CUET Economics - If the supply of final goods is assumed to be infinitely elastic at a constant price over a short period of time, aggregate output is determined solely by the value of aggregate demand. This is called. | PYQs + Solutions

CUET Economics 2026 6th June Shift 1

Macro

Medium

Aggregate demand principle

Effective demand principle

Law of demand

Effective supply principle

✅ Correct Option: 2

Related questions:

11th May Shift 2

For a hypothetical economy, C = 200+0.8Y (where c= consumption and Y= Income) and Autonomous Investment = 400 crore. Value of Investment multiplier (k) = _____.

31 May Shift 1

Match List-I with List-II

List-I	List-II
(A) An increase in proportional taxes	(I) Decreases consumption by MPC times the change in taxes.
(B) An increase in lump-sum taxes	(II) Automatic Stabilizer.
(C) Proportional income tax	(III) Aggregate demand curve shift inwards.
(D) Lump sum taxes	(IV) Do not depend upon income.

Choose the correct answer from the options given below:

(A) - (I), (B) - (II), (C) - (III), (D) - (IV)
(A) - (I), (B) - (III), (C) - (II), (D) - (IV)
(A) - (III), (B) - (I), (C) - (II), (D) - (IV)
(A) - (III), (B) - (I), (C) - (IV), (D) - (II)

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:

(A), (B), (C), (D)
(A), (C), (B), (D)
(B), (A), (D), (C)
(C), (B), (D), (A)

CUET Economics 2026 6th June Shift 1 PYQs

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