Q1:
12th May Shift 1
Micro > Production & Costs
Easy
Marginal Product of labour is inverse'U'-shaped because of :
Correct Answer
Option 4
Correct Answer
CUET Economics 2026 12th May Shift 1 PYQs
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Q2:
12th May Shift 1
Macro > Government Budget
Easy
Identify the capital expenditure of the government from the following:
Correct Answer
Option 4
Correct Answer
Q3:
12th May Shift 1
Macro > Money & Banking
Easy
Arrange the following measures of money supply in decreasing order of their liquidity. (A) M4 (B) M2 (C) M1 (D) M3 Choose the correct answer from the options given below:
Correct Answer
Option 3
Correct Answer
Q4:
12th May Shift 1
Macro > Introduction
Easy
Identify the correct option from the following in respect of macroeconomics:
Correct Answer
Option 4
Correct Answer
Q5:
12th May Shift 1
Micro > Consumer Behaviour
Medium
Arrange the values of the elasticity of demand of the following at different points on a downward straight line demand curve in ascending order. (A) The point where the demand curve meets the horizontal axis. (B) The point where the demand curve meets the vertical axis. (C) At any point to the left of the midpoint of the demand curve. (D) At any point to the right of the midpoint of the demand curve. Choose the correct answer from the options given below:
Correct Answer
Option 3
Correct Answer
Q6:
12th May Shift 1
Indian Economic Development > Economic Reforms (1991)
Medium
Match List-I with List-II | List-I | List-II | |---|---| | (A) Multilateral trade agreements | (I) Outsourcing | | (B) Liberalization | (II) Disinvestment | | (C) Globalization | (III) WTO | | (D) Privatization | (IV) FDI | Choose the correct answer from the options given below:
Correct Answer
Option 4
Correct Answer
Q7:
12th May Shift 1
Indian Economic Development > Employment
Easy
The problem of disguised unemployment is most prevalent in which of the following?
Correct Answer
Option 3
Correct Answer
Q8:
12th May Shift 1
Macro > Government Budget
Easy
Gross primary deficit = ___A___ – Net interest liabilities. Here A is-
Correct Answer
Option 2
Correct Answer
Q9:
12th May Shift 1
Macro > Balance of Payments
Medium
Arrange the following statements in correct sequence as a result of change in demand for import and its impact on exchange rate; (A) An increase in exchange rate makes domestic goods cheaper, and increases the exports of domestic country. (B) There is an increase in the income in the domestic country. (C) It will lead to increase in the import demand. (D) There will be increase in the exchange rate. Choose the correct answer from the options given below:
Correct Answer
Option 2
Correct Answer
Q10:
12th May Shift 1
Micro > Forms of Market
Easy
Arrange the following in ascending order as impact of the unit tax on supply : (A) After imposition of unit tax ,firm will supply less unit of output (B) Firm's long run average cost and marginal cost increases by Rs.t (C) A unit tax is that tax which is imposes on per unit sale of output. (D) suppose the government place a unit tax of Rs,t Choose the correct answer from the options given below:
Correct Answer
Option 4
Correct Answer
Q11:
12th May Shift 1
Macro > National Income
Medium
Which of the following can be used to measure the change in prices in an economy- (A) GDP deflator (B) Industrial Price Index (C) Rate of inflation (D) Wholesale price index Choose the correct answer from the options given below:
Correct Answer
Option 2
Correct Answer
Q12:
12th May Shift 1
Macro > Balance of Payments
Easy
Match List-I with List-II | List-I | List-II | |---|---| | (A) Autonomous transactions | (I) Current Account | | (B) Net Exports | (II) 'Below the line' items in BoP | | (C) Accommodating transactions | (III) Capital Account | | (D) Portfolio Investment | (IV) 'Above the line' items in BoP | Choose the correct answer from the options given below:
Correct Answer
Option 4
Correct Answer
Q13:
12th May Shift 1
Micro > Market Equilibrium
Medium
Match List-I with List-II | List-I | List-II | |---|---| | (A) Increase in demand and no change in supply | (I) Equilibrium quantity decreases. | | (B) Both demand and supply increase | (II) Equilibrium quantity increases. | | (C) Decrease in supply and no change in demand | (III) Change in price depends on magnitude of shift | | (D) Increase in demand and decrease in supply | (IV) Equilibrium price increases. | Choose the correct answer from the options given below:
Correct Answer
Option 1
Correct Answer
Q14:
12th May Shift 1
Indian Economic Development > Development Experience (1947-90)
Medium
Arrange the following establishments in their chronological order of setup. (A) Introduction of Railway in India. (B) Planning Commission of India. (C) Starting the aviation sector in India. (D) Tata Iron and Steel Company (TISCO) Choose the correct answer from the options given below:
Correct Answer
Option 2
Correct Answer
Q15:
12th May Shift 1
Macro > Money & Banking
Easy
Which among the following limits the money multiplier process?
Correct Answer
Option 2
Correct Answer
Q16:
12th May Shift 1
Macro > Money & Banking
Easy
The situation where people are willing to hold any amount of money at a very low interest rate is called?
Correct Answer
Option 3
Correct Answer
Q17:
12th May Shift 1
Macro > Balance of Payments
Easy
Official reserve transactions are made to bridge the gap in the Balance of Payment (BoP), they are seen as the ________ item in the BoP.
Correct Answer
Option 2
Correct Answer
Q18:
12th May Shift 1
Micro > Consumer Behaviour
Easy
If the income effect is stronger than the substitution effect, the demand for the good would be positively related to its price. Such a good is called?
Correct Answer
Option 1
Correct Answer
Q19:
12th May Shift 1
Micro > Consumer Behaviour
Medium
The law of demand holds in which of the following condition?
Correct Answer
Option 2
Correct Answer
Q20:
12th May Shift 1
Macro > Government Budget
Medium
The government expenditure multiplier is calculated by which of the following:
Correct Answer
Option 3
Correct Answer
Q21:
12th May Shift 1
Indian Economic Development > Human Capital Formation
Easy
The education cess levied by Government of India is earmarked for-
Correct Answer
Option 2
Correct Answer
Q22:
12th May Shift 1
Macro > Government Budget
Easy
Which of the following is related to public provision?
Correct Answer
Option 1
Correct Answer
Q23:
12th May Shift 1
Micro > Forms of Market
Medium
Choose the correct options from the following in respect of Break-even point(BEP) of a firm- (A) BEP is a point of minimum AVC where the SMC curve cuts the AVC curve. (B) BEP is a point on the supply curve at which a firm earns only normal profit. (C) BEP is possible both in long run and short run. (D) BEP is the point of minimum average cost at which the supply curve cuts the LRAC curve. Choose the correct answer from the options given below:
Correct Answer
Option 3
Correct Answer
Q24:
12th May Shift 1
Micro > Production & Costs
Medium
Choose the correct statement with respect to long run production function- (A) There is no fixed factor of production. (B) All inputs can be varied. (C) Average and Marginal cost curves are U shaped. (D) Decreasing Returns to Scale is not applicable. Choose the correct answer from the options given below:
Correct Answer
Option 2
Correct Answer
Q25:
12th May Shift 1
Macro > National Income
Easy
To get gross domestic product at a factor cost (GDP_FC), which among the following should be deducted from GDP at market price (GDP_MP).
Correct Answer
Option 1
Correct Answer
Q26:
12th May Shift 1
Indian Economic Development > Economic Reforms (1991)
Easy
Stabilisation measures under New Economic Policy directly targeted to which of the following?
Correct Answer
Option 1
Correct Answer
Q27:
12th May Shift 1
Macro > National Income
Easy
In the base year 2020, a country produced 1000 toys, price was Rs 100 per toy. In 2025 the same country produced 500 toys at price Rs 150 per toy. The value of nominal and real GDP in year 2025 considering 2020 as base year:
Correct Answer
Option 1
Correct Answer
Q28:
12th May Shift 1
Micro > Market Equilibrium
Easy
Imposition of price ceiling below the equilibrium price leads to__________
Correct Answer
Option 4
Correct Answer
Q29:
12th May Shift 1
Macro > Money & Banking
Easy
Which of the following action by RBI leads to an increase in the supply of money in the economy:
Correct Answer
Option 2
Correct Answer
Q30:
12th May Shift 1
Indian Economic Development > Development Experience of India
Easy
Which country is associated with the 'Great Leap Forward' campaign?
Correct Answer
Option 3
Correct Answer
Q31:
12th May Shift 1
Indian Economic Development > Development Experience (1947-90)
Medium
Match List-I with List-II | List-I | List-II | |---|---| | (A) Mahalanobis | (I) Small scale industries | | (B) Karve Committee | (II) Education | | (C) Mazumdar Committee | (III) Second five-year plan | | (D) Brundtland Commission | (IV) Sustainable Development | Choose the correct answer from the options given below:
Correct Answer
Option 3
Correct Answer
Q32:
12th May Shift 1
Macro > Balance of Payments
Easy
In order to promote exports in a fixed exchange rate system, the government can opt for-
Correct Answer
Option 1
Correct Answer
Q33:
12th May Shift 1
Micro > Production & Costs
Easy
Output increases with which of the following reasons? (A) Increase in capital. (B) Increase in labour. (C) Increase in cost of inputs. (D) Increase in level of technology. Choose the correct answer from the options given below:
Correct Answer
Option 4
Correct Answer
Q34:
12th May Shift 1
Macro > National Income
Easy
Which of the following can be categorized as a stock varaible?
Correct Answer
Option 3
Correct Answer
Q35:
12th May Shift 1
Indian Economic Development > Human Capital Formation
Easy
Choose correct sources of human capital formation from the following: (A) Education (B) On the job training (C) Migration (D) Industrialisation Choose the correct answer from the options given below:
Correct Answer
Option 3
Correct Answer
Q36:
12th May Shift 1
Indian Economic Development > Development Experience of India
Easy
Match List-I with List-II | List-I | List-II | |---|---| | (A) Great Leap Forward Compaign | (I) To attract foreign investors | | (B) Great Proletarian Cultural Revolution | (II) Mechanisation and increase in public investment in infrastructure in select areas | | (C) Introduction of Green Revolution in Pakistan | (III) Students and professionals were sent to work and learn from the countryside | | (D) Setting up of special economic zones in China | (IV) Industrialising the country on a massive scale | Choose the correct answer from the options given below:
Correct Answer
Option 3
Correct Answer
Q37:
12th May Shift 1
Indian Economic Development > Development Experience (1947-90)
Easy
What is meant by 'Import Substitution'?
Correct Answer
Option 4
Correct Answer
Q38:
12th May Shift 1
Micro > Consumer Behaviour
Easy
The indifference curve for goods $x_1$ and $x_2$ is sloped downwards when?
Correct Answer
Option 2
Correct Answer
Q39:
12th May Shift 1
Macro > Income & Employment
Easy
'Paradox of Thrift' refers to-
Correct Answer
Option 3
Correct Answer
Q40:
12th May Shift 1
Macro > Balance of Payments
Easy
Which of the following is correct for managed floating exchange system?
Correct Answer
Option 4
Correct Answer
Q41:
12th May Shift 1
Macro > Income & Employment
Easy
The major economic activities of the government that affect the aggregate demand for final goods and services can be summarized by the fiscal variables Tax (T) and Government Expenditure (G), both autonomous to our analysis. The government, through its expenditure G on final goods and services, adds to the aggregate demand like other firms and households. On the other hand, taxes imposed by the government take a part of the income away from the household, whose disposable income, therefore, becomes Yd = Y – T. Households spend only a fraction of this disposable income for consumption purpose. Hence, equation has to be modified in the following way to incorporate the government
Y = C̄ + Ī + G + c (Y – T)
Where, Y- Income, C-Consumption, G- Government Expenditure, I-Investment, c- Marginal Propensity to consume (MPC), T- tax.
Disposable income is -
Correct Answer
Option 4
Correct Answer
Q42:
12th May Shift 1
Macro > Income & Employment
Easy
The major economic activities of the government that affect the aggregate demand for final goods and services can be summarized by the fiscal variables Tax (T) and Government Expenditure (G), both autonomous to our analysis. The government, through its expenditure G on final goods and services, adds to the aggregate demand like other firms and households. On the other hand, taxes imposed by the government take a part of the income away from the household, whose disposable income, therefore, becomes Yd = Y – T. Households spend only a fraction of this disposable income for consumption purpose. Hence, equation has to be modified in the following way to incorporate the government
Y = C̄ + Ī + G + c (Y – T)
Where, Y- Income, C-Consumption, G- Government Expenditure, I-Investment, c- Marginal Propensity to consume (MPC), T- tax.
An increase in government spending will lead to _________
Correct Answer
Option 3
Correct Answer
Q43:
12th May Shift 1
Macro > Income & Employment
Easy
The major economic activities of the government that affect the aggregate demand for final goods and services can be summarized by the fiscal variables Tax (T) and Government Expenditure (G), both autonomous to our analysis. The government, through its expenditure G on final goods and services, adds to the aggregate demand like other firms and households. On the other hand, taxes imposed by the government take a part of the income away from the household, whose disposable income, therefore, becomes Yd = Y – T. Households spend only a fraction of this disposable income for consumption purpose. Hence, equation has to be modified in the following way to incorporate the government
Y = C̄ + Ī + G + c (Y – T)
Where, Y- Income, C-Consumption, G- Government Expenditure, I-Investment, c- Marginal Propensity to consume (MPC), T- tax.
An increase in total autonomous expenditure is by 100 units and the value of multiplier is 5. What will be the impact on equilibrium income?
Correct Answer
Option 1
Correct Answer
Q44:
12th May Shift 1
Macro > Income & Employment
Easy
The major economic activities of the government that affect the aggregate demand for final goods and services can be summarized by the fiscal variables Tax (T) and Government Expenditure (G), both autonomous to our analysis. The government, through its expenditure G on final goods and services, adds to the aggregate demand like other firms and households. On the other hand, taxes imposed by the government take a part of the income away from the household, whose disposable income, therefore, becomes Yd = Y – T. Households spend only a fraction of this disposable income for consumption purpose. Hence, equation has to be modified in the following way to incorporate the government
Y = C̄ + Ī + G + c (Y – T)
Where, Y- Income, C-Consumption, G- Government Expenditure, I-Investment, c- Marginal Propensity to consume (MPC), T- tax.
If the Marginal Propensity to Save (MPS)=0.2.The Value of the multiplier will be-
Correct Answer
Option 1
Correct Answer
Q45:
12th May Shift 1
Macro > Income & Employment
Easy
The major economic activities of the government that affect the aggregate demand for final goods and services can be summarized by the fiscal variables Tax (T) and Government Expenditure (G), both autonomous to our analysis. The government, through its expenditure G on final goods and services, adds to the aggregate demand like other firms and households. On the other hand, taxes imposed by the government take a part of the income away from the household, whose disposable income, therefore, becomes Yd = Y – T. Households spend only a fraction of this disposable income for consumption purpose. Hence, equation has to be modified in the following way to incorporate the government
Y = C̄ + Ī + G + c (Y – T)
Where, Y- Income, C-Consumption, G- Government Expenditure, I-Investment, c- Marginal Propensity to consume (MPC), T- tax.
Increase in Taxes will lead to__________
Correct Answer
Option 3
Correct Answer
Q46:
12th May Shift 1
Indian Economic Development > Sustainable Economic Development
Easy
According to Herman Daly, a leading environmental economist, to achieve sustainable development, the following needs to be done (i) limiting the human population to a level within the carrying capacity of the environment. (ii) technological progress should be input efficient and not input consuming (iii) renewable resources should be extracted on a sustainable basis, that is, rate of extraction should not exceed rate of regeneration (iv) for non-renewable resources rate of depletion should not exceed the rate of creation of renewable substitutes and (v) inefficiencies arising from pollution should be corrected. In 2015, the UN formulated 17 Sustainable Development Goals (SDGs) intended to be achieved by the year 2030.
A sustainable basis for extraction of renewable resources is possible when-
Correct Answer
Option 1
Correct Answer
Q47:
12th May Shift 1
Indian Economic Development > Sustainable Economic Development
Easy
According to Herman Daly, a leading environmental economist, to achieve sustainable development, the following needs to be done (i) limiting the human population to a level within the carrying capacity of the environment. (ii) technological progress should be input efficient and not input consuming (iii) renewable resources should be extracted on a sustainable basis, that is, rate of extraction should not exceed rate of regeneration (iv) for non-renewable resources rate of depletion should not exceed the rate of creation of renewable substitutes and (v) inefficiencies arising from pollution should be corrected. In 2015, the UN formulated 17 Sustainable Development Goals (SDGs) intended to be achieved by the year 2030.
What is meant by the term 'sustainable development'?
Correct Answer
Option 2
Correct Answer
Q48:
12th May Shift 1
Indian Economic Development > Sustainable Economic Development
Easy
According to Herman Daly, a leading environmental economist, to achieve sustainable development, the following needs to be done (i) limiting the human population to a level within the carrying capacity of the environment. (ii) technological progress should be input efficient and not input consuming (iii) renewable resources should be extracted on a sustainable basis, that is, rate of extraction should not exceed rate of regeneration (iv) for non-renewable resources rate of depletion should not exceed the rate of creation of renewable substitutes and (v) inefficiencies arising from pollution should be corrected. In 2015, the UN formulated 17 Sustainable Development Goals (SDGs) intended to be achieved by the year 2030.
Which of the following is an example of a renewable resource?
Correct Answer
Option 2
Correct Answer
Q49:
12th May Shift 1
Indian Economic Development > Sustainable Economic Development
Easy
According to Herman Daly, a leading environmental economist, to achieve sustainable development, the following needs to be done (i) limiting the human population to a level within the carrying capacity of the environment. (ii) technological progress should be input efficient and not input consuming (iii) renewable resources should be extracted on a sustainable basis, that is, rate of extraction should not exceed rate of regeneration (iv) for non-renewable resources rate of depletion should not exceed the rate of creation of renewable substitutes and (v) inefficiencies arising from pollution should be corrected. In 2015, the UN formulated 17 Sustainable Development Goals (SDGs) intended to be achieved by the year 2030.
Which of the following factors can lead to deviation from sustainable development?
Correct Answer
Option 1
Correct Answer
Q50:
12th May Shift 1
Indian Economic Development > Sustainable Economic Development
Easy
According to Herman Daly, a leading environmental economist, to achieve sustainable development, the following needs to be done (i) limiting the human population to a level within the carrying capacity of the environment. (ii) technological progress should be input efficient and not input consuming (iii) renewable resources should be extracted on a sustainable basis, that is, rate of extraction should not exceed rate of regeneration (iv) for non-renewable resources rate of depletion should not exceed the rate of creation of renewable substitutes and (v) inefficiencies arising from pollution should be corrected. In 2015, the UN formulated 17 Sustainable Development Goals (SDGs) intended to be achieved by the year 2030.
UN formulated _____ Sustainable Development Goals (SDGs)
Correct Answer
Option 4
Correct Answer
CUET Economics 2026 12th May Shift 1 - Past Year Questions
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