ICSE 2018 Economic Applications Question Paper for Class 10

About this paper

This is the ICSE Class 10 Economic Applications paper from the 2018 board examination, with a worked answer printed after every question. Part A (40 marks) has four compulsory questions of five two-mark parts each, including classifying inputs of a cotton textile mill as fixed or circulating capital, completing a firm's supply schedule from the market schedule, and defining terms such as proportional taxation and capital formation. Part B (60 marks) asks students to attempt any four 15-mark questions; this copy shows Questions 5–8, on capital and the determinants of supply, division of labour and degrees of elasticity of supply, increase in demand and public sector enterprises, and credit control and monopoly. The answers include labelled demand and supply diagrams.

Exam

ICSE Class 10

Subject

Economic Applications

Year

2018

Maximum marks

100

Pages

7

Answers included

Yes

Paper pattern

• Part A

  40 marks

  Questions 1–4, each with five two-mark parts; all compulsory

• Part B

  60 marks

  15-mark questions (7 + 8) from Question 5 onwards; attempt any four

Topics covered

• Demand and shifts in the demand curve
• Supply and its determinants
• Elasticity of demand and supply
• Factors of production: labour, capital and entrepreneur
• Division of labour
• Perfect competition, monopolistic competition and monopoly
• Central bank and credit control
• Commercial bank deposits
• Inflation
• Taxation and income inequality
• Public sector enterprises
• Shifting cultivation and the ecosystem

Questions from this paper

1. List any two causes of the low efficiency of labour in India.
2. Classify the following capital used in the cotton textile industry as fixed or circulating capital: cotton yarns, dyes, power and weaving machines.
3. 'Capital is a passive factor of production.' Justify the statement.
4. Briefly explain any two impacts of shifting cultivation on the ecosystem.
5. Explain how the state of technology, the prices of factors of production, the goals of the firm and future price expectations affect the supply of a commodity.
6. Who controls the credit supply in an economy? Explain how the Cash Reserve Ratio and the Statutory Liquidity Ratio can control inflation.