SMU MBA SEM 1 – MB0042- MANAGERIAL ECONOMICS WINTER 2015 -2016

SMU MBA WINTER 2015 -2016

Dear Students,

SMU MBA WINTER 2015-2016 Assignments are available. For Booking ,Kindly mail us on kvsude@gmail.com OR call us to +91 9995105420  or S M S your “ Email ID ” us in the following Format  “  On +91 9995105420 we will reach back you with in 24H ”

 

DRIVE Winter 2015

PROGRAM- MBADS/ MBAFLEX/ MBAHCSN3/ MBAN2/ PGDBAN2

SEMESTER- 1

SUBJECT CODE & NAME- MB0042- MANAGERIAL ECONOMICS

BK ID- B1625

Q1. Inflation is a global Phenomenon which is associated with high price causes decline in the value for money. It exists when the amount of money in the country is in excess of the physical volume of goods and services. Explain the reasons for this monetary phenomenon. (Define Inflation, Causes for Inflation) 2, 8

Answer: Inflation is defined as a sustained increase in the general level of prices for goods and services. It is measured as an annual percentage increase. As inflation rises, every dollar you own buys a smaller percentage of a good or

 

Q2. Monopoly is the situation there exists a single control over the market producing a commodity having no substitutes with no possibilities for anyone to enter the industry to compete. In that situation, they will not charge a uniform price for all the customers in the market and also the pricing policy followed in that situation. (Define Monopoly, Features of Monopoly, Kinds of Price Discrimination) 2, 4, 4

Answer:

Monopoly

Monopoly means existence of a single seller in the market. Monopoly is that market form in which a single producer controls the whole supply of a single commodity which has no close substitutes. Monopoly may be defined, as a condition of production in which a single firm has the power to fix the price of the commodity or the output of the commodity.

 

Features of monopoly

 

Anti-thesis of competition – Absence of competition in the market creates a situation of monopoly and hence, the seller faces no threat of competition.

 

Existence of a

 

 

Q3. Define monopolistic competition and explain its characteristics.

[Definition of monopolistic competition, Explanation of its characteristics]

 

Answer:

 

Monopolistic Competition

Perfect competition and monopoly are two extreme forms of market situations, rarely to be found in the real world. Generally, markets are imperfect.

Prof.

 

 

Q4. When should a firm in perfectly competitive market shut down its operation?

[Define perfect competition, Explanation about the reason for the firm’s shut down in perfect competition]

Answer:

Perfect Competition

Perfect competition is a comprehensive term which includes pure competition too. Before we discuss the details of perfect competition, it is necessary to have a clear idea regarding the nature and characteristics of pure competition.

 

Pure Competition is a part of perfect competition. Competition in the market is said to be pure when the following conditions are

 

Q5. Discuss the practical application of Price elasticity and Income elasticity of demand. (Practical application of price elasticity, Practical application of Income elasticity) 5, 5

Answer:

Practical application of price elasticity of demand

Few examples on the practical application of price elasticity of demand are as follows:

 

  1. Production planning It helps a producer to decide about the volume of production. If the demand for his products is inelastic,

 

 

Q6. Discuss the scope of managerial economics. (Definition of Managerial Economics, Scope of Managerial Economics) 2, 8

Answer:

Managerial Economics

 

Managerial economics is a science that deals with the application of various economic theories, principles, concepts and techniques to business management in order to solve business and management problems. It deals with the practical application of economic theory and methodology in decision-making problems faced by private, public

 

SMU MBA WINTER 2015 -2016

Dear Students,

SMU MBA WINTER 2015-2016 Assignments are available. For Booking ,Kindly mail us on kvsude@gmail.com OR call us to +91 9995105420  or S M S your “ Email ID ” us in the following Format  “  On +91 9995105420 we will reach back you with in 24H ”