CUET Economics - The Paradox of Thrift means : | PYQs + Solutions

CUET Economics

Macro

Easy

If all the people in economy increase the savings of their income, total value of savings doesn't increase, it will either decline or remain unchanged

MPS will decrease

Aggregate demand will increase

Aggregate supply will increase

✅ Correct Option: 1

Related questions:

21 May Shift 1

In an economy, the consumption curve and saving curve are parallel to each other. What will be the value of investment multiplier in this economy?

30 May Shift 2

When the aggregate output is determined solely by the level of aggregate demand. Then what it called?

3 June Shift 1

The impact of the above situation under the Keynesian theory of income and employment in an economy is?

CUET Economics PYQs

Keyboard Shortcuts