Question1. “Monopolies earn abnormal profits even in the long only because of barriers to entry”. Discuss. Support your answer using appropriate illustrations and diagrams.
Question2. Distinguish among the various kinds of barriers that can exist under imperfect market structures.
Question3. How do returns to scale and returns to factor influence the shapes of the AC in the Long-run and short-run respectively?
Question4. Describe using diagrams, how is consumer surplus related to the price elasticity of demand?
Question5. Critically compare any two qualitative forecasting measures with that of any two quantitative ones.
Question6. What do you understand by optimal level of pollution and critically explain the different ways of internalising external costs?