Question : The equilibrium in the aggregate market occurs when:

Option 1: Aggregate demand equals aggregate supply
 

Option 2: Consumption equals investment
   

Option 3: Government expenditure equals net exports

Option 4: Saving equals investment

Question : In an open economy, aggregate demand is estimated as:

Option 1: Private consumption expenditure
 

Option 2: Private consumption expenditure + Government expenditure
  

Option 3: Private investment expenditure + Private consumption expenditure + Government expenditure

Option 4: Private consumption expenditure + Private investment expenditure + Government expenditure + Net exports

Question : Aggregate demand in a two sector model involves-
 

Option 1: Consumption and investment
 

Option 2: Investment and net exports
 

Option 3: Net exports and consumption
 

Option 4: Consumption and government
 

Question : Which of the following is not a component of aggregate demand?

Option 1: Consumption expenditure
 

Option 2: Investment expenditure
 

Option 3: Government expenditure

Option 4: Savings

Question : Higher the disposable income, higher is ___________ expenditure.
 

Option 1: Consumption expenditure.
 

Option 2: Government expenditure.
 

Option 3: Investment expenditure.
 

Option 4: Net exports