Identify the incorrect statements from the following:

A. In an economy, an increase in income will always lead to an equal increase in consumption.

B. Marginal propensity to consume denoted the slope of Aggregate demand curve.

C. At full employment, there is no involuntary unemployment.

D. Autonomous aggregate expenditure is sum of total consumption and investment.

Choose the correct answer from the options given below:

A perfectly elastic aggregate supply curve implies that:

(A) There is fuller utilization of resources in the economy.

(B) There is unemployment of resources in the economy.

(C) There is excess capacity in the economy.

(D) Aggregate demand is less in the economy.

Choose the correct answer from the options given below:

If the ratio between MPC and MPS is 4:1, the value of investment multiplier will be:

In case of an underemployment equilibrium, which of the following alternative is not true?

The value that marginal rate of propensity can take in consumption function.

In an economy if equilibrium level of national is Rs. 2000 crores, Autonomous consumption = Rs. 400 crores and Investment expenditure = Rs. 200 crores, then MPC will be:

The impact of the above situation under the Keynesian theory of income and employment in an economy is?