CUET Economics 2025 29 May Shift 1 PYQs

The government-imposed lower limit on the price that may be charged for a particular good or service. What this lower limit is called ?

Arrange the following money supply measures in chronological order.

(A) Excess supply will prevail in the economy.

(B) The tendency of prices to change to restore equilibrium.

(C) Suppose market supply is greater than market demand at a given price.

(D) Hence, the market is not in equilibrium.

Choose the correct answer from the options given below:

1. (C), (A), (D), (B)
2. (B), (A), (C), (D)
3. (B), (A), (D), (C)
4. (C), (B), (D), (A)

Under perfect competition if firms earn supernormal profits. Arrange following statements to arrive at the implication of free entry and exit of firms

(A) Market price fall in such a manner that firms will be earning normal profits only and thus no more firms will have incentive to enter the market.

(B) Some new firms will enter the market

(C) At the prevailing market price, each firm is earning supernormal profit.

(D) Demand remains unchanged but the market supply curve shifts rightward