CUET Economics - The ratio of increase in income to increase in investment is termed as | PYQs + Solutions

CUET Economics 2025 26 May Shift 2

Macro

Medium

Marginal propensity to save.

Marginal propensity to consume.

Marginal propensity to invest.

Investment Multiplier.

✅ Correct Option: 4

Related questions:

2 June Shift 1

Match List-I with List-II

List-I	List-II
(A) Marginal Propensity to Consume	(I) C/Y
(B) Marginal Propensity to Save	(II) ΔC/ ΔY
(C) Average Propensity to Save	(III) S/Y
(D) Average Propensity to Consume	(IV) ΔS/ ΔY

Choose the correct answer from the options given below:

16 May Shift 1

Put the alternatives given below in the sequence in which they occur to reach the equilibrium level of out put given that aggregate demand falls short of aggregate supply.

(A) In this case, the firm has to run down existing inventories, which will lead to a fall in production and hence income.

(B) Stocks will be piling up in the warehouses, causing unintended accumulation of inventories.

(C) Ex- ante demand for final goods falls short of the output of final goods that the producers have planned to produce in a given year.

(D) process continues till Ex- ante demand for final goods equals to ex -ante output of final goods

Choose the correct answer from the options given below:

26 May Shift 2

The saving function of a two sector economy is given as S=(-)100+0.2Y. The equilibrium level of income of this economy is 1000, then calculate the value of consumption at equilibrium?

CUET Economics 2025 26 May Shift 2 PYQs

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