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Class 12 · Economics
→In the two-sector model, if S = I and Y = C + I, which of the following relations is also correct?
Class 12 · Economics
→If consumption is greater than income, how can households consume in the income flow?
Class 12 · Economics
→In the two-sector circular flow of income, when households provide factor services to firms, what is the corresponding money flow?
Class 12 · Economics
→In the two-sector circular flow of income model, which is an example of a real flow moving from households to firms?
Class 12 · Economics
→In the two-sector circular flow of income model, which of the following is a correct example of a money flow?
Class 12 · Economics
→In the circular flow of income model of a two-sector economy, what is the direct effect of saving by households?
Class 12 · Economics
→If the slope of the consumption function rises, what happens to the slope of the saving function, assuming MPC + MPS = 1?
Class 12 · Economics
→In the two-sector model, what does (1 − b) represent in S = −a + (1 − b)Y?
Class 11 · Economics
→If autonomous consumption a rises in C = a + bY while b remains constant, what happens to equilibrium income?
Class 12 · Economics
→In the two-sector circular flow of income model, what effect does saving by households have?
Class 12 · Economics
→In the two-sector model, if investment (I) is autonomous, which statement about I is correct when income rises?
Class 12 · Economics
→If actual sales exceed expected sales, what are firms likely to do in the next period?
Class 12 · Economics
→In the two-sector model, if actual sales are lower than expected sales, which statement is correct?
Class 12 · Economics
→If total expenditure is less than output in the two-sector model, in which direction may firms adjust?
Class 12 · Economics
→If total expenditure is greater than output, what will be the situation of firms’ unplanned inventories in the two-sector model?
Class 12 · Economics
→In the two-sector circular flow of income model, when households deposit their savings in the financial market and firms borrow from that market for investment, what is the main function of the financial market?
Class 12 · Economics
→In the two-sector circular flow of income model, which option correctly identifies the real flow?
Class 12 · Economics
→In the two-sector model, if MPC = 0, what will be the multiplier effect of a rise in investment?
Class 12 · Economics
→In the two-sector model, the closer MPC is to 1, what can be said about the multiplier?
Class 12 · Economics
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