CUET Economics 2025 28 May Shift 2 PYQs

Arrange a statement of market equilibrium when the demand curve shifts leftward:

(A). The shift indicates that at any price the quantity demanded is less than before.

(B). Some firms will reduce the price of their commodity so that they can sell their desired quantity.

(C). Excess supply will arise.

(D). At the new equilibrium, quantity and price will be less than before.

Choose the correct answer from the options given below:

In the context of perfect competition, which one of the following is not correct?

1. Firm has full control over price.
2. Horizontal straight line demand curve of the firm.
3. Freedom of entry and exit.
4. Selling costs do not exist.

Suppose the Income of consumers in a market increase. How will this effect the equilibrium price of the commodity, assuming that it is a normal good?

(A) There is excess demand at the existing price.

(B) Rising price leads to contraction in demand and expansion in supply and a new equilibrium price is attained, which is higher than the initial price.

(C) The demand curve shifts rightward.

(D) There is upward pressure on the price and price starts rising.

Choose the correct answer from the options given below: