Maharashtra Class 12 Economics Question Paper 2023

Maharashtra Class 12 Economics Question Paper 2023

• This is the Economics question paper for the Maharashtra Class 12 exam in 2023.
• The paper is worth 80 marks and has a time duration of 3 hours.
• All questions are compulsory.
• Neat tables and diagrams should be drawn where necessary.
• Figures to the right indicate full marks.
• Answers to all main questions should be written on new pages.

Completing Sentences

• Micro Economics may be referred to as Price theory.
• The money market faces shortage of funds due to inadequate savings, growing demand for cash, unorganized sector issues and financial mismanagement.
• Marginal utility becomes negative when total utility is falling.
• Public expenditure shows an increasing trend.
• The relationship between income and demand for inferior goods is inverse.

Finding the Odd Word Out

• In Revenue concepts, Total Cost is the odd one out from Total Revenue, Average Revenue, and Marginal Revenue.
• In Quantitative Tools of credit control, Foreign Exchange rate is the odd one out from Bank rate, Open market operations, and Variable reserve ratio.
• In Scope of Micro Economics, Theory of Economic growth and Development is the odd one out from Theory of product pricing, Theory of factor pricing and Theory of Economic welfare.
• In Non-tax revenue, Wealth tax is odd one out from Fees, Penalty, and Special levy.
• In Types of Simple Index Number, Price Index Number is the odd one out from Laspeyre’s Price Index Number, Quantity Index Number, and Value Index Number.

Economic Terms

• The volume of commodities and services turned out during a given period counted without duplication is production.
• A desire which is backed by willingness to purchase and ability to pay, is the effective demand.
• Degree of responsiveness of a change of quantity demanded of a good to a change in its price refers to elasticity of demand.
• Very realistic competition in nature is perfect competition.
• Swati purchased raincoat for her father in rainy season represents the satisfaction of human wants.

Assertion and Reasoning Questions

• Assertion (A): In perfect competition, price is determined by the forces of demand and supply and Reasoning (R): The number of buyers and sellers is so large that one person cannot influence prices are true, and (R) is the correct explanation of (A).
• Assertion (A): A change in quantity demanded of one commodity due to a change in the price of other commodity is cross elasticity and Reasoning (R): Changes in consumers’ income leads to a change in the quantity demanded., are false, but (R) is true.
• Assertion (A): Production for self-consumption is not accounted for in the national income and Reasoning (R): The products kept for self consumption do not enter the market., are true and (R) is the correct explanation of (A).
• Assertion (A): Foreign exchange management and control is undertaken by commercial banks and Reasoning (R): RBI has to maintain the official rate of exchange of rupee and ensure its stability., (A) is false, but (R) is true.
• Assertion (A): Supply is a relative term and Reasoning (R): Supply is always expressed in relation to price, time and quantity., are true and (R) is the correct explanation of (A).

Concept Identification and Explanation

• A table seller sold the table for ₹ 2,000 per piece. In this way he sold 15 tables and earned ₹ 30,000. This is micro economics.
• England imported cotton from India, made readymade garments from it and sold them to Malaysia, this is international trade.
• Ashok paid the tax on his income and property, this is direct tax.
• Raju's father invests his money in a market for long term funds both equity and debt raised within and outside the country, is capital market.

Distinguishing Economic Concepts

• Distinguish between Unitary elastic demand and Relatively elastic demand
• Distinguish between Output method of measuring national income and Income method of measuring national income
• Distinguish between Demand deposit and Time deposit
• Distinguish between Simple index number and Weighted index number
• Distinguish between Stock and Supply

Answering Economic Questions

• Explain importance of Micro economics.
• Explain the Ratio or percentage method of measuring price elasticity of demand.
• Explain features of national income.
• Explain problems faced by the money market in India.
• Explain exceptions of the law of Diminishing marginal utility.

State with Reasons

• State with reasons whether you agree or disagree with the statement : There are no exceptions to the law of supply
• State with reasons whether you agree or disagree with the statement : Balance of Trade and Balance of Payment are two different concepts.
• State with reasons whether you agree or disagree with the statement : Index numbers are very significant / important.
• State with reasons whether you agree or disagree with the statement : There are no theoretical difficulties in the measurement of National Income.
• State with reasons whether you agree or disagree with the statement : Macro economics differnt from Micro economics.

Study Tables, Figures, Passages

• Marginal Utility (MU) is calculated.
• Marginal untility is zero when total utility is maximum.
• When total utility falls, the marginal utility becomes negative.
• Elasticity of demand observed at different points on demand curve.
  • Demand at point 'C' is relatively elastic demand.
  • Demand at point 'B' is unitary elastic demand.
  • Demand at point 'D' is perfectly inelastic demand.
  • Demand at point 'A' is perfectly elastic demand.
• Index Number is a technique of measuring changes in a variable or group of related variables with reference to time, geographical location and other characteristics.
• Index Number is very useful for economists, farmers, traders, government, educationalists and trade union leaders for planning and implementing the plans according to their sector.
• The scope of index number is not limited to only one subject but it extends to many subjects such as Economics, Educational science, Psychology, History, Sociology, Geography etc.
• When framing index number its objective must be determined.
• To attain the objective the information is collected in various ways and this information is used for comparing two different time periods.
• For this purpose, the base year's index is assumed as 100 and accordingly the value of the current year is calculated.
• Laspeyre, Paasche and Fisher have suggested different methods for constructing index numbers.

Explaining in Detail

• Explain the law of demand with exceptions.
• Explain the meaning of Monopoly with its features.
• Explain various reasons for the growth of public expenditure.