1st PUC Economics Model Question Paper 3 with Answers

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Karnataka 1st PUC Economics Model Question Paper 3 with Answers

Time: 3.15 Hours
Max Marks: 100

Instructions:

1. Write the question numbers legibly in the margin.
2. Answer for a question should be continuous.

Section  – A

1. Choose the correct answers: ( 1 × 5 = 5 )

Question 1.
Scarcity is the root of _____________.
(a) All economic problems
(b) Social problems
(c) Political problems
(d) All problems
Answer:
(a) All economic problems.

Question 2.
The frequency distribution of two variables is known as _____________.
(a) Univariate classification
(b) Bivariate classification
(c) Multivariate classification
(d) None of the above
Answer:
(b) Bivariate classification.

Question 3.
In India census is carried out once in _____________.
(a) 5 years
(b) 10 years
(c) 01 years
(d) 02 years
Answer:
(b) 10 years.

Question 4.
First phase of green revolution achieved approximately.
(a) Mid 1960-1970
(b) 1950-1960
(c) Mid 1970-1980
(d) 1970-1980
Answer:
(a) Mid 1960-1970.

Question 5.
The act provides guaranteed wage employment to every poor household for minimum of 100 days in year is called _____________.
(a) PMRY
(b) SJSRY
(c) MGNERAGA
(d) SGSY
Answer:
(c) MGNERAGA.

II. Fill in the blanks: ( 1 × 5 = 5 )

Question 6.
Arithemetic line graph is also called ______________.
Answer:
Time series graph.

Question 7.
Index numbers are expressed in ______________.
Answer:
Percentages.

Question 8.
RBI regulates ______________ sector.
Answer:
Financial.

Question 9.
Infrastructure facilities can be classified in to ______________ types.
Answer:
Two.

Question 10.
Forests are ______________ resource.
Answer:
Natural.

III. Match the following: ( 1 × 5 = 5 )

Question 11.

Answer:
1 – 5,
2 – 1,
3 – 4,
4 – 2,
5 – 3

IV. Answer the following questions in a word sentence: ( 1 × 5 = 5 )

Question 12.
What is dispersion?
Answer:
Dispersion refers to the extent to which values in a distribution differ from the average of the distribution.

Question 13.
What does bibliography indicate?
Answer:
The bibliography indicates the details of all the secondary sources i.e., magazines, newspapers, research reports etc., used for developing the project.

Question 14.
What is Open unemployment?
Answer:
According to economics, Open unemployment is a situation where people are not able to get employment for even an hour, in half a day.

Question 15.
Which are the economic infrastructures?
Answer:
The economic infrastructural facilities are those which directly contribute towards economic development. The main economic infrastructures are energy, transportation, communication, banking, insurance, warehouse, etc.

Question 16.
Mention the major reason for the low population growth in China.
Answer:
The major reason for the low population growth in China was the introduction of one child norm.

Section – B

V. Answer any four of the following questions in four sentence each. ( 2 × 4 = 8 )

Question 17.
Write any two features of a good Questionnaire.
Answer:

1.  Questionnaire should not be too long
2. Questionnaire should be precise and clear.

Question 18.
Mention the types of Variable.
Answer:
There are two types of variables namely, Continuous variable and discrete variable.

Question 19.
What is Spatial classification?
Answer:
When the classification is done on the basis of place, it is called spatial classification. Example, village, block, district, state, country, continent, etc.

Question 20.
Calculate the value of median from the following figures.
X : 5, 7, 9, 12, 11, 8, 7, 15,25
Answer:
We need to put in ascending order

Question 21.
Mention the types of deviation.
Answer:

1. Deviation from Mean
2. Deviation from Median
3. Deviation from Mode.

Question 22.
Write the first four steps in developing a project.
Answer:
Following are the four steps in developing a project.

• Identifying a problem or an area of study,
• Choice of target group.
• Collection of data.
• Organisation and presentation of data.

VI. Answer any five of the following questions in four sentence each. ( 2 × 5 = 10 )

Question 23.
List the features of poorest households.
Answer:
Starvation and hunger are the main features of the poorest households. They do not possess any assets. They live in slums and some sleep in public places. In rural areas, they are landless labourers. Many do not get even two meals a day. They lack basic literacy and skills and have limited economic opportunities.

Question 24.
Who are the Urban poor? Give example:
Answer:
Urban poor are those who live in cities and towns without basic needs. Example: push cart, vendors, street cobblers, women who string flowers, rag pickers, vendors and beggars.

Question 25.
What are the two major sources of human capital in a country?
Answer:
Education and health are two main sources of human capital. Education raises the standard and quality of living of people. It increases the productive capacity and productivity of the workforce by enhancing their skills. Health indirectly helps in the economic development by supplying active energetic and healthy work force for better production.

Question 26.
Name the institutional sources of Rural Credit.
Answer:
The institutional sources of rural credit are as follows:

• Commercial Banks
• Regional Rural Banks (RRBs)
• Cooperative Societies
• Land Development Banks.

Question 27.
Who are the Self-employed? Give two examples.
Answer:
The self-employed are those workers who own and operate an enterprise themselves to earn their livelihood. The best examples for self-employed are as follows:

• People running petty shops.
• People having their own transport enterprises.
• Farmers working in their own farm land.
• Engineers running their own construction companies.
• Teachers running their own tutorial or coaching centres.
• People having their own autos and cabs.

Question 28.
Name the types of Rural Credit.
Answer:

• Institutional rural credit
• Non-Institutional rural credit.

Question 29.
Which are the components of Indian systems of medicine?
Answer:
The components of Indian systems of medicine (AYUSH) are as follows:

• Ayurveda
• Yoga
• Unani
• Siddha
• Naturopathy
• Homeopathy.

Section – C

VII. Answer any three of the following questions in twelve sentence each. ( 3 × 4 = 12 )

Question 30.
Briefly explain how statistics helps to study economics.
Answer:
Statistics plays a very important role in the field of economics. It helps in the study of economics in many ways:

1. It helps to understand economic problems: By using various statistical tools, effort is being made to find the causes behind the economic problems with the help of qualitative and the quantitative facts. Once the causes of a problem are identified, it is easier to formulate certain policies to tackle them.

2. It enables an economist to present economic facts in a precise and definite form: Statistics help the economists to present economic facts with accuracy. It also helps in proper comprehension of w hat is stated in the subject matter. When economic facts are expressed in statistical terms, they become exact. Exact facts are more convincing than vague statements. For instance, saying 350 people have died in Kashmir unrest since 2000, is more accurate than saying that a lot of people have died in the unrest.

3. Helps in condensing mass data into a few numerical measures: Statistics condenses the mass data into a few numerical measures like mean, variance, correlation, etc. These numerical measures help to summarise data. For example, it would be impossible to remember the income of all the people of a country. But we can remember average income i.e., per capita income.

4. It is used to find relationships between different economic factors: An economist may be interested in finding out what happens to the demand for a commodity when its price changes or what will be impact on inflation, when the government has more budget deficits. Such situations can be dealt, if any relationship exists between the various economic factors. Here, the nature of relationship can be studied with the help of statistical tools.

5. It helps in formulation of plans and policies: Sometimes, formulating plans and policies require the knowledge of future trends. For instance, an economic planner has to decide in 2010 how much the economy should produce in 2016-17. In other words, one must know what could be the expected level of consumption in 2016-17. So, the statistical tools to predict consumption in 2016-17 could be based on the data of consumption of past years obtained by surveys.

Question 31.
What is random sampling? Explain briefly.
Answer:
Random sampling is where the individual units from the population (samples) are selected at random. For instance, the government wants to determine the impact of the rise in petrol price on the household budget of particular locality. For this, a representative (random) sample of 30 household has to be taken and studied. The names of all the 300 households of that area are written on pieces of paper and mixed well, then 30 names to be interviewed are selected one by one.

In the random sampling, every individual has an equal chance of being selected and the individuals who are selected are just 1 ike the ones who are not selected. In the above example, all the 300 sampling units of the population got an equal chance of being included in the sample of 30 units and hence the sample, such drawn, is a random sample. This is also called lottery method. The same could be done using a random number table also.

Question 32.
Briefly explain the classification of data.
Answer:
The raw data is classified in various ways depending on the purpose. Generally data can be classified as follows:

• Chronological classification: When the data is grouped according to time, it is called as chronological classification. In such a classification, data are classified either in ascending or in descending order with reference to time such as years, quarters, months weeks days, etc.
• Spatial classification: If the data are classified with reference to geographical locations such as countries, states, cities, districts, etc., it is called spatial classification.
• Qualitative classification: When the data are classified on the basis of certain attributes or qualities like literacy, religion, gender, marital status etc., then it is called qualitative classification. These attributes can be classified on the basis of either the presence or the absence of a qualitative characteristic.
• Quantitative classification: If the classification of data is done on the basis of certain characteristics like height, weight, age, income, marks of students etc., it is called as quantitative classification.

Question 33.
Find the standard deviation for the following data 8, 9, 15, 23, 5, 11, 19, 8, 10, 12
Answer:

Question 34.
Calculate the correlation coefficient between X and Y and comment on their relationship.

Answer:



There is perfect positive corelation between the values of X and Y.

VIII. Answer any four of the following questions in twelve sentence each. ( 4 × 4= 16 )

Question 35.
Write a short note on land reforms in India.
Answer:
Land reforms refer to changes in the ownership of land holdings. At the time of independence, the land tenure system was characterized by intermediaries like zamindars, jagirdars etc., who were just indulged in collecting rent from the actual cultivators without contributing towards improvements on the agricultural land. The low productivity of the agricultural sector forced India to import food from USA. At this juncture, the land reforms were introduced.

After introduction of land reforms, steps were taken to abolish intermediaries and to make the tillers the owners of land. The idea behind this move was that ownership of land would give incentives to the tillers to invest in making improvements provided sufficient capital was made available to them. Abolition of zamindari system and ceiling on land holdings were the major ‘ land reforms introduced immediately after independence.

Question 36.
Write a note on W.T.O.
Answer:
The World Trade Organisation was founded in 1995 as the successor organization to the General Agreement on Trade and Tariff which was established in 1948.
The main objectives of WTO are as follows:

• To establish a rule based trading system in which nations cannot place arbitrary restrictions on trade.
• To enlarge production and trade of services.
• To ensure optimum utilisation of world resources.
• To protect the environment.

The various WTO agreements cover trade in goods and services to facilitate international trade i.e., both bilateral and multilateral, through removal of tariff and non-tariff barriers and providing greater market access to all the member countries.

India, being a founder member, has been in the main frame in framing fair global rules, regulations and safeguards and advocating the interests of the developing world. India has kept its commitments towards liberalization of trade, made in the WTO, by removing quantitative restrictions on imports and reducing tariff rates.

But, some economists argue that the usefulness of WTO to India is not much when compared to developed countries. The major portions of benefits are enjoyed by the rich countries. They also say that while developed countries file complaints over agricultural subsidies given in their countries, developing countries feel cheated as they are forced to open up their markets for developed countries but are not allowed to access the markets of developed countries, which is totally unfair to Indian producers.

Question 37.
Explain the programmes that provides minimum basic amenities to the people to reduce the poverty in India.
Answer:
These programmes dimension aims to tackle poverty by providing minimum basic facilities to the poor people. The Government of India is trying to provide social consumption needs like foodgrains, education, health, sanitation, water, electricity at subsidized rates to improve the standard of living of poor. There are three programmes introduced by the government to improve the food and nutritional status of poor. They are as follows:

• Public Distribution System (PDS).
• Integrated Child Development Scheme (ICDS).
• Mid-day Meals Scheme.

Question 38.
Explain the drawbacks of agricultural marketing.
Answer:
Agricultural marketing is a process that involves the assembling, storage, processing, transportation, packaging, grading and distribution of different agricultural commodities across the country. The major drawbacks of agriculture marketing in India are as follows;

• Long chain of middlemen taking away the profit of fanners.
• No proper storage facilities to protect the agricultural products.
• Faulty methods of weighing/measuring agricultural crops.
• Manipulation of accounts.
• Farmers are forced to sell their products at low prices due to lack of information.

Question 39.
Explain the state of health infrastructure in India.
Answer:
From the time of independence, the Government of India has taken many steps to build vast health infrastructure and manpower at different levels.

They are as follows:

• At the village level, single – physician clinics popularly known as Primary Health Centres are established. Apart from regular medical treatments, They mainly focus on Infant Immunization, Anti epidemic drives, Birth – Control programs and pregnancy related care both pre-natal and post natal.
• Government has given licence to voluntary agencies and private sector to establish hospitals, pharmacy and nursing colleges manned by trained professionals and para¬medical professionals.
• Increase in the number of hospitals from 9300 to 43,300 and hospital beds from 1.2 million to 7.2 million by 2000.
• Private sector is playing predominant role in medical education and training, medical technology and diagnostics, manufacture and sale of pharmaceuticals, hospital construction and provision of medical services.
• Due to the liberalization policy of Government of India, many non-resident Indians and industrial and pharmaceutical companies have set up state-of-art super-specialty hospitals to attract India’s rich and medical tourists.
• The Indian systems of medicine includes six systems viz., ayurveda, yoga, unani, siddha, naturopathy and homeopathy (AYUSH). There are 3,000 ISM hospitals, 23,000 dispensaries and about 6,00,000 registered practitioners in India.

But, one of the studies reveals that India has about 17% of world’s population but it bears just 20% of the global burden of diseases (GBD).

In India, more than 50% of GBD is accounted by communicable diseases like diarrhoea, malaria and tuberculosis. Every year about 5,00,000 children die due to waterborne diseases.

It is also reported that only 38% of primary health centres have the required number of medical practitioners and only 30% of PHCs have the requisite medicines.

The people living in rural areas do not have sufficient medical infrastructure. There are only 0.36 hospitals for every lakh people in rural areas and in urban areas it is 3.6 for every lakh population.

Question 40.
Write a note on “Great Leap Forward campaign” of China.
Answer:
The Great Leap Forward was initiated in 1958 by the Communist Party of Peoples’Republic of China. After the establishment of people’s Republic of China under one party rule, all the critical sectors of the economy, enterprises, and lands owned and operated by the individuals were brought under government control.

The Great Leap Forward campaign aimed at industrializing the country on a massive scale. People were encouraged to set up industries in their backyards. In rural areas, communes were started. Under commune system, people collectively cultivated lands. In 1958, there ‘ were 26,000 communes covering almost all the farm population.

The Great Leap Forward campaign met with many problems. A severe drought caused havoc in China killing about 30 million people. When Russia had conflicts with China, it withdrew its professionals who had earlier been sent to China to help in the industrialization process.

Section – D

IX. Answer any two of the following questions in about twenty sentence each. ( 2 × 6=12 )

Question 41.
What is Component bar diagram? Draw a Component bar diagram with the help of the following table enrollment by gender at schools (in percentage) of children aged . 6-14 years in a district of Bihar.

Answer:
Component bar diagrams or charts also called subdiagrams, are very useful in comparing the sizes of different component parts and also for throwing light on the relationship among these integral parts.

Question 42.
Calculate arthematic mean by direct, assumed mean and step deviation methods for the following data: 40, 50, 55, 78, 58
Answer:

Question 43.
Calculate Q. D. and its relative measures for the following distribution.

Answer:

X. Answer any two of the following questions in about twenty sentence each (2 × 6 = 12 )

Question 44.
Write a note on development of infrastructure in India during the colonial period.
Answer:
During British rule, the basic infrastructure like railways, ports, water transport, posts and telegraphs were developed. However, the real motive behind this development was not to provide basic amenities to the people, but to subserve various colonial interests.

The road transport constructed in India prior to the advent of the British rule, were not fit for modem transport. The roads that were built primarily served the purposes of mobilizing the army within India and drawing out raw materials from the countryside to the nearest railway station or the port to send these to far away England or other lucrative foreign destinations. There was severe shortage of all-weather roads.

The railway transport was introduced by the British in 1850. It is considered as one of the important contribution. The introduction of railways by the British brought two important changes. It enabled the people to travel long distance and thereby break cultural barriers. It also lead to commercialization of Indian agriculture which adversely affected the self-sufficiency of the village economies. Whatever advantages the people gained owing to the railways, were outweighed by the country’s enormous economic loss.

Apart from railway transport, the British also took measures for development of inland trade and sea lanes. The inland waterways, at times, also proved uneconomical as in the case of the coast canal on the Orissa coast. Though the canal was built at a huge cost to the government exchequer, yet, it failed to compete with the railways, which soon traversed the region running parallel to the canal and had to be ultimately abandoned.

The introduction of electric telegraph also served the purpose of maintaining law and order. The postal services, despite serving a useful public purpose, remained insufficient.

Question 45.
Briefly explain the effects of reforms on agricultural sector.
Answer:
The economic reforms of 1991 have not been able to benefit agriculture, where the growth rate is not up to the expected level.

The public sector investment in agricultural sector, particularly in infrastructural development like irrigation, power, roads, market linkages and research and extension has fallen during in the reform period.

The removal of fertilizer subsidy has led to an increase in the cost of production, which has severely affected the small and marginal farmers.

This sector has been experiencing a number of policy changes such as reduction in import duties on agricultural products, removal of minimum support price and lifting of quantitative restrictions on agricultural products. These have adversely affected Indian farmers as they now have to face increased international competition.

Further, due to export oriented policy strategies in agriculture, there has been a shift from production for the domestic market towards production for the export market focusing on cash crops in steel of production of food grains. This has resulted in increase in an prices of food grains.

Question 46.
Examine the role of education in the economic development of a nation.
Answer:
The education plays a predominant role in economic development of India in th’ following ways:
1. It modernizes the attitude and behaviour of the people: Education brings favourable changes in the attitude and behaviour of people. It gives inputs like what is right and what is wrong and contributes for taking sound and valuable judgments.

2. Promotes science and technology: Education always provides the knowledge about latest technology to people who know reading and writing. It explains the new methods of production through innovations in various sectors of the economy. By providing scope for latest techniques of production, it develops agriculture, industry, transport, power, etc.

3. Increases mobility of labours: Education helps the labourers to search for more re¬warding employment opportunities all over the world. It helps to chooses a suitable career according to one’s educational qualifications. It makes them to move from country to country or state to state as and when required.

4. Creates national and developmental consciousness: Education creates civic, national and developmental consciousness among the literates. It provides information about the past events in History and tells about the freedom struggle of great national leaders like Mahatma Gandhi, Bhagath Singh, Subhas Chandra Bose and others. It makes people to develop a sense of patriotism and helps them to adopt strategies of progress in life.

5. Contributes to skilled and trained workers: Education generates skilled and trained labour force needed for the development of the country. Education includes both general and technical education. The general education includes Bachelor of Arts, Bachelor of Commerce, Bachelor in Business Administration, etc. at the degree level and technical education includes Bachelor in Engineering in different streams like mechanical, civil, electronic, electrical, computer, etc. All these contribute for the supply of skilled labour for the overall development of the country.

6. Act as source of knowledge: Education is a house of knowledge for all purposes. Anything to know we need to be literate. It helps people to take decisions on the basis of their knowledge gained in different stages while getting education .

7. Develops moral values: As education provides number of stories and incidents people’s lives, people can definitely develop moral values. These moral values are included in their daily life. Some of the moral values are not to sell adulterated products, in case of seller and in case of buyer, not to create inconvenience for others in their routine life and so on.

8. Creates awareness about culture and politics: Education always provides complete information about cultural heritage of any nation. It explains how they are constructed with the investment of money and human capital. It helps them to preserve the historical monuments, inscriptions and other valuable items. It also provides day-to-day information about politics when the person is literate.

XI. Answer any two of the follow ing project oriented questions. ( 2 × 5=10 )

Question 47.
Record the daily expenditure, Quantities bought and price paid per unit of the daily purchases of your family for two weeks (Such as rice, toordal, tamoto, onions and milk). How has the price change affected your family?
Answer:
The following table shows the list of items with quantities purchased by a family:

Now we need to calculate CPI by calculating price relative with the help of formulae.

Calculation of Living Index or Consumer Price Index is calculated as follows:
CPI = \(\frac{\Sigma W P}{\Sigma W}=\frac{1600}{15}\) = 106.66
CPI = 103.66
Comment: It shows that there is an increase in price by 6.66%, which has a little effect on standard of living.

Question 48.
Identify the formal and informal workers in the following list.
(a) SBI Cashier
(b) Government hospital nurse
(c) A petty shop owner
(d) A Street vendor
(e) Government primary school teacher
(f) Revenue Inspector
(g) Tailor
(h) Police
(i) Agricultural labourers.
Answer:
(a) Petty shop owner – informal worker
(b) Handloom weaver – informal worker
(c) SBI cashier – formal worker
(d) A street vendor – informal worker
(e) Government hospital nurse – formal worker
(f) Government primary school teacher – formal worker
(g) Tailor-informal worker
(h) Revenue inspector – formal worker
(i) Police – formal worker
(j) Agricultural labourers – informal workers.

Question 49.
Prepare a list of causes of land degradation in India.
Answer:

1. Swamajayanti Gram Swarozgar Yojana (SGSY)
2. Swamajayanthi Shahari RozgarYojana (SJSRY)
3. Pradhana Manthri Rozgar Yojana (PMRY)
4. National Food for Work Programme (NFWP)
5. Sampoorna Grameen Rozgar Yojana ( SGRY)
6. Mahatma Gandhi National Rural Employment Guarantee Programme (MGNREGP)
7. Public Distribution System (PDS)
8. Integrated Child Development Scheme (ICDS)
9. Mid-day Meals Scheme
10. Pradhana Manthri Gram Sadak Yojana
11. Indira Awas Yojana
12. Valmiki Ambedkar Awas Yojana.