Managerial Economics

For perfect competition, indicate the correct answer for essential conditions from the following.
1. Large number of buyers and sellers
2. Perfect knowledge of the market
3. Homogeneous product for sale
4. Absence of transportation cost
5. Freedom of entry and exit of buyers and sellers from the market
6. Rational Behaviour of buyers and sellers

Competition

Which of the following methods were used by the conventional series in computing national income in India?
1. Output method
2. Expenditure method
3. Income metliod
Select the correct answer

When the perfectly competitive firm and industry are both in long run equilibrium

One equates price and MC to maximise profit the other one equates MC and MR for the same purpose; they are

At the point where a straight line from the origin is tangent to the TC curve, AC

Price taker firms

Where the leading firms in an industry combine to pursue a common policy in their interest but retain their separate identities, such combination is generally known as

Short-run cost curves are influenced by

Match the following:

List-I (Economist)	List-II (Statement)
a. Robinson	1. The elasticity of demand at any price or at any output is the proportional change of amount purchased in response to a small change in price divided by the proportional change in price.
b. Boulding	2. The elasticity of demand may be defined as the percentage change in quantity demanded which would result from one percent change in price.
c. A. Cairncross	3. The elasticity of demand for a commodity is the rate at which the quantity bought changes as the price changes.
d. Marshall	4. The elasticity for demand in a market is great or small according as the amount demand increases much or little for a given fall in price, and diminishes much or little for a given rise in price.