Economics Paper I Past Paper 2020
Distribution, money and taxes shape the Economics Paper I past paper 2020. Q.2 examines the marginal productivity theory of income distribution. Q.3 defines the balance of payments and explains its major parts with one year’s BOP for Pakistan. Q.4 lists the functions of money and discusses the quantity theory. Q.5 argues the case for human capital investment in economic development. Q.6 faces Pakistan’s low tax-to-GDP ratio and asks for fixes. Q.7 returns to IS-LM and the neutral effect of monetary policy. Q.8 closes with short notes on two listed topics. This file holds the Part-II sheet only.
What this paper contains
- This file carries Part-II (the descriptive part) of the paper.
- Part-II — attempt any FOUR questions from Q.2–Q.8; each question carries 20 marks (Part-I holds the 20 MCQs, per the printed header)
Part-II questions
Q.2 — Critically examine the marginal productivity theory of income distribution. (20)
Q.3 — Define Balance of Payment (BOP) and identify and explain its major components with reference to any one year’s BOP of Pakistan. (20)
Q.4 — List the main functions of money. Define and discuss the quantity theory of money. (20)
Q.5 — Discuss importance of human capital investment for the economic development of Pakistan. (20)
Q.6 — Pakistan’s Tax to GDP ratio is among the lowest in the world and its share of indirect taxes in the total tax receipts is much higher. Describe and discuss reasons behind these phenomena and suggest measures to improve tax to GDP ratio in Pakistan. (20)
Q.7 — Use the IS-LM model to discuss the neutral effect of monetary expansion in the case of an open economy. Distinguish between Keynesian and classical views on neutrality of money. (20)
Q.8 — Write a short note on any TWO of the following:- (10 each) (20)
(a) Phillips Curve and NAIRU
(b) Laffer Curve
(c) Marshallian and Hicksian Demand
Economics Paper I Past Paper 2021 · All Economics Past Papers · Economics Paper I Past Paper 2019