According to ___________, if the marginal propensity to save in the economy increases, the total value of saving in the economy will not increase. Option 1: Demand Elasticity Option 2: Parametric Shift Option 3: Ex-ante Investment Option 4: Paradox of Thrift

The answer is 'Paradox of Thrift'. View full solution:

CUET Economics - According to ___________, if the marginal propensity to save in the economy increases, the total value of saving in the economy will not increase. | PYQs + Solutions

CUET Economics 2025 28 May Shift 1

Macro

Easy

Demand Elasticity

Parametric Shift

Ex-ante Investment

Paradox of Thrift

✅ Correct Option: 4

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Which one is not the component of a aggregate demand for final goods?

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Match List-I with List-II

List-I	List-II
(A) Marginal propensity to save	(I) Slope of consumption function
(B) Marginal propensity to consume	(II) Value is 1 at the break even point of the economy
(C) Investment Multiplier	(III) Reciprocal of marginal propensity to save
(D) Average propensity to consume	(IV) 1- c

Choose the correct answer from the options given below:

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The General Theory of Employment, Interest and Money was published in......... and by .............