15.

16.

17.

18.

In Sylos’s model the determinants of the entry-preventing Price are:

(0
(ii)
ആ
(iv)

The prices of factors of production, which, together with the technology, determine the
total average cost of the firms.

The role of government, subsidies and indirect taxes

The elasticity of market demand

The absolute size of the market

(A) Only (i), (ii) and (iii) (B) Only (i), (iii) and (iv)

(C) Only (i), (iii) and (iv) (D) All the above (i), (ii), (iii) and (iv)

In Baumol’s theory of Sales Revenue Maximization (a single product model without
advertising), the imposition of a lump-sum tax will:

(A) Shift the total profit curve downwards and given the profit constraint, the firm
will be led to cut its output and increase price

(B) Shift the total profit curve upwards and, given the profit constraint, the firm will
be led to cut its output and increase price

(C) Leave the total profit curve unchanged if other things remain unchanged

(D) Shill the total profit curve upwards and, given the profit constraint, the fill will be
led not to change its output and price

Which of the following is/are true in the case of Marris’s Model of the Managerial Enterprise?

(0
(ii)
ആ

(೪)

1൨൭.

Firm grows only by diversification. Growth by merger or take-over is excluded from this
model.

The rate of growth of capital is determined by the average rate of profit and the
diversification rate.

The rate of growth demand for the products of the firm depends on the diversification
rate and the percentage of successful new products.

The managers aim the maximization of their own utility.
(A) Only (i), (ii) and (iv) (B) Only (ii), (iii) and (iv)
(C) Only 0, 61), Gv) (D) All the above (i), (ii), (iii) and (iv)

Williamson’s Model of Managerial Discretion, the managerial indifference curve shows:

(4) Various combinations of staff expenditure and discretionary profit which give the
same satisfaction to the managers

(B) Various combinations revenue and output that yield same level of satisfaction to
the managers

(C) Various combinations of staff expenditure and output that yield same level of
managerial satisfaction

(D) Various combinations of capital expenditure and revenue that which given the
same level of profit.

7 08 7/2023
[P.T.0.]