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1. How is decision taken under risk? Draw a Decision Tree and explain. 2. Why does demand curve slope downwards and supply curve slope upwards? Explain. Also differentiate between the movement along a demand curve and shift in the demand curve with the help of examples. 3. Differentiate between economies of scale and economies of scope. Also explain internal and external economies and diseconomies of scale. 4. Assume that a travel agent has an agency in three different localities of a city. Explain whether it is possible for the travel agent to practice price discrimination. What are the necessary conditions of price discrimination? 5. Explain Short-Run Cost Functions. How is Short Run Average and Marginal Cost Curves determined? 6. Write short notes on any two of the following:- (a) Demand Forecasting Techniques (b) Production Isoquants (c) Characteristics of Monopoly
