Example 12. A consumer wants to consume two goods Good A and Good B. Good A is priced
at 12 per unit and Good B at 4 per unit. The income of the consumer is fixed at 20. On the
basis of this information, answer the following questions:
(i) Write down the bundles that are available to the consumer,
Or
Mention all the bundles which come under the Budget Set',
(ii) Find out the bundles which cost exactly 1 20.
Mention the bundles which can be represented on the 'Budget Line'.
Answers
The method of transferring seedlings from nursery to field is known as
(a) broadcasting
(b) transplantation
(c) crop rotation
(d) harvesting
Solution:
(b)
Question 7.
Leaving the agricultural land uncultivated for one or more seasons is known as
(a) field fallow
(b) crop rotation
(c) manuring
(d) threshing
Solution:
(a)
Question 8.
Chemical substances rich in specific nutrients are called
(a) manures
(b) fertilisers
(c) pesticides
(d) weedicides
Solution:
(b)
Question 9.
Chemicals which kill weeds are known as
(a) fertilizers
(b) pesticides
(c) weedicides
(d) none of these
Solution:
(c)
Question 10.
Cutting and gathering of crops after maturation is known as
(a) harvesting
(b) threshing
(c) broadcasting
(d) tilling
Solution:
(a)
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