Tuesday, 16 July 2013

Industrial and Labor Economics - 1

1> when social security measures in term of insurance, compensation benefit are provided for worker then it improve worker _________
morale and productivity
belongingness
efficiency
motivation


2> Factors like size and composition of population, wages, mobility, condition of work determines _______


demand
supply of labor
environment
behavior


3>Wages are of utmost important to the worker because his life and his standard of living depend on it.
a> True B> False


4> Wages can be paid in cash or kind.
a> True b> false


5> Following are the industries focused on the second five year plan period


· Heavy chemical including nitrogenous fertilizers, heavy engineering machines building industry.
· Aluminum, cement, pulp, dyestuff.
· Rehabitation of agriculture workers.


6> _______ do not give them the skill and knowledge that job demand, then they remain unemployable and this results unemployment.
· Education and training.
· Opportunity
· Mobility
· Promotion.


7> The longer the time period for adjustment _______ it is to substitute labor for machines.


· easier
· longer
· difficult
· Impossible.




8> Illegal strikes lead to termination of services.


a> True b> False


9> What are the considered determinations of industrial location?


· Govt policies
· Tax treatment
· Financial incentives
· Sources of raw material


10> Weber identifies 2 types of products


· wt gaining
· wt losing
· wt of localized material
· wt of finalized product


11> line of total transfer costs is______


· isodapane
· isotim
· material index
· isotropic


12> When leisure has high opportunity cost, work is substituted for leisure, called as_____


hawthrorne effect
a> substitution effect
b> cause and defect effect
c> leisure effect


13> Modern theory of wages envisage that demand and supply determines ___


wages
leaves
production
salary




14> _________ established by Central Govt as a quasi judicial body under section 3 of sick industrial comp act 1985
Ans: BIFR


15> Rangarajan committee 1993 suggested 4 modes of investment with trade sale-
Ans: sale of assets, strategic sale, offer of share.


16> If cost of education is too high then skilled labor easily available.
Ans: False.




17> As labor can not be treated as commodity, there are many___ factors influencing market.


Ans: Social-psychological.


18> Wages are defined differently under separate labor_______


Ans: legislation.


19> The reduction in the rate of interest to encourage more borrowing can not be the remedy always becoz the interest rate can not be reduce beyond a certain point.
Ans: true.


20> ______ Measures are meant for those financially weak sections of the labor who can not afford social insurance.
Ans: social assistance.

21> objective of industrial policy resolution 1956-


ans: a) to expand public sectors;
b) to develop heavy and machine industries;
c) to curtail the concentration of economic power in few hands.


22> Capital market is divided as


Ans: Primary market and secondary market.


23> short term financing also called as
and: working capital finance.


24> J.B. Say propounded theory known as


Ans: say’s law of market.
25> Industrial disputes affect growth of industry.


Ans: true.


26> When labor expenses are high proportional to total cost, labor demand can be more elastic than an industry & is known as______


Ans: Capital intensive.


27> Match the following


Ans:
a) Wage rate: there is direct relationship between wage rate and supply of labor.
b) Education related skill: work of laborer may be manual or skilled.
c) Cost of education: if training & education are very expensive, supply of unskilled labor will be more.
d) Marginal productivity of labor: firm’s desire to maximize profit.


28> match the foll ans:


a) GDP: gross domestic product
b) Aggregate demand: total demand from all household.
c) Real wages: purchasing power of labor.
d) Nominal wages: wages in monetary form.


29>
a) Perfectly Inelastic: when there is no change in demand for labor no matter whatever is the change in wage rate.
b) Relatively inelastic: when large % change in wage rate will bring about lesser % change in demand of labor.
c) Relatively elastic: when small % change in wage brings about relatively large % change in demand for labor.
d) Unitary elastic: % change in wage rate will bring about same % change in demand for labor.


30>
a) Halsay premium plan: for every work that is done, there is std operating procedure where the time set for a specific job is specified.
b) Rowan premium plan: minimum wages on the basis of time is offered.
c) Incentive Bonus: nothing but what ever extra a worker receives in the form earnings above regular earnings.
d) Task wage system: workers are paid task wages which are fixed per task.

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