CUET Economics - At the present level of employment in a hypothetical economy, the aggregate demand is falling short of aggregate supply. What will be the likely change in the level of national income of this economy? | PYQs + Solutions

CUET Economics 2025 21 May Shift 1

Macro

Medium

National income is likely to rise.

National income is likely to fall.

The economy is already at equilibrium so there will be no change in national income.

The income initially rises and then falls.

✅ Correct Option: 2

Related questions:

29 May Shift 2

When aggregate output is determined solely by the level of aggregate demand, the relation between aggregate supply and price is?

28 May Shift 1

Arrange the following steps of determination of equilibrium income in chronological order if

C = 40 + 0.8Y, I = 10.

(A) Y = C + I

(B) 0.2Y = 50

(D) Y = 250

Choose the correct answer from the options given below:

14 May Shift 1

Match List-I with List-II

List–I	List–II
(A) Marginal propensity to consume	(I) ΔS/ΔY
(B) Marginal propensity to save	(II) ΔC/ΔY
(C) Average propensity to consume	(III) S / Y
(D) Average propensity to save	(IV) C / Y

Choose the correct answer from the options given below:

CUET Economics 2025 21 May Shift 1 PYQs