ECONOMICS (Theory) Class – XI (Solutions) SAMPLE PAPER

SAMPLE PAPER (Solutions)

ECONOMICS (Theory)

Class – XI

STATISTICS FOR ECONOMICS

1. Tabulation.

2. Histogram.

3. It is a graph of X and Y values.

4. Its characteristics are:

a) Unlimited wants: Man has unlimited wants or ends, they can never be fully satisfied. No

sooner a want is satisfied, a new want emerges.

b) Scarcity of resources: It refers to the limitation of supply in relation to demand for a

commodity. Scarcity is universal and applies to all individuals, organization and countries.

c) Alternative uses: resources are not only scarce but they can also be put to various uses. It

makes choice among resources more important.

5. OWN

6. M= 41.6 years

7. Actual mean method  =2.45

Direct method = 2.45

 Short- cut method = 2.45

8. A) The high variability in the distribution of income and wealth shows that there are many people who are living at a very low income while there are few people who have amassed huge wealth and taking advantage of luxuries of life. In this case, the value of equity is compromised in the society as high level of disparity of income and wealth makes it prone to social unrest.

B).   √ 55.6 or 7.456

9.  r= 0.285

10. Ans in book

11. Error

12. C.V. of Team A is less, so Team A is more consistent.

INDIAN ECONOMIC DEVELOPMENT

13. Dada Bhai Naoroji, V.K. R.V.Rao and R. C.Desai.

14. The most important function of RBI is to issue the currency and to undertake credit control measures.

15. Bilateral trade agreements refer to trade agreements of one country with the other. Or, these are trade agreements between any two countries of the world. Multilateral trade refers to trade agreements of one country with many countries of the world. Or, these are trade agreements among many countries of the world. WTO facilitates bilateral as well as multilateral trade agreements. It is focusing on the competition in the international market and free access to markets across different countries of the world

16.

 1. Commercial agriculture became a practical proposition .it implied a good breakthrough in agriculture, even when it challenged self sufficiency in food grain production.

2. Spread of railways and roadways opened up new opportunities of economic and social

growth. It also implied greater cultural affinity across different parts of the country,

3. There was a significant transition from barter system of exchange to monetary system of

exchange.

4. The British raj in India left a legacy of an efficient administrative set up.

(ANY OTHER RELEVANT POINTS)

17.

 1. Alleviation of poverty was the central theme of planning. On an average, a normal healthy person needs 2508 calories of food per day, but in India it provides only 2400 calories. In India, 21.8% of population still lives below the poverty line. These are those people who are not getting even the basics of life including food, shelter and clothing.

2. Owing to mounting inflation, real income of the people has tended to shrink and economic divide between haves and haves-nots has tended to swell overtime. First plan is the only exception when price level came down; in all other plans the prices recorded a steep rise.

3. While more and more opportunities of employment have been generated, challenge of

unemployment has not subsided.

4. Development of infrastructure continues to be inadequate; despite 60 years of

planning.Cosequently actual growth has failed to match the targets of growth.

(ANY OTHER RELEVANT POINTS)

18. There is little doubt that skilled manpower and research and development institututions in India are far superior to those in Pakistan. India has shown a remarkable breakthrough in the export of software after economic reforms of 1991.human capital formation in India has made a substantial contribution to the pace of growth and development. Indian scientists excel in the areas of defense technology, space research, electronics and avionics etc. India also has better record of investment in education. Rapid decline in total fertility rates in India has reduced population growth rate to 1.7 % compared to 2.5% in Pakistan. Issues of health facilities in general and infant mortality in particular are better addressed in India.

19. 1. Three fold classification of industries:

A) Those which wouldbe established and developed exclusively as public sector enterprises.

B) Those which could be established both as the private and public sector enterprises.

All industries other than in categories a) and b) were left to the private sector.

2. Industries in the private sector could be established only through a license from the

government. The basic idea was to encourage the establishment of industry in

backward regions, with a view to encouraging regional equality.

3. While the government was to assume a leading role in the process of industrialization

,the private entrepreneurs were offered many types of industrial sops for establishing

industry in the backward regions of the country.

20.

 1.Import quotas have been done away with.

2. Policy of import licensing has almost been scrapped.

3. There is a comprehensive moderation of import duty to enhance competitiveness in the

domestic market.

4. Export duty has been withdrawn to enhance competitiveness of Indian goods in the

international market.

Briefly, trade policy after liberalization is to facilitate integration of the Indian markets with

rest of the world with a view to enhance economic growth through global competition rather than non competitive controls and protection.

21. a) china has succeeded in placing greater reliance on industrial sector compared to India and Pakistan. It is perhaps owing to GLF a campaign launched in china in 1958 focusing on widespread industrialization of the country, encouraging people to set-up household industries in their backyard, and policy of reforms and opening up launched in 1978 which gave a big push to china’s manufacturing exports.

b) One child policy in china, adopted since 1979, has reduced the growth rate of population to nearly half, from 1.33% in 1979 to 0.64% in 2005.controlling its population growth rate,

china can now focus on quality of life rather than sustenance of its people.

22.

 1. Public enterprises were to play a central role in the process of industrialization.

2. Private enterprises were to play only a secondary role in the process of industrialization

and that too under permit – license raj.

3. Process of industrialization was to proceed in tandem with the key policy instrument of

import substitution. It was to foster the objective of growth with self reliance.

4. As far as possible, domestic industry was to be protected from foreign competition. It was realized that protection would accelerate the pace of growth with self reliance.

5. Large scale industry was to be developed with a view to building in infrastructural base in the country.

(Any other relevant points)

23.

 A.  A campaign launched in china in 1958 focusing on widespread industrialization of the

country, encouraging people to set-up household industries in their backyard.

B. It may be argued that HDI rating of India is low as compared with china, partly

because HDI does not include parameters of liberties of life, like political liberty of

participating in state administration, and social liberty of freedom of speech, and

related human rights. If these indicators are also included in the construction of HDI,

India’s ranking is likely to considerably improve, as these parameters are placed fairly

high in India, compared with china and Pakistan.

C. Migration of people from rural to urban areas, access to improved water sources and

reduction in BPL population to 13.4% contrasting with India’s 21.8% in 2004-05.

D. One child policy adopted since 1979, has reduced the growth rate of population to

nearly half. Controlling its population growth rate, china can now focus on quality of

life rather than sustenance of its people.