Attempt all the problems shown below:
problem 1: Illustrate the law of equi-marginal utility. Describe with the help of diagram, how does a consumer attain equilibrium?
problem 2: What do you mean by the term Elasticity of Demand? How would you measure the price elasticity of Demand?
problem 3: What do you understand by the term production possibility curve? Describe it with the help of an appropriate illustration.
problem 4: Illustrate a firm’s short period equilibrium under perfect competition with the help of appropriate diagram.
problem 5: prepare short notes on the given terms:
a) Cardinal approach to utility.
b) Quasi rest.
c) Extension of demand.
d) Competitive wages.