Question : Which of the following statement are true?

1. The deflationary gap can be corrected by raising the level of aggregate demand.
2. Equilibrium beyond full employment is better than equilibrium at full employment.

Question : Which of the following statement are true?

1. According to Keynes, there are two approaches for determining the equilibrium level of income and employment in the economy.
2. In the contest of determination of equilibrium, AD, AS, savings and investment and

Question : Which of the following statement are true?

1. As per Keynesian theory in an economy, full employment can never exist.
2. According to Keynesian theory of employment, the state of full employment is obtained only when the economy is in

Question : Which of the following statement are true?

1. Average propensity to save can never be negative.
2. Higher the level of national income, higher is the level of autonomous consumption.

Question : Which of the following statement are true?

1. APC can be more than one.
2. APC+APS =1 always.