If carrots and a good Y are substitutes, the relationship between the price of good Y and the quantity demand of carrots will be shown by a curve that will

The question below consists of a set of labelled sentences. Out of the four options given, select the most logical order of the sentences to form acoherent paragraph.
P- The magnitude of the interdependence depends on the technique of production causing the shifts in the food supply curve.
Q- Interdependence of food and labour market is important for the development process.
R- Similarly, an upward shift in the food supply curve shifts up the food demand curve.
S- An upward shift in the food supply curve would simultaneously result in an upward shift in the labour demand curve.

A

QSPR

B

QPRS

C

PSRQ

D

SPQR

Statement I Point price elasticity of demand in terms of marginal and average revenues can be measured with the following formula $$\frac{{AR}}{{AR - MR}}.$$
Statement II The point price elasticity of demand is the product of the slope of the demand function and the ratio between corresponding price and quantity.

A

Both the statements are correct

B

Both the statements are incorrect

C

Statement I is correct, while Statement II is incorrect

D

Statement I is incorrect, while Statement II is correct

From the following determinants of the price elasticity of demand, indicate the correct option for the determinants having a positive relationship with the degree of the price elasticity of demand.
1. Range of substitutes of the commodity
2. Extent of the different uses of the commodity
3. Portion of the income of the buyer spent on the commodity
4. Income group of buyers purchasing the commodity

A

Both 1 and 2

B

Both 3 and 4

C

1, 2 and 3

D

2, 3 and 4

Assertion (A): The demand for a commodity refers to the quantity of the commodity in demand at a certain price during any particular period.
Reason (R): The contraction of demand is the result of an increase in the price of the good concerned.

A

Both (A) and (R) are true

B

Both (A) and (R) are incorrect

C

(A) is correct but (R) is incorrect

D

(A) is incorrect but (R) is correct

The MC curve reaches its minimum point before the AVC curve and the AC curve. In addition the MC curve intersects the AVC curve and the AC curve at their lowest point. The above statements are both true

A

Always

B

Often

C

Never

D

Sometimes

Good 'Y' is the substitute for good 'X' if
1. A fall in the price of good X leads to the fall in the marginal utility of good Y.
2. A fall in the price of good X leads to the fall in the quantity purchased of good Y. Select the correct answer

A

Only 1

B

Only 2

C

Both 1 and 2

D

Neither 1 nor 2

when demand for factory's products is high . more money is spent at the factory for safety precautions and machinery maintenance than when demand is low. thus the average number of on -the-job accidents per employee each month should be lower during perids when demand is high than when demand is low and less money is available for safety precautions and machinery maintenance .when demand for its products is high, casts the most serious doubt on the conclusion drawn above?

A

Employees demand for higher wages than they do at other times.

B

Authority hires new workers but lacks the time to rain them properly.

C

Employees are less likely to lose their jobs than are at other times.

D

Authority sponsors a monthly safety award for each division in the factory.

When demand for a factory's products is high, more money is spent at the factory for safety precautions and machinery maintenance than demand is low. Thus the average number of on-the-job accidents per employee each month should be bower during periods when demand is high than when demand is low and less money is available for safety precautions and machinery maintenance. Which of the following,if true about a factory when demand for its product is high casts the most serious doubt on the conclusion drawn above?

A

Its employees ask for higher wages than they do at other times.

B

Its management hires new workers but lacks the time to train them properly.

C

Its employees are less likely to lose their jobs than they are at other times.

D

Its management sponsors a monthly safety award for each division in the factory.

Match the characteristics with their market structure: (a) Differentiated products, but close substitutes for consumers so their demand curves are elastic
(b) Homogeneous product, all goods are perfect substitutes for consumers

A

(a) Monopolistic Competition, (b) Pure Competition

B

(a) Monopolistic Competition, (b) Pure Monopoly

C

(a) Pure Monopoly, (b) Pure Competition

D

(a) Pure Monopoly, (b) Pure Competition

Which of the following could provide an example of exceptional demand curves?
1. Demand for "Giffen goods"
2. Demand based on fears of a future rise in prices
3. Demand for second-hand clothes
4. Demand for daily newspapers
Select the right answer:

A

1 only

B

1 and 2

C

2 and 3

D

1, 2, 3 and 4

If carrots and a good Y are substitutes, the relationship between the price of good Y and the quantity demand of carrots will be shown by a curve that will

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