Match List-I with List-II:
| List-I | List-II | ||
|---|---|---|---|
| (A) | Production | (I) | Production is instantaneous |
| (B) | Assumption about time in the simple model of production | (II) | The inputs that a firm uses in the production process |
| (C) | Factors of production | (III) | The process by which inputs are transformed into output |
| (D) | The terms production and supply | (IV) | Used synonymously and often interchangeably |
Choose the correct answer from the options given below:
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → (A)-(III), (B)-(I), (C)-(II), (D)-(IV)
The chapter opens by saying what production is and the simple assumptions made about it.
| List-I | List-II | Reason |
|---|---|---|
| (A) Production | (III) The process by which inputs are transformed into output | Production turns inputs into output. |
| (B) Assumption about time in the simple model of production | (I) Production is instantaneous | In the simple model, no time passes between using the inputs and getting the output. |
| (C) Factors of production | (II) The inputs that a firm uses in the production process | The inputs a firm uses are its factors of production. |
| (D) The terms production and supply | (IV) Used synonymously and often interchangeably | The two words are used to mean the same thing. |
NCERT (2026-27): “A Firm Effort … Production is the process by which inputs are transformed into ‘output’. Production is carried out by producers or firms. …” “… We make certain simplifying assumptions to start with. Production is instantaneous: in our very simple model of production no time elapses between the combination of the inputs and the production of the output. We also tend to use the terms production and supply synonymously and often interchangeably. …” “3.1 Production Function … The inputs that a firm uses in the production process are called factors of production. In order to produce output, a firm may require any number of different inputs. However, for the time being, here we consider a firm that produces output using only two factors of production – labour and capital. …” |