in
14
20
12. Chhue is abs A Planned exper by drawing 45 degree
Actual ctual expenitie in relation to the
the stealer flow Flow of an
sumption DAggregate demand
(jection Conditions to the einendur A Cosmmption(
& Investment spending (1)
C. Government Speasting con
D Saving (3)
is the and thuenwes both investment
van variable Uut laks de
Interest rate
C. Marginal propensity D. Government specuding
15. Slope of 18 curve depends on Sensitivity of investment to change in t
1. Marginal propensity to consume C. Sensitivity of monry demand to
D. Sensitivity of money demand to change 16. One change is not true about the theory of ligg in interest rate change in mcome liquidity preference theory
A. It is the building block of the LM curve B. Demand for money is positively related to interest rate
LAB
F. All
C. Money supply is autonomou
D. Increase in money supply leads to decrease in interest.
17 and 02. The equility the following equations, C equilibrium income will be.
a-500
-s20+0.6Yd
A 2500
B. 2600
2100 D. 2000
18. Of the following one is not true regarding the goods market.
A. IS curve is drawn for a given fiscal policy
8. When investment is not sensitive to change in investment IS curve will steep
C. The larger the MPC the flatter the IS curve.
The right of IS curve shows excess supply on goods market.
E None
-Which of the following national income identity is not correctly stated at equilibrium
position?
A. S=L\sim
B. Y^{d}-C+(T-G)=1
One is not the principal theme of Classical theory
Wage and price are flexible The economy producing at full employment level
C+I+G=Y=T+C+S
DG G=S
The long run aggregate supply curve is vertically sloped It is the quantity adjustment paradigm
Good Luck!
c+s+CL=s+5