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प्रश्न
State whether the following statements are True or False with reason:
Income earned from foreign investment is considered for aggregate demand.
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उत्तर
False, income earned from foreign investment is not considered for aggregate demand.
Explanation:
Aggregate demand refers to the gross domestic product of a country. Thus, the income from foreign investment will not be considered for measuring aggregate demand.
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संबंधित प्रश्न
State the determinants of aggregate demand.
Given consumption curve, derive saving curve and state the steps taken in the process of derivation. Use Diagram.
What is meant by aggregate demand?
State components of aggregate demand.
Derive the two alternative conditions of expressing national income equilibrium. Show these equilibrium conditions on a single diagram.
What is meant by inflationary gap?
State three measures to reduce inflationary gap.
Explain the concept of deflationary gap.
Explain the role of Cash Reserve Ratio in removing an inflationary gap
explain the role of Bank Rate in correcting deficient demand?
What is a ‘consumption function’?
Explain the subjective factors which determine consumption function.
Explain the determinants of aggregate supply.
Discuss the situation when aggregate demand is more than aggregate supply at full employment income level.
What are the determinants of Aggregate demand?
Write explanatory answer:
What is Aggregate demand ? Explain the determinants of Aggregate demand.
State with reason whether you agree or disagree with the following statements. (any Three)
Aggregate demand depand only on the consumption expenture.
Explain the following concepts or give definitions.
Depreciation
Fill in the blank with appropriate alternatives given below
That part of income, which is not spent on consumption, is called __________.
Match the following Group:
| Group A | Group B | ||
| 1) | Aggregate Supply | a) | Expected receipts |
| 2) | Autonomous Investment | b) | Lord J. M. Keynes |
| 3) | Consumption | c) | Government Investment |
| 4) | A.P.C. | d) | ΔC/ΔY |
| 5) | Investment | e) | C/Y |
| f) | Addition to stock of capital | ||
| g) | Destruction of utility | ||
State whether the following statement is true or false.
The equality between aggregate demand and aggregate supply determines the equilibrium level of employment.
Write Short note on:
Average Propensity to Consume
Write Short note on:
Marginal Propensity to Consume
Answer the following question:
What are the determinants of Aggregate Supply (AS)?
State with reason whether you agree or disagree with the following statement.
Aggregate demand depends only on the consumption expenditure.
State with reason whether you agree or disagree with the following statement.
Aggregate supply is influenced by the state of technology only.
State with reason whether you agree or disagree with the following statement.
Positive net earnings from foreign transactions add to aggregate demand.
Answer in detail.
What is Aggregate Supply? Explain the determinants of Aggregate Supply.
Write explanatory answer.
What is 'aggregate supply'? Explain the determinants of aggregate supply.
Discuss the working of the adjustment mechanism in the following situations:
Aggregate demand is greater than the aggregate supply.
Answer the following question.
Describe the adjustments that may take place in an economy when ex-ante Aggregate Demand is greater than ex-ante Aggregate Supply.
Choose the correct from given options
When aggregate demand is greater than aggregate supply, inventories
The main component of aggregate demand is ______
On which concept does classical viewpoint depend?
Keynes theory is associated with ______
The difference between the Aggregate Demand at above full employment and Aggregate Demand at full employment is known as ______
Aggregate supply is equal to ______.
How is it determined by using Saving and Investment approach?
When the value of the currency falls as compared to other currencies, it is ______
A decrease in Cash Reserve Ratio will lead to ______
Which of the following statement is true?
The equilibrium level of income/output is established when ______
The slope of the supply curve is measured by ______.
Aggregate demand can be increased by:
Why is effective demand also known as expost demand?
With reference to Simple Keynesian model, give the meaning of ex-ante demand.
If aggregate demand exceeds aggregate supply in a situation of full employment, what will be its impact on the economy?
With the help of a diagram, determine the equilibrium level of output and income by using Aggregate demand and aggregate supply approach.
