What are the equilibrium conditions in two-sector model? Option 1: Y = AD Option 2: Y = C + I + cY Option 3: Y= A+ cY Option 4: AD = C + I

The answer is 'Y = AD'. View full solution:

CUET Economics - What are the equilibrium conditions in two-sector model? | PYQs + Solutions

CUET Economics 2026 21st May Shift 2

Macro

Easy

Y = AD

Y = C + I + cY

Y= A+ cY

AD = C + I

✅ Correct Option: 1

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Match List - I with List - II.

	List - I		List - II
(A)	Marginal Propensity to Save	(I)	$\frac{\Delta Y}{\Delta I}$
(B)	Average Propensity to Consume	(II)	$\frac{\Delta S}{\Delta Y}$
(C)	Value of Investment Multiplier	(III)	1 - APS
(D)	Marginal Propensity to Consume	(IV)	$\frac{\Delta C}{\Delta Y}$

Choose the correct answer from the options given below :