CSS Economics Past Paper 2023

Instructions specific to this paper

• Attempt ONLY FOUR questions from PART-II. ALL questions carry EQUAL marks.
• Attempt ONLY FOUR questions from PART-II. ALL questions carry EQUAL marks.

Questions

1. Q. 220 marks

   Is the slope of an indifference curve at a particular point known as the marginal rate of substitution (MRS)? Justify your answer with a graph. If good 1 is a ‘neutral’, what is its MRS for good 2?

2. Q. 320 marks

   Define opportunity costs and explain why the economic definition of profit requires that we value all inputs and the outputs at their opportunity cost?

3. Q. 420 marks

   Briefly describe the functions of International Monetry Fund (IMF). How does the IMF help countries trapped in financial issues?

4. Q. 520 marks

   The central bank in a country is responsible for its monetary policy. What are the objectives and tools of monetary policy? Use diagrams to explain your answer.

5. Q. 620 marks

   What is the theory of liquidity preferences? How does it explain the downward slope of the aggregate-demand curve? Use the theory of liquidity preference to explain how a decrease in the money supply affects the aggregate-demand curve in a closed economy.

6. Q. 720 marks

   Considering the current economic scenario of our economy, recommend an effective policy framework that can reduce budget deficit and improve the developmental outlook.

7. Q. 820 marks

   Write short notes on any FOUR of the following: (5 each) a. Public Goods b. Draw self-explanatory functions of: MPC, Aggregate demand, Multiplier c. Cost minimization by a small firm. d. Two methods of national income accounting. e. Fuel poverty f. Welfare economics

Standard FPSC instructions

Printed on this and every CSS paper.

• Part-II is to be attempted on the separate Answer Book.
• All the parts (if any) of each question must be attempted at one place instead of at different places.
• Write Q. No. in the Answer Book in accordance with Q. No. in the question paper.
• No page/space be left blank between the answers. All the blank pages of the Answer Book must be crossed.
• Extra attempt of any question or any part of the attempted question will not be considered.