CUET Economics 2025 22 May Shift 1 PYQs

Arrange the following statement considering the effects on total income and output when the government purchases (G) increase keeping taxes constant.

(A). Planned aggregate expenditure will increase.

(B). When G exceeds T, the government runs a deficit.

(C). Equilibrium income will increase.

(D). Aggregate demand schedule shifts rightward.

Choose the correct answer from the options given below:

If all the people of the economy increase the proportion of income they save, the total value of savings in the economy will not increase - it will either decline or remain unchanged. This result is known as .......

In the consumption equation, the slope of the consumption function is represented as: