Match the LIST-I with LIST-II
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Which of the following are correct in the context of monopolistic competition?
(A) Monopolistic competitive firms may earn economic profits or incur losses in the short-run.
(B) The long-run equilibrium position of a monopolistically competitive producer is far more efficient than that of pure competition.
(C) The firms may strive to increase the demand for its product through product development and advertising.
(D) Consumers benefit from the wide variety of product choices that monopolistic competition provides.
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Coefficient of determination measures
(A) Correlation between the dependent and independent variables.
(B) The residual sum of squares as a proportion of the total sum of squares.
(C) The explained sum of squares as a proportion of the total sum of squares.
(D) How well the sample regression fits the data.
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Which of the following statements are correct about the contrast between pure public and pure private goods?
(A) The total provision of pure private goods is the sum of private consumption, whereas the total provision of pure public goods is equal between individuals.
(B) The consumer in general pays the same prices and consumes different quantities of the good when there is efficient provision of pure private goods.
(C) The consumer pays different prices and consumes the same quantity of the good when there is efficient provision of pure public goods.
(D) Atomistic markets ensure efficient provisioning for both pure private as well as pure public goods.
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According to the law of comparative advantage, trade will not be beneficial for both countries if
(A) One nation is less efficient than the other nation in the production of both commodities.
(B) One nation has an absolute advantage with respect to the other nation in the production of both commodities.
(C) The opportunity cost of producing both the commodities is the same in both countries.
(D) The absolute disadvantage that one nation has with respect to the other nation is the same in both commodities.
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In the Keynesian framework, determination of an equilibrium interest rate also implies
(A) The rate that equates the supply of and the demand for bonds.
(B) The rate that equates the supply of money with the demand for money.
(C) The rate that equates the supply of money and demand for investment.
(D) The rate that equates supply of labour and demand for labour.
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