Identify the fiscal measures from the following that will help correct excess demand

A. Decrease in Repo rate.

B. Increase in taxes.

C. Decrease in government expenditure.

D. Increase in Repo rate

E. Decrease in taxes

Choose the correct answer from the options given below:

Level of employment is determined by which of the following?

'Paradox of Thrift' refers to-

Arrange the sequence of events relating to establishment of equilibrium in the economy.

(A) This will cause unintended decumulation of inventories

(B) This process continues till ex-ante aggregate demand becomes equal to ex-ante aggregate supply

(C) The producers will respond by increasing output

(D) If ex-ante demand for final goods by firms and households is greater than the output the producers plan to produce in a given year

(E) When output increases, both employment and income rise

Choose the correct answer from the options given below :

Put the alternatives given below in the sequence in which they occur to reach the equilibrium level of out put given that aggregate demand falls short of aggregate supply.

(A) In this case, the firm has to run down existing inventories, which will lead to a fall in production and hence income.

(B) Stocks will be piling up in the warehouses, causing unintended accumulation of inventories.

(C) Ex- ante demand for final goods falls short of the output of final goods that the producers have planned to produce in a given year.

(D) process continues till Ex- ante demand for final goods equals to ex -ante output of final goods

Choose the correct answer from the options given below:

If the supply of final goods is assumed to be infinitely elastic at a constant price over a short period of time, aggregate output is determined solely by the value of aggregate demand. This is called.

The size of investment multiplier (k) depends on:-