Explain the effect of number of ‘large buyers and sellers’in a perfectly P competitive firm. E Four Marks Questions (4 M) X M M1 Distinguish between Monopoly O Mkt.D&Sup. and Perfect Competition. Draw the Average Increase in demand shift the demand Revenue Curve of a firm curve from D to D1 to right leading to undera) Monopoly and b) excess demand EE1 at the given price OP. PerfectCompetition. will be competition among buyers Explain the difference in leading to rise in price. these curves, if any. As pric erise supply starts rising(alongS) Show with the help of demand starts falling. a diagram the effects These changes continues till D=S at a new of anincrease in equilibrium a tE1 demand for acommodityon its The quantity rises from OM to OM1 and equilibriumprice price rises OP to OP1 andquantity. Explain with the help of a FREQUENTLY ASKED QUESTIONS– diagram the determination of CBSE BOARD EXAMINATION price of a commodity unde One Mark Questions (1M) rperfect competition. 5).Explain the concept of equilibrium price with In which market form can a firm not influence the help of market demand an dsupply the price of the product? schedules. What is equilibrium price? Six Marks Questions (6 M) Under which market form a firm is a price taker? the market equilibrium of a Defin emarket equilibrium. good.What are the effects of Define Monopoly. Simultaneous increase in both Stat eone featureof Oligopoly. demand and supply of that good Three Marks Questions(3M) on its equilibrium price and quantity? Why is the number of firms small in an Distinguish between perfect Oligopoly Market?Explain. competition and monopoly.Why is Explain three features of Monopoly. the demand curve facing a firm How is equilibrium priceof acommodity under perfect competition is affected by a decrease in demand? perfectlyelastic? Why is the demand more elastic under Explain brieflythe feature of monopolistic competition than under perfect competition. monopoly? Explain. Explain the of effects on Explain the feature‘differentiated product’ of a demand, supply and price of a market with monopolistic competition. commodity
P E X M M1 O Mkt.D&Sup. Increase in demand shift the demand curve from D to D1 to right leading to excess demand EE1 at the given price OP. will be competition among buyers leading to rise in price. As pric erise supply starts rising(alongS) demand starts falling. These changes continues till D=S at a new equilibrium a tE1 The quantity rises from OM to OM1 and price rises OP to OP1 FREQUENTLY ASKED QUESTIONS– CBSE BOARD EXAMINATION One Mark Questions (1M) In which market form can a firm not influence the price of the product? What is equilibrium price? Under which market form a firm is a price taker? Defin emarket equilibrium. Define Monopoly. Stat eone featureof Oligopoly. Three Marks Questions(3M) Why is the number of firms small in an Oligopoly Market?Explain. Explain three features of Monopoly. How is equilibrium priceof acommodity affected by a decrease in demand? Why is the demand more elastic under monopolistic competition than under monopoly? Explain. Explain the feature‘differentiated product’ of a market with monopolistic competition. Explain the effect of ‘large number of buyers and sellers’in a perfectly competitive firm. Four Marks Questions (4 M) Distinguish between Monopoly and Perfect Competition. Draw the Average Revenue Curve of a firm undera) Monopoly and b) PerfectCompetition. Explain the difference in these curves, if any. Show with the help of a diagram the effects of anincrease in demand for acommodityon its equilibriumprice andquantity. Explain with the help of a diagram the determination of price of a commodity unde rperfect competition. 5).Explain the concept of equilibrium price with the help of market demand an dsupply schedules. Six Marks Questions (6 M) the market equilibrium of a good.What are the effects of Simultaneous increase in both demand and supply of that good on its equilibrium price and quantity? Distinguish between perfect competition and monopoly.Why is the demand curve facing a firm under perfect competition is perfectlyelastic? Explain brieflythe feature of perfect competition. Explain the of effects on demand, supply and price of a commodity
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