1.

Measurethe level of ex-ante aggregate demand when autonomous investment andconsumption expenditure (A) is Rs 50 crores, and MPS is 0.2 and levelof income (Y) is Rs 4000 crores. State whether the economy is inequilibrium or not (cite reasons).

Answer»

Measure
the level of ex-ante aggregate demand when autonomous investment and
consumption expenditure (A) is Rs 50 crores, and MPS is 0.2 and level
of income (Y) is Rs 4000 crores. State whether the economy is in
equilibrium or not (cite reasons).


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