. What are the vital functions of an Economy? Explain the price mechanism.
Answer:“Economy is a system by which people get their living.” Just like a machine, made up different parts that perform specific functions, an economy is made up of a system which has different functions. Some people provide labour, some people provide land and others provide capital or entrepreneurship. All these parts which perform different functions work together and form the economy of the country. Remember, production generate income. It doesn’t matter whether it is agricultural, manufacturing, mining, fishing or service industry, all these activities produce income for the people involved. For every dollar’s worth of service and goods produced,
- 2. Explain measurement of Price Elasticity of Demand.
Answer: There are four methods of measuring elasticity of demand. They are the percentage method, point method, arc method and expenditure method.
(1) The Percentage Method:The price elasticity of demand is measured by its coefficient Ep. This coefficient Ep measures the percentage change in the quantity of a commodity demanded resulting from a given percentage change in its price
(2) The Point Method:Prof. Marshall devised a geometrical method for measuring elasticity at a point on the demand curve.
- 3. Describe the kinds of Economic Systems.
Answer:There are four primary types of economic systems in the world: traditional, command, market and mixed. Each economy has its strengths and weaknesses, its sub-economies and tendencies, and, of course, a troubled history. Below we examine each system in turn and give ample attention to the attributes listed above. It’s important to understand how different parts of the world function economically, as the economy is one of the strongest forces when it comes to balancing political power, instigating war and delivering a high (or low) quality of
- 4. Price mechanism also known as the market mechanism, that helpsto solve the central problems in Capitalist Economy. Explain.
Answer: The price system functions through prices of both goods and services. Prices determine the production of innumerable goods and services. They organise production and help in the distribution of goods and services, ration out the supplies of goods and services and provide for economic growth. Let us analyse the role of prices in all these spheres.
- 5. What are the factors governing Price Elasticity of Demand? Explain.
Answer:
- 6. Explain economic systems and resource allocation.
Answer:
Dear students get fully solved assignments
Send your semester & Specialization name to our mail id :
“ help.mbaassignments@gmail.com ”
or
Call us at : 08263069601