UGC NET Past Year Question Paper II: Economics (June 2023) | UGC NET Past Year Papers PDF Download

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(4) A-IV, B-III, C-I, D-II
Q u e s t i o n 	 4: Suppose good 1 is taken on horizontal axis and good 2 on vertical axis, then
what happens to the budget line if the price of good 1 doubles and price of good 2 triples?
(1) the budget line becomes steeper
(2) the budget line becomes latter
(3) the budget line becomes vertical
(4) the budget line remains unchanged
Q u e s t i o n 	 8:
The Huasman?s speciication error test is used to test whether
(1) an exogenous variable is correlated with the error term
(2) an endogenous variable is correlated with the error term
(3) both an exogenous variable is correlated with the error term and an endogenous
variable is correlated with the error term
(4) OLS method is appropriate to estimate the SEM
Q u e s t i o n 	 1 3:
Which of the following is/are true about paradox of thrift?
(A) Paradox of thrift was popularized by J. M. Keynes
(B) It states that personal savings can be detrimental to overall economic growth.
(C) it shows the relationship between output growth and rate of unemployment.
(D) it shows the relationship between inlation and rate of interest.
(E) It states that individuals saving during an economic recession leads to fall in aggregate
demand.
Choose the correct answer from the option given below:
(1) A, B, C only
(2) B, C, D only
(3) C, D, E only
(4) A, B. E only
Q u e s t i o n 	 1 5:
Which of the following is not true in the case of second theorem of welfare economics?
(1) If consumers exhibit convex preferences, every pareto eficient allocation is a possible
competitive equilibrium in a pure exchange economy.
(2) In an economy involving production, the convexity of production sets ensures that a
pareto eficient allocation can be achieved as a market equilibrium.
(3) it holds when there are increasing returns to scale.
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2 of 9
(4) A-IV, B-III, C-I, D-II
Q u e s t i o n 	 4: Suppose good 1 is taken on horizontal axis and good 2 on vertical axis, then
what happens to the budget line if the price of good 1 doubles and price of good 2 triples?
(1) the budget line becomes steeper
(2) the budget line becomes latter
(3) the budget line becomes vertical
(4) the budget line remains unchanged
Q u e s t i o n 	 8:
The Huasman?s speciication error test is used to test whether
(1) an exogenous variable is correlated with the error term
(2) an endogenous variable is correlated with the error term
(3) both an exogenous variable is correlated with the error term and an endogenous
variable is correlated with the error term
(4) OLS method is appropriate to estimate the SEM
Q u e s t i o n 	 1 3:
Which of the following is/are true about paradox of thrift?
(A) Paradox of thrift was popularized by J. M. Keynes
(B) It states that personal savings can be detrimental to overall economic growth.
(C) it shows the relationship between output growth and rate of unemployment.
(D) it shows the relationship between inlation and rate of interest.
(E) It states that individuals saving during an economic recession leads to fall in aggregate
demand.
Choose the correct answer from the option given below:
(1) A, B, C only
(2) B, C, D only
(3) C, D, E only
(4) A, B. E only
Q u e s t i o n 	 1 5:
Which of the following is not true in the case of second theorem of welfare economics?
(1) If consumers exhibit convex preferences, every pareto eficient allocation is a possible
competitive equilibrium in a pure exchange economy.
(2) In an economy involving production, the convexity of production sets ensures that a
pareto eficient allocation can be achieved as a market equilibrium.
(3) it holds when there are increasing returns to scale.
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(4) it implies that in the market system, the allocative role and the distributive role can be
separated from each other.
Q u e s t i o n 	 1 7:
Which of the following is/are correct about Walrasian demand function?
(A) The Walrasian demand function  is homogenous of degree zero if 
 for any P , W and  .
(B) The Walrasian demand function  is homogenous of degree one if 
 for any P , W and  .
(C) The Walrasian demand function  satisies Walras law if for every  and 
 , we have  for all 
(D) Walras law says consumer fully expends his wealth
(E) If price and wealth both change in same proportion, then individual consumption choice
does not change.
Choose the correct answer from the option given below:
(1) A, B, C, D only
(2) B, C, D, E only
(3) A, B, C, E only
(4) A, C, D, E only
Q u e s t i o n 	 1 8:
Which of the following are not symptoms of multicollinearity in a regression model:
(A) High  with few signiicant t ratios for coeficients
(B) High wise correlations among regressors pair
(C) The closer the T olerance (TOLj) is to zero.
(D) Variance Inlation Factor (VIF) of a variable is below 10
(E) The closer the T olerance (TOLj) is to 1.
Choose the correct answer from the option given below:
(1) C and D only
(2) D and E only
(3) A and C only
(4) B and D only
Q u e s t i o n 	 2 8:
The BOP crisis of early 1990?s made India borrow from the IMF which came on following
conditions:
(A) Devaluation of rupee by 
(B) Drastic custom cut to a peak duty of  from the erstwhile level of  for all goods
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(4) A-IV, B-III, C-I, D-II
Q u e s t i o n 	 4: Suppose good 1 is taken on horizontal axis and good 2 on vertical axis, then
what happens to the budget line if the price of good 1 doubles and price of good 2 triples?
(1) the budget line becomes steeper
(2) the budget line becomes latter
(3) the budget line becomes vertical
(4) the budget line remains unchanged
Q u e s t i o n 	 8:
The Huasman?s speciication error test is used to test whether
(1) an exogenous variable is correlated with the error term
(2) an endogenous variable is correlated with the error term
(3) both an exogenous variable is correlated with the error term and an endogenous
variable is correlated with the error term
(4) OLS method is appropriate to estimate the SEM
Q u e s t i o n 	 1 3:
Which of the following is/are true about paradox of thrift?
(A) Paradox of thrift was popularized by J. M. Keynes
(B) It states that personal savings can be detrimental to overall economic growth.
(C) it shows the relationship between output growth and rate of unemployment.
(D) it shows the relationship between inlation and rate of interest.
(E) It states that individuals saving during an economic recession leads to fall in aggregate
demand.
Choose the correct answer from the option given below:
(1) A, B, C only
(2) B, C, D only
(3) C, D, E only
(4) A, B. E only
Q u e s t i o n 	 1 5:
Which of the following is not true in the case of second theorem of welfare economics?
(1) If consumers exhibit convex preferences, every pareto eficient allocation is a possible
competitive equilibrium in a pure exchange economy.
(2) In an economy involving production, the convexity of production sets ensures that a
pareto eficient allocation can be achieved as a market equilibrium.
(3) it holds when there are increasing returns to scale.
3 of 9
(4) it implies that in the market system, the allocative role and the distributive role can be
separated from each other.
Q u e s t i o n 	 1 7:
Which of the following is/are correct about Walrasian demand function?
(A) The Walrasian demand function  is homogenous of degree zero if 
 for any P , W and  .
(B) The Walrasian demand function  is homogenous of degree one if 
 for any P , W and  .
(C) The Walrasian demand function  satisies Walras law if for every  and 
 , we have  for all 
(D) Walras law says consumer fully expends his wealth
(E) If price and wealth both change in same proportion, then individual consumption choice
does not change.
Choose the correct answer from the option given below:
(1) A, B, C, D only
(2) B, C, D, E only
(3) A, B, C, E only
(4) A, C, D, E only
Q u e s t i o n 	 1 8:
Which of the following are not symptoms of multicollinearity in a regression model:
(A) High  with few signiicant t ratios for coeficients
(B) High wise correlations among regressors pair
(C) The closer the T olerance (TOLj) is to zero.
(D) Variance Inlation Factor (VIF) of a variable is below 10
(E) The closer the T olerance (TOLj) is to 1.
Choose the correct answer from the option given below:
(1) C and D only
(2) D and E only
(3) A and C only
(4) B and D only
Q u e s t i o n 	 2 8:
The BOP crisis of early 1990?s made India borrow from the IMF which came on following
conditions:
(A) Devaluation of rupee by 
(B) Drastic custom cut to a peak duty of  from the erstwhile level of  for all goods
4 of 9
(C) Consolidation of all indirect taxes into one tax
(D) Excise duty to be increased by  to neutralize the loss of revenue due to custom cut
(E) Government expenditure to be cut by  per annum
Choose the correct answer from the option given below:
(1) A, B, C, E only
(2) B, C, D, E only
(3) C, D, E, A only
(4) A, B, D, E only
Q u e s t i o n 	 3 4:
Arrange the following chronologically in order of their publication starting from the oldest:
(A) General theory of employment, Interest and Money
(B) A treatise of probability
(C) Essays in persuasion
(D) The end of Laissez Faire
(E) A tract on monetary reform
Choose the correct answer from the option given below:
(1) B, C, D, A, E
(2) B, E, D, C, A
(3) E, B, D, C, A
(4) D, E, B, A, C
Q u e s t i o n 	 3 8:
Which of the following constitutes India?s strategy to combat climate change in the backdrop
of its stand at the 26
th
 session of the conference of the Parties (COP-26) to the UNFCCC held
in Glasgow, U. K.
(A) phasing out of coal-based thermal power generation by 2030
(B) reduction of the carbon intensity of Indian economy by 45% by 2030, over 2005 levels.
(C) capping Indian economy total inal energy consumption in absolute levels.
(D) achieving the target of net zero emissions for India by 2070.
(E) promoting lifestyle for environment to combat climate change
Choose the correct answer from the option given below:
(1) A, B, D only
(2) B, C, D only
(3) B, D, E only
(4) C, D, E only
Q u e s t i o n 	 4 3:
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2 of 9
(4) A-IV, B-III, C-I, D-II
Q u e s t i o n 	 4: Suppose good 1 is taken on horizontal axis and good 2 on vertical axis, then
what happens to the budget line if the price of good 1 doubles and price of good 2 triples?
(1) the budget line becomes steeper
(2) the budget line becomes latter
(3) the budget line becomes vertical
(4) the budget line remains unchanged
Q u e s t i o n 	 8:
The Huasman?s speciication error test is used to test whether
(1) an exogenous variable is correlated with the error term
(2) an endogenous variable is correlated with the error term
(3) both an exogenous variable is correlated with the error term and an endogenous
variable is correlated with the error term
(4) OLS method is appropriate to estimate the SEM
Q u e s t i o n 	 1 3:
Which of the following is/are true about paradox of thrift?
(A) Paradox of thrift was popularized by J. M. Keynes
(B) It states that personal savings can be detrimental to overall economic growth.
(C) it shows the relationship between output growth and rate of unemployment.
(D) it shows the relationship between inlation and rate of interest.
(E) It states that individuals saving during an economic recession leads to fall in aggregate
demand.
Choose the correct answer from the option given below:
(1) A, B, C only
(2) B, C, D only
(3) C, D, E only
(4) A, B. E only
Q u e s t i o n 	 1 5:
Which of the following is not true in the case of second theorem of welfare economics?
(1) If consumers exhibit convex preferences, every pareto eficient allocation is a possible
competitive equilibrium in a pure exchange economy.
(2) In an economy involving production, the convexity of production sets ensures that a
pareto eficient allocation can be achieved as a market equilibrium.
(3) it holds when there are increasing returns to scale.
3 of 9
(4) it implies that in the market system, the allocative role and the distributive role can be
separated from each other.
Q u e s t i o n 	 1 7:
Which of the following is/are correct about Walrasian demand function?
(A) The Walrasian demand function  is homogenous of degree zero if 
 for any P , W and  .
(B) The Walrasian demand function  is homogenous of degree one if 
 for any P , W and  .
(C) The Walrasian demand function  satisies Walras law if for every  and 
 , we have  for all 
(D) Walras law says consumer fully expends his wealth
(E) If price and wealth both change in same proportion, then individual consumption choice
does not change.
Choose the correct answer from the option given below:
(1) A, B, C, D only
(2) B, C, D, E only
(3) A, B, C, E only
(4) A, C, D, E only
Q u e s t i o n 	 1 8:
Which of the following are not symptoms of multicollinearity in a regression model:
(A) High  with few signiicant t ratios for coeficients
(B) High wise correlations among regressors pair
(C) The closer the T olerance (TOLj) is to zero.
(D) Variance Inlation Factor (VIF) of a variable is below 10
(E) The closer the T olerance (TOLj) is to 1.
Choose the correct answer from the option given below:
(1) C and D only
(2) D and E only
(3) A and C only
(4) B and D only
Q u e s t i o n 	 2 8:
The BOP crisis of early 1990?s made India borrow from the IMF which came on following
conditions:
(A) Devaluation of rupee by 
(B) Drastic custom cut to a peak duty of  from the erstwhile level of  for all goods
4 of 9
(C) Consolidation of all indirect taxes into one tax
(D) Excise duty to be increased by  to neutralize the loss of revenue due to custom cut
(E) Government expenditure to be cut by  per annum
Choose the correct answer from the option given below:
(1) A, B, C, E only
(2) B, C, D, E only
(3) C, D, E, A only
(4) A, B, D, E only
Q u e s t i o n 	 3 4:
Arrange the following chronologically in order of their publication starting from the oldest:
(A) General theory of employment, Interest and Money
(B) A treatise of probability
(C) Essays in persuasion
(D) The end of Laissez Faire
(E) A tract on monetary reform
Choose the correct answer from the option given below:
(1) B, C, D, A, E
(2) B, E, D, C, A
(3) E, B, D, C, A
(4) D, E, B, A, C
Q u e s t i o n 	 3 8:
Which of the following constitutes India?s strategy to combat climate change in the backdrop
of its stand at the 26
th
 session of the conference of the Parties (COP-26) to the UNFCCC held
in Glasgow, U. K.
(A) phasing out of coal-based thermal power generation by 2030
(B) reduction of the carbon intensity of Indian economy by 45% by 2030, over 2005 levels.
(C) capping Indian economy total inal energy consumption in absolute levels.
(D) achieving the target of net zero emissions for India by 2070.
(E) promoting lifestyle for environment to combat climate change
Choose the correct answer from the option given below:
(1) A, B, D only
(2) B, C, D only
(3) B, D, E only
(4) C, D, E only
Q u e s t i o n 	 4 3:
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Given below are the alternative formulae for F-test statistic. We are interested in testing the
statistical signiicance of the incremental contribution of  at 5% level of signiicance to 
 . Which of these is not appropriate? Where RSS is residual sum
of square and ESS is expected sum of square.
(1) 
(2) 
(3) 
(4) 
Q u e s t i o n 	 4 8:
The Uruguay Round of trade negotiations called for
(A) The reduction of average tariffs on industrial goods
(B) Quotas to be replaced by tariffs
(C) The reduction in agriculture export subsidies
(D) The reduction in industrial subsidies
(E) Antidumping and safeguards to be relaxed
Choose the correct answer from the option given below:
(1) A, B, C, D only
(2) B, C, D, E only
(3) C, D, E, A only
(4) D, E, A, B only
Q u e s t i o n 	 5 4:
The concept of “excess sensitivity” and “excess smoothness” are explained by following
statement (s) .
(A) ‘Excess sensitivity’ refers to a situation where consumption over responds to temporary
income shocks.
(B) ‘Excess smoothness’ refers to a situation where consumption under responds to
temporary income changes.
(C) with excess sensitivity, anticipated rise in income is associated with relatively small
change in consumption.
(D) with excess smoothness, change in aggregate income are associated with relatively large
changes in aggregate consumption.