Economics · Class 11 Commerce
Ch 5Theory of Value — Class 11 Economics, concept-first.
In everyday language a market is a place where goods are bought and sold, but in economics a market has a wider meaning — it is any arrangement that brings buyers and sellers of a commodity into contact, whether or not they meet physically.
Key concepts
Hover a concept to preview it and jump to its most relevant Q&A.
Market Forms and Classification
A market form is defined by how many sellers operate, whether their product is identical or differentiated, and how freely new firms can enter.
Most relevant Q&A
- What is meant by 'market' in economics? How does this meaning differ from the everyday use of the word?Free
- Distinguish between perfect competition and monopoly on the basis of the number of sellers, nature of the product, and control over price.Free
- Which of the following market forms is characterised by a very large number of sellers, a homogeneous product, and free entry and exit? (a)…Preview
- Write a short note on: MarketPreview
- Write a short note on: National MarketPreview
In previous exams
How often this chapter’s concepts have been examined — real appearance data, never estimated.
Chapter contents
The NCERT structure, section by section. Open a section to see its questions, then read the concept-first solution.
Market Forms: Meaning and Classification
In everyday language a market is a place where goods are bought and sold, but in economics a market has a wider meaning — it is any arrangement that brings buyers and sellers of a commodity into conta…
Perfect Competition: Features and Price Determination
Perfect competition is a theoretical market form used as a benchmark against which every other market form is compared.
Monopoly: Meaning, Features and Equilibrium
Monopoly is the market form at the opposite end of the spectrum from perfect competition: a single seller controls the entire supply of a commodity that has no close substitute, so the firm and the in…
Price Discrimination under Monopoly
Price discrimination occurs when a monopolist sells the same product to different buyers, or in different markets, at different prices, where the price difference is not explained by a difference in t…
Monopolistic Competition
Monopolistic competition, first analysed systematically by Edward Chamberlin, describes a market that mixes features of both perfect competition and monopoly.
Oligopoly and Duopoly
Oligopoly is a market form with only a few sellers, each large enough that its price or output decision visibly affects its rivals — the defining feature is mutual interdependence.
Exercises
+−Show 10 questionsHide questions10 questions
- Q1What is meant by 'market' in economics? How does this meaning differ from the everyday use of the word?Free
- Q2Distinguish between perfect competition and monopoly on the basis of the number of sellers, nature of the product, and control over price.Free
- Q4Explain the short-run equilibrium of a firm under perfect competition. Can such a firm earn super-normal profit in the short run?Free
- Q5Why does a firm under perfect competition earn only normal profit in the long run?Preview
- Q6Explain the essential features of monopoly. What are the main barriers that allow a monopoly to persist?Preview
- Q8How do the average revenue (AR) and marginal revenue (MR) curves of a monopolist differ from those of a firm under perfect competition?Preview
- Q9What is price discrimination? State the conditions necessary for a monopolist to practice it successfully.Preview
- Q11Explain the main features of monopolistic competition. Why does a firm under monopolistic competition end up with 'excess capacity' in the l…Preview
- Q12Explain the kinked demand curve theory of oligopoly. How does it help explain price rigidity?Preview
- Q13Which of the following market forms is characterised by a very large number of sellers, a homogeneous product, and free entry and exit? (a)…Preview
Sample & Board Papers
Sample papers and previous-year board questions for this subject.
+−Show 14 questionsHide questions14 questions
- Q1Explain the price determination under perfect competition market.Preview
- Q2Write a short note on: MarketPreview
- Q3Write a short note on: Price discriminationPreview
- Q4What is monopoly ? Explain how price is determined under monopoly.Preview
- Q5Write a short note on: Equilibrium PricePreview
- Q6Write a short note on: National MarketPreview
- Q7Explain the classification of Markets.Preview
- Q8Compare perfect competition and monopoly.Preview
- Q9Write a short note on: National marketPreview
- Q10Write a short note on: Price discriminationPreview
- Q11Explain the classification of markets.Preview
- Q12What is meant by price discrimination? Explain the various methods of price discrimination.Preview
- Q13Write a short note on: Equilibrium PricePreview
- Q14Write a short note on: Selling CostsPreview
More questions
+−Show 3 questionsHide questions3 questions
- Example 3A firm operating under perfect competition sells its output at the ruling market price of ₹40 per unit. At its current output, the firm's ma…Free
- Example 7A monopolist faces the demand function $P = 100 - Q$ and has a total cost function $TC = 20Q$. Find the profit-maximising price and output.Preview
- Example 10A monopolist sells in two separate markets with demand functions $P_1 = 20 - Q_1$ in Market I and $P_2 = 15 - 0.5Q_2$ in Market II, and a co…Preview