Exam Date India Engineering Services (Preliminary) Examination 2018 – Date of Notification – 27.09.2017 Last Date for receipt of Applications – 23.10.2017 Exam Date – 07.01.2018 (SUNDAY) Duration of Exam – 1 DAY Engineering Services (Main) Examination 2018 – Exam Date – 01.07.2018 (SUNDAY) Duration of Exam – 1 DAYRead More →
Definition A production possibility Frontier is a curve showing all maximum output possibilities for two goods. It also gives an answer to our question – “what is our maximum production capacity?”. Understanding PPF with an example When we say maximum production, I will give an example what I mean. Let’sRead More →
1. Answer the following questions. (i) Why are people considered a resource? Ans. People are a nation’s greatest resource. Nature’s bounty becomes significant only when people find it useful. It is people with their demands and abilities that turn them into ‘resources’. Hence, human resource is the ultimate resource. (ii) WhatRead More →
What is OLG model? An overlapping generations model, abbreviated to OLG model, is a type of economic model in which agents live a finite length of time long enough to overlap with at least one period of another agent’s life. As it models explicitly the different periods of life, suchRead More →
There are situations and circumstances where the market is not Pareto optimal or Pareto efficient. These situations are called market failure. An economist’s suggestion during these situations is government intervention which is necessary through better policy decisions. Some of the major causes of market failure are:- 1. Imperfect Markets:- Pareto efficiencyRead More →
Economic growth takes place at uneven rates across different sectors of the economy. Hence economists use models to understand different aspects of the economy. Multi-sector growth model is a growth model where more than two sector in the economy is considered, which produces several durable goods each produced in aRead More →
Joseph Alois Schumpeter (1888-1952) is an important economist in the history of economic thought. His methods of analysis and ideas about what causes development in a capitalist economy were different from classical economists. His theory emphasizes the evolutionary process of the capitalist economy. Capitalist economy is an economy in whichRead More →
Definition Ramsey model is an extension of the Solow model in terms of bringing optimization into the growth process. It is one of the basic workhorse models in macroeconomics. The basic point about Ramsey model is that, it is a prescriptive theory and not a predictive. Basically, this kind of modelRead More →
Definition:- Fiscal imbalance is a mismatch in the revenue powers and expenditure responsibilities of a government. When the revenue powers are divided between two or more tiers of government in a federation (i.e. center, state, local). In general, the Central government is entrusted with more financial resources. This is becauseRead More →
1. Answer the following questions. (i) What is meant by the term ‘industry’? Ans. Industry refers to an economic activity that is concerned with production of goods, extraction of minerals or the provision of services. That’s why we have iron and steel industry (production of goods), coal mining industry (extraction ofRead More →