What will be the effect on stocks when aggregate demand decreases ? Option 1: Stocks in the economy will decrease Option 2: Stocks will be piled up in warehouses Option 3: Stocks will remain unchanged Option 4: Producers will increase the stocks

The answer is 'Stocks will be piled up in warehouses'. View full solution:

CUET Economics - What will be the effect on stocks when aggregate demand decreases ? | PYQs + Solutions

CUET Economics

Macro

Easy

Stocks in the economy will decrease

Stocks will be piled up in warehouses

Stocks will remain unchanged

Producers will increase the stocks

✅ Correct Option: 2

Related questions:

CUET Economics 2022 Slot 2

In an economy if equilibrium level of national is Rs. 2000 crores, Autonomous consumption = Rs. 400 crores and Investment expenditure = Rs. 200 crores, then MPC will be:

30 May Shift 1

In an Economy , total savings are rs. 2000 crores and the ratio of average propensity to save and average propensity to consume is 2: 7. Calculate the level of income in the economy?

30 May Shift 1

A perfectly elastic aggregate supply curve implies that:

(A) There is fuller utilization of resources in the economy.

(B) There is unemployment of resources in the economy.

(D) Aggregate demand is less in the economy.

Choose the correct answer from the options given below:

CUET Economics PYQs

Keyboard Shortcuts