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Ignou MBA Solved Assignments
IGNOU MBA Solved Assignments

MS-09 Solved Assignments Managerial Economics

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  • Version: Jan - June 2015

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Soft Copy: Yes

Q. "The opportunity cost of anything is the return that can be had from the next best alternative use." Explain this statement with reference to gun-versus-butter debate.
Answer. The opportunity cost of a choice is the value of the best alternative forgone, in a situation in which....... opportunity cost is the cost of a missed opportunity. It is the opposite of the benefit that would have been gained had an action.....

Q. Describe each of the variables of demand function separately with the help of examples.
Answer. The mathematical function explaining the quantity demanded in terms of its various determinants...... some examples of different preference relations and their respective demand functions......

Q. Break-even production of a firm is 4,000 units, its total fixed cost is Rs. 40,000 and the variable cost per unit is Rs. 20.
(a) Find out the price of the product.
(b) What should be the firmís output to earn profit contribution of Rs. 20,000?

Q. "Price discrimination refers to the situation where a monopoly firm charges different prices for exactly the same product. Explain giving an example.
Answer. Price discrimination or price differentiation is a pricing strategy where identical or largely similar goods or services..... This involves charging a different price to different groups of people for the same good. For example: student discounts......

Q. "The increase in competition has not only increased the market size for telecom, but has also resulted in substantial tariff declines." Elaborate this statement with the help of an example.
Answer. ......

Q. Write short notes on the following:
(a) The Invisible Hand
(b) Envelope Curve
(c) Economies of Scope
Answer. The long run average cost curve is derived from a series of short run average cost curves and so is often described as the envelope curve......... Reduction in long-run average and marginal costs, due to the production of similar or related goods or services where......

MS-09 Solved Assignment IGNOU MBA

This page is dedicated to IGNOU Master of Business Administration (MBA) MS-09 Managerial Economics Solved Assignment. You can download IGNOU MBA MS 9 Solved Assignments of Jan - June 2015 here.

Old Sample Answer

Q. Explain the concept of Economies of Scope.
Answer. Most businesses provide multiple goods and services; in some cases, the number of goods and services is quite large. Whereas the motivation for providing multiple products may be driven by consumer expectations, a common attraction is the opportunity to reduce per unit costs. When a venture can appreciate such cost savings, the opportunity is called an economy of scope........ A good example of scope economies arises in the banking industry. In the banking industry, scope economies may be as important as economies of scale in explaining M&A. The pursuit of these economies is one of the factors, although probably second behind economies of scale, that help explain the consolidation within the banking industry that occurred in the fifth merger wave of the 1990s........... As with economies of scale, the opportunities for economies of scope generally dissipate after exploiting the obvious combinations of goods and services. At some point, the complexity of trying to administer a firm with too many goods and services will offset any cost savings, particularly if the goods and services share little in terms of production resources or processes............

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