Question : In an economy, investment increases from 200 to 500. As a result of this, equilibrium level of income increases by 6000. Calculate K.
Option 1: 40
Option 2: 10
Option 3: 20
Option 4: 30
Correct Answer: 20
Solution :
Question : In an economy, investment increases from 400 to 500. As a result of this, equilibrium level of income increases by 10000. Calculate K.
Option 1: 100
Option 2: 80
Option 3: 60
Option 4: 50
Question : In an economy, investment increases to 2500. As a result of this, equilibrium level of income increases by 5000. Calculate K.
Option 1: 2
Option 2: 1
Option 3: 3
Option 4: 4
Question : In a two sector economy, the saving function is given as S=-10+0.4Y and investment function is expressed as I=-4+0.1Y. Calculate equilibrium level of income?
Option 1: 20
Option 2: 30
Option 3: 15
Option 4: 10
Question : In an economy, equilibrium level of income falls short by Rs.400 crore. Calculate the additional investment needed to achieve the equilibrium level of income, 80% of the increased income is spent on consumption.
Option 1: 70
Option 3: 90
Option 4: 100
Question : In an economy, the actual level of income is Rs.500 crore, whereas, the full employment level of income is Rs.700 crore. If 1/5 of the additional income is saved, calculate increase in investment required to achieve full employment level.
Option 3: 40
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