NTA UGC NET/JRF Exam, Dec. 2021/June 2022 Economics

Q = f(L.k) subject to
C= wL+ rK.
All this 3 conditions are the profit maximisation condition.

Monetary policy instruments are
(1) Open market operations.
(2) Bank reserve requirement.
(3) Interest rate policу.
RBI's qualitative and quantitatives instruments of credit control.

Expansions means when government wants to increase aggregate demand so when aggregate demand will increase when income (Y) will increase. So, tools of expansionary fiscal policy include
1. Raising government expenditure.
2. Reducing tax rate.
Note:- Increasing money supply monetary work so it comes under RBI.

(A) The histor of the physiocratic movement is thought to have begun in 1757, when Quesnay met mirabeau the elder (1715-89), and come to an end in 1776, with the fall of Turgot (1727-81).

(B) Keynesian economies dominated economic theory and policy after World War 11, 1944 until the 1970s.

(C) Classical economies is a broad term that refers to the dominant school of thought for economies in the 18th and 19th centuries.

(D) New Keynesian economies became the dominant force in academic macroeconomies from the 1990s through to the financial crisis of 2008.

(E) The "monetarist revolution" refers to the new and important contributions made to monetary theory and policy by Prof. Friedman and his colleagues at the University of Chicago.
• Since the 1950s and during the 1960s, Milton Friedman and other scholars in the monetarist counterrevolution.

(1) Bhopal gas tragedy was the chemical accident happened on night of 2-3 December 1984.
(2) Chernobyl Nuclear Power Plant 26 April 1986.
(3) Great smog of London (London smog episode) 5 December 1952 - 9 Dec 1952.
(4) Exxon Valdez - On March 24. 1989 the oil tanker Exxon Valdez ran aground in Prince William Sound, Alaska.
(5) Three Mile Island had two nuclear reactors - Unit 1, which began operation in 1974 and unit 2 which began operation in 1978.

Demographic dualism is a situation where there are large differences in demographic and economic characteristics between different part of a country.

This can be seen when some regions of a country experience rapid demographic change, while others remain relatively unchanged.
Important Points -
When demographics attempt to forecast changes in the size of a population, they typically focus on four main factors -
1) fertility rates
2) mortality rates (life expectancy),
3) the initial age profile of the population (whether it is relatively old or young to being with) and
4) migration.

In Stag-III of the product cycle model, the imitating country starts producing the product for domestic consumption.

Notes :- Life Cycle Phase 3: Maturity During the maturity stage, production and marketting costs are usually lower, but competition is at its highest. Companies should evaluate their product to identify strengths and weaknesses, and consider shifting their marketing strategies.

Smarthphones are an example of a product that has reached the maturity stage.

Correct statements are -
(A) The market is a system that works with price mechanism.
(B) Market failure refers to the divergent of market equilibrium form pareto optamality (C) Market fails to efficiently supply public goods and the same makes a case for govt. intervention.