KSEEB Solutions for Class 8 Business Studies Chapter 1 Components of Business Studies

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Students can Download Business Studies Chapter 1 Components of Business Studies Questions and Answers, Notes Pdf, KSEEB Solutions for Class 8 Social Science helps you to revise the complete Karnataka State Board Syllabus and to clear all their doubts, score well in final exams.

Karnataka State Syllabus Class 8 Social Science Business Studies Chapter 1 Components of Business Studies

Class 8 Social Science Components of Business Studies Textbook Exercise Questions and Answers

I. Fill in the blanks:

Question:
1. The economic activity that provides technical or specialized personal services to the consumers is called ______.
2. In olden days the goods were exchanged for goods, which was called ______ system of exchange.
3. The full responsibility of paper money vests with ______.
4. The emergence of communities and villages took place during ______ stage.
5. The main cause of international trade was ______.
6. Trade and.commerce contribute to the economic development of a country by paying ______, ______ and to the government.
Answer:
1. Profession,
2. Barter,
3. The Central Bank of the country,
4. Agriculture,
5. Geographical discoveries,
6. rates, taxes and duties

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II. Answer the following questions in two or three sentences each:

Question 1.
What is an economic activity?
Answer:
The activities which are concerned with the production and exchange of goods and services are called economic activities.

Question 2.
Give the meaning of trade and commerce.
Answer:
Trade: Trade refers to the buying and selling of goods.
Commerce: Commerce is referred to trade and also aids to trade or auxiliaries to trade. It includes transport, banks, warehouse advertisement facilities, etc.

Question 3.
What is meant by the Barter system of exchange?
Answer:
The direct exchange of goods for goods or other things is called the Barter system of Exchange.

Question 4.
What is the profession?
Answer:
The profession is mainly concerned with the rendering of specialized technical and personal services, eg. Lawyers, doctors, charted accountants, etc.

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Question 5.
What are aids to trade? Name them.
Answer:
The different means which are helpful to trade are called aids to trade.
They are transport, banks, warehouse facilities, advertisement agencies, insurance, etc.

Question 6.
What are the craft guilds?
Answer:
A body of professional craftsmen such as carpenters, blacksmiths, weavers, builders came into existence. They carried on the production of goods in their houses and supplied to the agriculturists.

III. Answer each of the following questions in a paragraph:

Question 1.
How do production and exchange play a very important role in our daily life?
Answer:
Production and exchange play a very dominant role in our daily life. The producers produce goods according to the demand for their goods in the market. They want the help of market people, transportation, storage., advertisement, etc. The distribution of goods and services is called an exchange. Exchange is connecting the link between production and consumption.

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Question 2.
Explain the different types, of economic activities.
Answer:

  1. Business: It is mainly concerned with the production and exchange of goods and services.
  2. Professions: It is mainly concerned with the rendering of specialized technical and personal services.
    Ex: Lawyers, Doctors.
  3. Employment: It is the work undertaken by the people under an employer for salary or wages.

Question 3.
What are the difficulties of the Barter system of Exchange? How has money solved these problems?
Answer:
The important problems of the Barter system of Exchange were:

  • Lack of double coincidence of wants.
  • Lack of common measure of value
  • Difficulty of sub-division
  • Difficulty to store the goods or to transport.

Money is acted as the media of exchange. after a series of experiment-today paper, money is acted as the media of exchange. It is very easy to carry and it is supported by the government of different countries.

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Question 4.
Which are the important stages of economic evolution? Briefly explain to anyone.
Answer:
The important stages of economic evolution are:

  • Hunting and fishing stage
  • Pastoral stage
  • Agricultural stage
  • Handicraft stage
  • Barter system stage
  • Money economy stage
  • Town economy stage
  • International trade stage.

Agricultural Stage: In this stage, people learned the art of growing crops. They started living in a fixed place. They began to live in groups doing agriculture and cattle rearing. Commercial’activities started at this stage. The villages and communities along with a division of labor came into existence.

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