Class 11 Economics Important Chapter 1 Introduction

Class 11 Economics Important Chapter 1 Introduction Solutions English Medium As Per AHSEC New Syllabus to each chapter is provided in the list so that you can easily browse through different chapters ASSEB Class 11 Economics Important Solutions and select need one. AHSEC Class 11 Economics Additional Notes English Medium Download PDF. HS 1st Year Economics Important Solutions in English.

Class 11 Economics Important Chapter 1 Introduction

Also, you can read the NCERT book online in these sections Solutions by Expert Teachers as per Central Board of Secondary Education (CBSE) Book guidelines. Assam AHSEC Board Class 11 Economics Additional Question Answer are part of All Subject Solutions. Here we have given HS 1st Year Economics Important Notes in English for All Chapters, You can practice these here.

Introduction

Chapter: 1

PART – A : MICROECONOMICS

IMPORTANT QUESTION AND ANSWER

Short Type Question and Answer:

1. What is the primary focus of microeconomics?

Ans: Microeconomics focuses on the behavior of individual economic units such as consumers, firms, and industries.

2. What is macroeconomics concerned with?

Ans: Macroeconomics deals with the economy as a whole, studying aggregate factors like national income, unemployment, and inflation.

3. Who coined the terms microeconomics and macroeconomics?

Ans: The terms were coined by Ragnar Frisch in 1933.

4. What is the meaning of “scarcity” in economics?

Ans: Scarcity refers to the condition where resources are limited in relation to the unlimited wants of people.

5. What does the concept of opportunity cost involve?

Ans: Opportunity cost refers to the value of the next best alternative foregone when making a choice.

6. What is the main determinant of microeconomic decisions?

Ans: Price is the main determinant in microeconomics for solving economic problems related to individual goods and services.

7. Why is microeconomics called “price theory”?

Ans: Microeconomics is called “price theory” because it focuses on the determination of prices of goods and services through supply and demand.

8. What does a market economy rely on to determine prices?

Ans: A market economy relies on the market forces of supply and demand to determine prices.

9. What is a centrally planned economy?

Ans: A centrally planned economy is one where the government makes all decisions regarding the production and distribution of goods and services.

10. What is meant by ‘marginal opportunity cost’?

Ans: Marginal opportunity cost refers to the loss in output of one good for each additional unit of another good produced.

11. What is the key characteristic of a mixed economy?

Ans: A mixed economy combines both private sector and public sector control over the economy.

12. What are the central problems in economics?

Ans: The central problems are “What to produce?”, “How to produce?”, and “For whom to produce?”

13. What does the production possibility curve (PPC) show?

Ans: The PPC shows the maximum possible production combinations of two goods that can be produced with limited resources.

14. How does a planned economy differ from a market economy?

Ans: In a planned economy, the government makes all decisions, while in a market economy, decisions are based on supply and demand.

15. What is the opportunity cost of producing more wheat?

Ans: The opportunity cost of producing more wheat is the amount of other goods, such as cloth, that must be sacrificed to produce the additional wheat.