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SubjectsEconomics
समग्र मांग और उसके घटक
In Class 12 Economics, this topic explains aggregate demand as the total planned expenditure on goods and services in an economy at a given income level. Students study its main components—consumption expenditure, investment, government expenditure and net exports—and understand how they combine as AD = C + I + G + (X − M). The topic connects changes in these components with equilibrium income, output and employment under the chapter Determination of Income and Employment.
Correct answer: B. Total demand in the economy
Explanation: Aggregate demand is the total planned demand for final goods and services in an economy during a given period. It includes consumption, investment, government expenditure, and net exports in an open economy, so it is a central macroeconomic variable rather than one buyer’s demand.
Correct answer: D. To understand levels of income and employment
Explanation: Aggregate consumption and investment are major components of aggregate demand. Changes in them can alter firms’ sales, production, national income, and employment through the income-expenditure process and multiplier effect. Therefore, macroeconomics studies their economy-wide effects, not merely personal preferences.
Correct answer: C. Income determination
Explanation: The relationship between aggregate income and aggregate expenditure is central to the theory of income determination. In a macroeconomic model, the level of national income tends to settle where planned aggregate expenditure equals aggregate output or income. If expenditure is greater than output, firms may increase production; if it is lower, production and income may fall. Therefore, option C is correct.
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