ECO/V/08 Student's Copy
2 0 1 8
Pre-CBCS
5th Semester
ECONOMICS
EIGHTH PAPER
Industrial Economics
Full Marks 75
Time 3 hours
PART A—OBJECTIVE
Marks 25
The figures in the margin indicate full marks for the questions
SECTION—A
Marks 10
Tick the correct answer in the brackets provided 1×10=10
1. In India, the performance of industries is measured using
IIP
WPI
CPI
GDP deflator
2. Which industrial policy clearly laid down three categories for classification
of industries?
Industrial Policy Resolution, 1948
Industrial Policy Resolution, 1956
Industrial Policy Resolution, 1977
Industrial Policy Resolution, 1980
/260 1 Contd.
3. Which type of business organization is popularly known as 'one-man
business'?
Individual ownership
Private ownership
Sole proprietorship
Single proprietorship
4. Which of the following is not a property of a joint-stock company?
Legal entity
Common seal
Unlimited liability
Perpetual existence
5. The market area theory of industrial location was put forward by
Renner
Weber
Walter Christaller
Tord Palander
6. The tendency to link formerly separate firms, enterprise or production
processes in order to reap economies of scale or finance is known as
diversification
vertical integration
merger
acquisition
7. Which of the following is not an external source of industrial finance?
Retained earnings
Equity
Bonds
Debenture
8. The Industrial Finance Corporation of India (IFCI) was established in
1945
1946
1947
1948
ECO/V/08 2 Contd.
9. Which of the following does not directly influence industrial productivity?
Level of technology
Quality of human development
Type of ownership
Government policy
10. The President of the National Productivity Council is
the Prime Minister
the Minister for Industrial Development
Ratan Tata
Mukesh Ambani
SECTION—B
Marks 15
Write short notes on the following 3×5=15
1. Industrial classification
2. Joint-stock company
3. Different types of industrial diversification
4. Distinction between equity and debt
5. Industrial sickness
PART B—DESCRIPTIVE
Marks 50
The figures in the margin indicate full marks for the questions
Answer five questions, taking one from each Unit
UNIT—I
1. What do you understand by the term 'industrialization'? Explain the role of
industries in economic development. 3+7=10
2. Discuss in detail the linkages between industry and other sectors of the
economy. 10
ECO/V/08 3 Contd.
UNIT—II
3. What do you mean by multinational corporations What are their
roles and performance in developing countries like India? 3+7=10
4. Differentiate between public and private sectors. Discuss the performance
and achievement of public sector enterprises. 4+6=10
UNIT—III
5. Critically analyze Tord Palander's theory of industrial location. 10
6. What are the reasons behind regional imbalances in industrial
development in developing countries like India? Suggest suitable measures
to tackle these imbalances. 5+5=10
UNIT—IV
7. What are the different modes of industrial finance? Explain the different
sources of finance available for industries. 4+6=10
8. Discuss in detail the role of commercial bank in financing industries in
India. 10
UNIT—V
9. What do you mean by industrial productivity? What are the factors
influencing industrial productivity? 3+7=10
10. What is under-utilization of industrial capacity? Discuss the factors
responsible for under-utilization of industrial capacity.