Economics Papers 2017

[aminshah101]

FEDERAL PUBLIC SERVICE COMMISSION
COMPETITIVE EXAMINATION - 2017
FOR RECRUITMENT TO POST IN BS - 17
UNDER THE FEDERAL GOVERNMENT

ECONOMICS, PAPER - I

TIME ALLOWED: THREE HOURS
PART - I (MCQs): MAXIMUM 30 MINUTES
PART - I (MCQs): MAXIMUM MARKS = 20
PART - II MAXIMUM MARKS = 80

NOTE:
(i) Part - II is to be attempted on the separate Answer Book.
(ii) Attempt ONLY FOUR questions from PART - II. ALL questions carry EQUAL marks.
(iii) All the parts (if any) of each Question must be attempted at one place instead of at different places.
(iv) Candidate must write Q. No. in the Answer Book in Accordance with Q. No. in the Q. Paper.
(v) No Page / Space be left blank between the answers. All the blank pages of Answer Book must be crossed.
(vi) Extra attempt of any question or any part of the attempted question will not be considered.

PART - II

Q.2 How does the indifference Approach to analyzing consumer demand avoid having to measure utility? Explain.

Q.3 Explain the Lewis Model of Modern-Sector in a Two-Sector Surplus-Labour Economy with graphical analysis.

Q.4 What do you know about 'Demand-Side' Inflation and 'Supply-Side' Inflation? Explain with the help of graphs and briefly explicate the policies to tackle both sides Inflation.

Q.5 How does the IS-LM model allow equilibrium to be shown in both Goods and Money Markets simultaneously? Elucidate with graphs.

Q.6 What is the concept of Public debt? Explain the dimensions for tackling the debt problems of developing countries like Pakistan.

Q.7 Examine the causes of Balance of Payments problem under Fixed exchange Rate in short-run keeping in view the New Classical and Keynesian Analyses.

Q.8 Explicate the following briefly:
(a) Difference between Development and Human Development
(b) Difference between Income Inequality and Poverty
(c) Sources of Government Revenue
(d) Functions of Central Bank

[aminshah101]

FEDERAL PUBLIC SERVICE COMMISSION
COMPETITIVE EXAMINATION - 2017
FOR RECRUITMENT TO POST IN BS - 17
UNDER THE FEDERAL GOVERNMENT

ECONOMICS, PAPER - II

TIME ALLOWED: THREE HOURS
PART - I (MCQs): MAXIMUM 30 MINUTES
PART - I (MCQs): MAXIMUM MARKS = 20
PART - II MAXIMUM MARKS = 80

NOTE:
(i) Part - II is to be attempted on the separate Answer Book.
(ii) Attempt ONLY FOUR questions from PART - II. ALL questions carry EQUAL marks.
(iii) All the parts (if any) of each Question must be attempted at one place instead of at different places.
(iv) Candidate must write Q. No. in the Answer Book in Accordance with Q. No. in the Q. Paper.
(v) No Page / Space be left blank between the answers. All the blank pages of Answer Book must be crossed.
(vi) Extra attempt of any question or any part of the attempted question will not be considered.

PART - II

Q.2 Explain the characteristics of Less Developed Countries (LDCs) with particular reference to Pakistan.

Q.3 Critically evaluate the economic planning strategy of Pakistan. What policy measures would you suggest for sound economic planning? Discuss.

Q.4 Elaborate the difference between agricultural development and rural development. What are the limitations of agricultural and rural development policies of Pakistan? Discuss.

Q.5 Explain the major monetary and fiscal measure taken in Pakistan for industrial development for the last 20 years.

Q.6 Highlight and explain changes in direction of trade in recent years. Also explain trends in exports and imports of Pakistan

Q.7 Delineate the difference among privatization, deregulation and decentralization. Evaluate the experience of Pakistan in privatization.

Q.8 Write short notes on TWO of the following:
(a) Export-led Growth Strategy
(b) Growth vs. Distribution
(c) Energy Crisis in Pakistan

[Subhan Ahmad]

@aminshah, how did you tackle the first question? It could be done by using ordinal approach under the assumption of non-satiation. The answer does not seems to be lengthy. Kindly give me your outline

[Ahmad Abbas]

The award for difficult most paper goes to Economics.

[aminshah101]

Originally Posted by Subhan Ahmad

@aminshah, how did you tackle the first question? It could be done by using ordinal approach under the assumption of non-satiation. The answer does not seems to be lengthy. Kindly give me your outline

In my opinion, it had nothing to with non-satiation/less than full capacity.

I asked the FPSC guys about the "Gulabi English" of this question . They responded ke narrative main ghalti hai, please consider Ordinal Approach to measure Utility.

Thereon, I went on with Ordinal Approach and established connection between MP and DMRS. Rest, IC curve technique to same hi hai.

Originally Posted by Ahmad Abbas

The award for difficult most paper goes to Economics.

Geology, Town Planning, Stats and Maths still remain , and they carry a high chance of low scores

Picture abhi baaqi hai mere dost :p

[Subhan Ahmad]

@aminshah

kindly discuss this further with me. I will be appearing for CE-2018 Insha Allah. I think if we develop preference map (indifference map) that contains many ICs. We can show that by non-satiation assumption, the consumer will always prefer the IC that is away from the origin. So the budget line that is tangent to the IC will be the one the consumer prefers and can afford to meet that level of utility. The IC below the budget line will not be preferred due to non-satiation and the IC above the budget line is not affordable. Hence we get our consumer optimum.

With the above approach, we don't have to go to the cardinal approach that requires the marginal utility per unit currency of all bundles to be equal to achieve consumer optimum.

I am just curious to discuss this because I just finished preparing consumer theory chapter from two books. :P

Your evaluation of my understanding will be very helpful. Thank You

[aminshah101]

Originally Posted by Subhan Ahmad

@aminshah

kindly discuss this further with me. I will be appearing for CE-2018 Insha Allah. I think if we develop preference map (indifference map) that contains many ICs. We can show that by non-satiation assumption, the consumer will always prefer the IC that is away from the origin. So the budget line that is tangent to the IC will be the one the consumer prefers and can afford to meet that level of utility. The IC below the budget line will not be preferred due to non-satiation and the IC above the budget line is not affordable. Hence we get our consumer optimum.

With the above approach, we don't have to go to the cardinal approach that requires the marginal utility per unit currency of all bundles to be equal to achieve consumer optimum.

I am just curious to discuss this because I just finished preparing consumer theory chapter from two books. :P

Your evaluation of my understanding will be very helpful. Thank You

Sure dear. Let me get through my exams on 23rd and 25th then we'll discuss it in detail Insha Allah.

As of now, I need to start prep for Business Ad & Stats from today

[Shahid Imdad Tarar]

According to me, one just go through the assumptions regarding indifference curve and budget line then (assumption of satiation will also be there) then finding out the optimal bundle through the budget line which meet tangentially the higher indifference curve and after then one can elaborate the Marshallian, Hicksian and slutskey demand curve, which provide sufficient material to write down.

[ahts]

can anybody mention the MCQs portion of both the papers of Economic?

[ahts]

I think the paper 1 of Economics of this year is comparatively more easy than the last year paper I of that, however, except question 1 of the paper 2 of Economics of this year is quite difficult than the last year's paper.