CUET Economics - The impact of the above situation under the Keynesian theory of income and employment in an economy is? | PYQs + Solutions

CUET Economics 2025 3 June Shift 1

Macro

Medium

Decrease in income, output and employment.

Decrease in nominal income, but no change in real output.

Increase in income, output and employment.

No change in output or employment but increase in general price level.

✅ Correct Option: 1

Related questions:

29 May Shift 1

What are the equilibrium conditions in the Keynesian model of income determination?

(A) Aggregate demand = Aggregate supply.

(B) Savings= Investment.

(D) Planned Expenditure= Planned Output.

Choose the correct answer from the options given below:

22 May Shift 1

In the short run, to determine the level of aggregate demand for final goods in the economy, what will be the affect on price and rate of interest?

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__________ refers to that level of aggregate demand, which can be met by the corresponding supply in the economy.

CUET Economics 2025 3 June Shift 1 PYQs