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MS - 09: MANAGERIAL ECONOMICS

1. “The production possibility curve reflects the different combination of goods, which an economy can produce, given its state of technology and total resources.” With reference to statement given above explain the guns-versus-butter debate.

2. Explain the marketing approach to demand measurement. Briefly discuss the three important sources of data used in demand forecasting.

3. How is Accounting Costs different from Economic Costs? Explain with the help of an example how an income statement prepared by accountant is different from income statement prepared by economist?

4. Differentiate between Isocost and Isoquants. Analyse graphically how an optimal combination of inputs can be arrived in the long run using Isocost and Isoquants?

5. State how is pure bundling different from mixed bundling and typing? Explain giving examples.

6. Write short notes on the following-

(a) Value Maximization

(b) Returns to Scale

(c) Strategic barriers to entry

(d) Barometric Forecasting