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Test Code: Jt1El/MEII 1998

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77
Syllabus /or IU El I {
•
M alrix Algebra : Matrices and Vcctors, Matrix Opera.ti~~• Doter- '
/
,
/·\
I j

30
minanui, non-singularity, Inversion, Cramer's 1rule. · '' -·
Gakulu11 : Limits, Continuity, Differentiation o·( functions of one or

36
more variables, Product rule, Partial 11.nd tot.a.I deriva.ti:ves, Derivatives of
implicit functions, unconstrained optimisation '(first and ~cond o~er condi-

88
tions for extrema of functions of single v~riabl~. and several variables), Taylor
series, Definite and indefinite integrals stand9;rd formulae,. integration by

;9
part<:! and integration by substitution, Differential equations.

Constrained OJ?timisation of functions of a single variable.

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Theory of sequences and series. •' l ·
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Linear programming : Formulation, Statements of primal and dual
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problems, Graphicd.l solutions.
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Theory of polynomial equations (up to third degree).

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Sa:mple Questions IUEI (llfathematics) 1998-99
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_Ea.ch question ca.rrie,s 4 marks.

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1. Consider the set.a

in

r ,
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dm

1- S _ {~ 29 34 39 Mt
6 - 5 •5•5•5•5 l ··· '
.

. .;m:·
;a

•'·
..
.,
•.";
Then the s~ of the eiements in 8,. is
n

(n+l)({n-2)
(A)

l 2
e.i
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. 2. The valu~ of log2e-log,e+lo~e-log11e+ ... i-.i equal to

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1 1 1
(A) log1 e (B) -
2 2 log,2 (C)
2 ,(D) none of these.

[ 1 ]
JOl-1
 ...
- z- .!?

3. ! and - ! a.re the roost of the quadratic equation 3x2 - I8x+2 = 0.

5
The equation whose root.a are a and p is

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..f (A) ~18%+3 =O t(B) 2xr-18x+3 = O

3%2+21~+2 = 0 3x1 -27x+2 = 0.

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(C) ,1 .' . (D)

The values of (a, b) for which the following system of oquations

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ax+3y+z = 5

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h-y+2az = 3

x+4y+a.z = b

;9
is inconsist.ent, a.re

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(A) (a i: 1, b = 6) a.nd (a =j:; -1, b = ~6 )
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,.. , (D) (a= I, b =/:= 6) and (a= -1, b =j:; ~6 )

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5,'; Ma.xi I .. f f
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a•
mum va. uo•o (x) = -n.
7 , for n = 0, 1, 2, 3, ... where a is a. givon
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positive integer, is

a•-1 aa-t
(A) a0 (B) aT
-ca-=in (D) none of these.
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6. If y = log171.z:i f(x) where /(x) = e",· g(x) = x1, defined for x > l, then
n

dy .
e.i

dx 18
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(B)
lo~-l
·(Iogex) 2-
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(D) 10~+1
(lo~)•
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[ 2, J
 .,.. , I'•

~+12x-1,
7. If /(x) = { 37-x,
then

5
(A) /(x) is not continuous in [-1, 3)

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(B) f(x) is oontinuous and differentiable in (-1, 3)

30
, (C) /(x) is ooni;inuous in [ -1, 31 but /'(2) does not exist
(D) none of these.

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8, The following me.trix

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l I l I .

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2 1 ' 0 -1

4 l 0 1

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·s 1 0 -1

(A) is singular e.nd the ra.nk is 3

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(B) is singular' e.nd the ra.nk is less than, 3
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(C) is nonsingular and tho1,d~~~a.nt.Js -12 : I

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\ (D) none of these.
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9. The roots of the cubic eqwi,tion .~=~+2ax~15. = Oare in AP. The

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: rC"~ -• •

oommon differeno/etween the ~~ is . 11

✓>
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(A) 1/2 2 (C) 3 (D) none of these.

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,.
log a.,., log a 11 +1
;a

t:,. = log an+s log CtnH

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log Ctn+1 log a...+7 log <Xn+e

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(A) log (anan+8)-2 log anH (B) : log (a1a 3 )-2 log. <Xi
$ 'o (Df 1;
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~ [ 3 ]
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 ' . , . .... !,: .. ·'
._,;.•_,..~ ~ .. ~~r~;r-•. i' ·:l.""!:,."~-=!"•"'•~"'" ~;,,. • ~- ;: ..,., - · -
' -- ;;-~· The function /(x) defined by

:i: when O < x < 1

J(x) = 2-x when I ..;; x < 2

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{ 1
x- x 1 when x > 2,

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2

30
is
1 (A) continuous at x = 2 but not differentiable. a.t x = 1

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(B) continuous at x = 2 o.nd cliffcrontin.ble at x = l
(C) not continuous at x = 2 and not diffcrentia.ble at x = I

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(D) none of these.

;.. lim r• 2.__log(l:x) J is

;9
-= ➔ o l X X

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(A) l 1 (B) _ 1/2 (C) does not exist (D) none of these.

13. Jf la! < 1, I bl < 1, then tho series

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a{a+b)+al(a1 +b2 )+a,(a1 +bs)+ ...

(A) converges to {a2/(1-a 2)1f-b1 /(1-bt)}

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{B) conl"'erges to {a1/(l-a2)+b1 /(l-ab)}

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(C) convecges to {a1/(l-a2)+ab/(1-ab)}

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(D) none oithe above is true.

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14. if a+!. =2 ooe a, then the value of an+ In is

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a a
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(A) 2" cos•a ; (B) 2" cosna: •(C) 2 cosna (D) none of these.
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15. If a, b and e are positive real numbers, then tho least value of
n
e.i

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(A) 9 , (B) 3 (C) -:f (D) none of these.

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C ' J
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Ht H

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fxl-[xJ-1 if-1<:x<:O

l 1:1

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/(x) = -~x] if O ¾ x < l

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otherwiso,

where [x) is the greatest integer < x and Ix I is the absolute value of

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x, then

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1 (A) /(x) is a discontinuous function with points of discontinuity nt
· only one point on the 1rea.l lihe

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(B) /(x) is a. discontinpous function with points of discontinuity a.t
more than one point on the real line

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( C) f(x) is a . continuous function but· not differentiable at only one
point on the real line
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(D) none of these.

17. If a primp.I linear programming problem has feasible solutions, but no

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1 optimal solution then it.a dual problem

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• (A) may have a.n optimal solution

(B) has no feasible solution
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-
" . ·(C) has feasible solutions, but no optimal solution ·
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(D) .· oe.nnot be fonnula.ted.

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1s: •: Cop.eider the following linear programming problem I

!-
ma..ximizo
;a

subject to x1 +2x2 < 16, :1:i+x1 < 12,

The optimal value of this problem is
n
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(A) 32 ,(B) 36 (C) 40 (D) none of these.

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(A) 2/ye (B)-2/,y'e (C) 2 ,y'e {D) -2v'e.

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[ ts ]

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1111'""
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• ··- •• • · • - - - -- - · · . - , . . _ A,

CD

20. The aeries :E

✓i converges ab~olutely

5
77
l.,~) jb I - '1) k. dI ==- o.
(B)
(C)
converges conditionally and the value is log,2
does not converge

30
~"" ""- ch
I~) J;c O . \ (D) oonvenges conditionally and the value is log102.

~ \ ) 21. The solution of the following differential equation

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(l+x)y dx+(I-y) x dy = 0

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lxl +log
.log IYl-x+y = constant

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.(B) log Ix I -log I y I -x+y = constant
• (C) log lxl +log IYI +x-y = constant

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(D) log Ix I -log I y I +x-y = constant.
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Syllabus and Sample Questions for MEII (Economics) 1998-99
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I
Syllabus : ·MEII
ed

MicroewncmicB : Consumer theory, Producer theory, Market forms,

Welfare economics ; Macroeconomics : National income o.ccounting, simple
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model of income determination and multiplier ; Bn.nking, money supply and

inflation. Applicants are expected to have familiarity of these topics at the
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• I
level of Sa.mue~on and Nor<lhous (Economics), . and Lipsey (Positive
Economics).
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Sample Quution for Ji:fEII (Eco1t0mic8)

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I. Prove or disprove the following :

y{i0 If over a. given range the price-offer curve of a. good parallels the
n

axis that represents its quantities, then the demand cun·e for the
e.i

good is a straight line in the corresponding range. F

\.J}>Y.Tn n. production procc.c;s, the marginnl product. must dccrensc

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the level of empolyment rises whenever marginal product is greater
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than· average product.

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[ '6 ] C'v-
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~ ;r
I / /',(-

k - - -- - ) <\.-
 :. . !

- ·-·------·-···-·
.... ---------·-
-·-·····-·-----·

2. An individual con,sumes only two commodities, apples and bananO<J,

5
the quantities of each being denoted by a and b respectively. Suppose
he has a. utility function.

77
30
~ Suppose the ~price of apples l!,nd bananas are P.s. 2 and Re. 1 res-
. pectivcly and that tho inclividu.d has an income of Rs. 20. At

36
what commodity bundle is his marginal rate of substitution equal
to the price ratio ? Call this bundle X . Now consider the

88
commodity ·bundles where tlie individual spends all his income
buying ~mly apples and only bananas. Call these bundles Y

;9
and Z respectively. Compare lV(X) with lV{Y) and W{Z).

: ~ What jg tho consumer's optimal commodity. bundle (at these prices

I !
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and income levels) t

~ o indi~duals ·A and B h.a ve between them I kg. of rice and 1 kg. of I

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da.1. They have id_e ntical preferen~.,s defined by the utility function
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U(x, y) = min {x, y} where x and y a.re the amounts of rice and da.1 I. :I
respectiiely consumed by tho individual. . i. . . I
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~ m w the iniliff.,.;,.,. m•P .o f eith"' indJvid~al- ~ ; . , _

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yY'1 Do you .find ,the, follo~_g ~ooa.tions efficient. t

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{i) A geta 0.3kg oxrioo and 0.4Kg. of· wheat;· B : geta'·'the

remainder.No - '
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(ii) A geta 0.6 Kg of both •rioo and wheat; ~ .g~ta , the remainq.er. "Je_~·.· ·
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~ If you .find any one or both of the allocations r to I be inefficient,

. . ,. ·:,, ~~gg-~~ ~n ~~uiT~ .~~v~~~nt. A~~v,, f) \ l.~ w ~ \. 'rl.l(.Q,nll,. () ~ ~~ 1--.,: ._")_·
0 ~-t~.,_ '\
;a

consumer- with a. utility- function v :_ xy has· the budget constraint ~ · ""=i - > ~ :
.•,fz,+3y-:- 36..;However; the consumer• is not -~llowed-to consume more j ·
n

than 10 units of x, although ho jg free to · choose any amount of y. ,.

~ :c.b; .,__:.C\ p
e.i

,,,;,etermino his i:itility maximising {x,y). "'-L ;/

\,)>' An industry demancl equation is gi\·eu by P = a-Q and the marginal
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cost curve is represented by the equation MG = Q where P is price,~

Q is quantity and MG jg marginal cost. If the ,industry is ~ed by a '.!- +-'ri-:i~
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monopolist as compared to perfectly competitive firms with the same i

marginal ~ fti..notion.s, ~lculil.te .the d~weight l~.
ed

0
C f I
 I
I ,.,,, ... ~ ...._- · ...-:.:'~ ..····.:::.::-=:..._-=:..- -.-~_;_~;,.:..--==-=----:.:. : -==-=---.=--:.• -·-~ -_- . . ,:_~. -,--_..,.... _ _ ___ .,_ . . .. - . . - -- -·-- -- - - - - - -
, ,r !
!~

•j •~ -·- -~
A -
r . ' .
.. - • .- ~
--.l ~ ~ s ~ ~ • 1 t • t '''•" ' ' i - • j r i ~ • . t i l f i ~ - . ~ ~ ~ ~ ~ ~-t;,,:-.:',·,~~fiJ?~:h:-;......-:,,.,.~
.....- _ . . - . .. J • . . , fl 4.. .
--~-- ·1 ··• · ·-- l --, - -1

'
.. ...,._c\'.
('
- - \i
~ c.... ---:... '\ --
- (-\ -1 _
I ,, , (. ~-_, ;. • ~'- . Consider
simple Keynesia.n model. with a.n investment function
&

~ ~>-~ :) \ ' 1 0 = J 0 +by a.nd a. sa.vings function 8 = 8!/, where 1 >a> b > 0. By ,
,_v \ --~~
· how much does total sa.ving change if thero is a small change in marginal

5
"'\
propensity to save 1 bul\.t · · ~~ · - !i · ' '.,-,
' ' ---\J..•

77
J. : (t -\_ )U
,\-
.. )
7.) A good~ produced~- only one varia.bla inpu; a.~rdini to the
•• ✓ production function q :__ yx. There a.re 100 perfectly competitive firms

30
// in the m_a.rket: Derive the supply cur.e of the industry and discuss the
,· na.t~ of its slope i-? ea.ch o~ the following cases :

36
(a) The industry faces a. horizontal supply curve of the input at price

88
Ra. 10.00.

(b) The industry fa.ces a. vertical supply curve of the input at the

;9
qua.ntity. of 100 ~t.s. ., . .

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~- Ins~ction .for <luestion numbers 8 (a.)-8 (h). For each of the following
I
f I
qu~ti~~ _four 'a.lterno.tive answers
~
_ ..
• • t• •• • •
provided. ' Choose -the answer
•
are
. ··. that you consider to be the most appropriate for a question and write
' · . it in. yo~ down. book. . . e . a.mwe; .
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·: . . ' ·~
I (
. !, ,. (a) In & simple Keyn~ model of the macro. ooonomy where mps is
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• j • I , • •
ma.rgina.1 · propensity to save. If private investment depends
positively on 'aggregat.Q•~oome, -multipli~ .ia .- the
ed

m: ~ Jess.than1/mpe_., -~•~ i ·,,l'; . ,-,: , ;., ;:;::.: :,

/ ~ '. ..-..~
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.PJ) grea.ter' than 1/mpe ,,

·'-,C) '· equrto;i/~ps · .: · ,:-. ; ; • • ~ •~ ; • •
. t ,c • ••_> ~~ ,, ,,. :
"' I • •
·
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:·',
. :, (l)) · equal to '. I/(1..:.:mpe):' • :~' : · · · • ·' ~l!u ~uc O · ~ ·.
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. t;f • :;.·)(f'T i ,·· ·. 1 t .

. •,::J(f , .. ,
(b) A farmer produooo 100 unit.a c.i rice. k~ps a pa.rt of his outp~t . He
.,.for ~-ooilBUIDption a.nd ,sells the rest in the ma.rket to buy veg&-
;a

ta.blee. , li the price of.-rioe ·goes up, with .the price of vegeta.bloo
remainiog uncha.ngbd, his budget line ··
n

.. ./.)'
'\{A) shift.s out with the same intercept on the rice-a.xis.
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(B) shifts out with the same intercept ou the vegetable-axis.

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( C) doee not oha.nge

the rioo-u:ia.
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{D) shift.a in with the sa.m~ intercept '·o~· . ;

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' •
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I t ) !J, .. • i ' ; :,•; .• , i •. • I f ,· '
ed

,·
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:(c) A. monopolist with cost function C = l.I+2Q faces a market demand

function P = 4-Q. Then in equilibrium its output is

5
77
(A) o
(B) l

30
(C) 2

36
-(D) 3
I
(d) Consider the simple Keynesi_an macroeconomy: The co11Bu~ption

88
function is C = 20+0.9 Y . Also, I= G = 20. The equilibri?m
GDP is

;9
(A) 400 (B) 600 (C) 360 (D) 540

ft
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Suppose there are 100 barber.i in the city of Baleebwa.r ea.ch· capable
of 100 haircut.a a day. The demand for haircut.a is given by

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2000-lOOp wher_e :p is the price of haircuts. As a result equili-
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brium market price is Rs. 10 per haircut. Now suppose domand
function shifts to 3000-IOOp as a result of a change in fashions
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f!'-v~uring a bold look. Other things remaining the same, what

I
will happen to the equilibrium prioe of a haircut in the long run
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;when there is free entry and exit of barbershops !

(A) The price of a haircut doubles to Rs. 20.

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(B) The price of a hakcut iacreases but may or may not double
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( C) The price of a h&ircu__t does not change

(D) The price of a haircut decreases to Rs. 5.
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(i) A perfectly competitive firm in the short-run uses one variable

factor, A, a.nd one fixed factor, B, to produce output X. The
;a

firm is in shortrun equilibrium. Which one of the following is

true 1
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(A) marginal cost of X = price of X

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. Price of A
IR)
''Y""
Pnce of .Y = ----. ·
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mnrgmnl product of A

> Average variable cost of X

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(C) Price of X
(D) ~ of the above.
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[ g ]
 ........-,..... . . ' ........·.. .

. ___ . ""''· .. _ . t' 'tp -- = ·""'-"""'-: .. , .._._, ;, - -,'.~ ~..-::i,:,,s;:.t·,w1k,-:o~"":>.-,,;,f,:; .:····~:.!::.:::_::_· , . · ., . ...~~ :4-~~
·::~·.'..,~~ !(gy-· rn 1'1i lesa than full' en:iploynient ·eoonomy there ·'an! ·two ·claaees of
inoome ee.mers-riah and poor., The rich -h.a.vo a higher ·saving
propensity than the poor and investment is autonomously given.
Then ~ redistribution of income from the rich to the poor

5
(A) reduces aggregate saving ;

77
(B) reduces aggregate saving and increaae3 aggregate income ;
( C) increases aggregate saving and increases aggregate incon::a ;

30
.(D) none of the above;

·(h) The Reserve Bank of In4ia has recently reduced the cash rcservo

36
ratio of commercial ha~. Normally this should

88
(A) decrease tho supply 'of money
I
(~( i n ~ the supply of money
t

;9
(C) ha~o no effect on the supply of money
(D) reduoo the profit of commercial banks:
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