1.
Read the following statements and identify the correct economic system:
- The government has ownership in most resources.
- Enterprises follow central targets rather than market demand.
- There is restricted competition among private enterprises.
2.
Raman has a piece of agricultural land. He can either grow sugarcane or drought-resistant millets. If he chooses millets, what is his opportunity cost?
3.
A student receives ₹500. They can either buy a reference book for their studies or spend it on a movie ticket. They choose the book. What is the opportunity cost of this choice?
4.
The word 'Economics' originates from the Greek word 'oikonomia'. What is its closest translation?
5.
According to the PPC (Production Possibility Curve), what does a point *inside* the curve represent?
6.
What is the primary role of the government in a mixed economy?
7.
A garment factory decides to use automated sewing machines instead of hiring more tailors. Which central economic question is this factory addressing?
8.
Consider the role of economists as described in the chapter. Which activity falls under 'Business consulting'?
9.
How does the 'Economic Survey of India' assist policymakers and citizens?
10.
If a government decides to spend a significant portion of its budget on building highways instead of hospitals, what economic reality does this reflect?
11.
Why do different economic systems exist?
12.
Identify the incorrect statement about a planned economy.
13.
In a Production Possibility Curve (PPC) plotting wheat and barley, what does moving from one point to another along the downward-sloping curve indicate?
14.
Which situation describes a capital-intensive method of production?
15.
Assertion-Reason
- Assertion (A): After 1991, India's economic system shifted towards a more market-oriented system.
- Reason (R): The 1991 economic reforms increased government regulations and expanded the public sector.
16.
In an economy, a company manufactures expensive leather shoes for office-goers and affordable synthetic shoes for factory workers. Which economic question is driving this decision?
17.
Assertion-Reason
- Assertion (A): Time is considered a scarce resource for individuals.
- Reason (R): People can only allocate 24 hours a day to various alternative activities.
18.
How does the mismatch between limited resources and unlimited wants affect the environment?
19.
Assertion-Reason
- Assertion (A): Almost all modern economies operate as pure market economies.
- Reason (R): Governments always need to intervene to provide public goods and ensure fair competition.
20.
Which economic entity is primarily responsible for ensuring safety, maintaining law and order, and providing physical infrastructure in a market economy?
21.
Assertion-Reason
- Assertion (A): Human wants are unlimited, but the resources to satisfy them are limited.
- Reason (R): The mismatch between unlimited wants and limited resources leads to the problem of scarcity.
22.
Which of the following scenarios best illustrates the economic concept of a 'want' rather than a 'need'?
23.
A manufacturer is analyzing whether to produce luxury sedans or economy hatchbacks. They look at data regarding average citizen income. Which of the following justifies their use of data?
24.
In a market economy, how are prices of goods and services primarily determined?
25.
Why is the central problem of 'what to produce' critical for long-term sustainability?
26.
Which of the following is NOT an example of the alternative uses of steel?
27.
If advanced technology becomes cheap and easily available, how will it most likely affect a garment manufacturer's answer to 'How to produce'?
28.
Which of the following is NOT considered one of the four main factors of production?
29.
Which of the following is a characteristic of a 'public good' in a mixed economy?
30.
In the context of the chapter, which of the following best defines 'opportunity cost'?
