Match List-I with List-II
List-I List-II (A) Inventory (I) Planned (B) Consumption (II) Actually happened (C) Ex-ante (III) Investment (D) Ex-post (IV) Household Income
Choose the correct answer from the options given below:
Match List-I with List-II
| List-I | List-II |
|---|---|
| (A) Inventory | (I) Planned |
| (B) Consumption | (II) Actually happened |
| (C) Ex-ante | (III) Investment |
| (D) Ex-post | (IV) Household Income |
Choose the correct answer from the options given below:
Solution
Option 4: (A) - (III), (B) - (IV), (C) - (I), (D) - (II) -> In macroeconomics: (A) Inventory represents stock of unsold goods and is a component of (III) Investment (inventory investment). (B) Consumption is household expenditure which is a function of (IV) Household Income. (C) Ex-ante is a Latin term meaning 'before the event', referring to (I) Planned or intended values. (D) Ex-post means 'after the event', referring to (II) Actually happened or realized values. These ex-ante and ex-post concepts are fundamental in Keynesian economics for understanding planned vs actual economic variables. -> correct
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