Question : The Phillips curve shows the relationship between:

Option 1: Inflation and unemployment
 

Option 2: Aggregate demand and aggregate supply
 

Option 3: Investment and saving

Option 4: Government expenditure and taxation

Question : The production function shows the relationship between:

Option 1: Price and quantity demanded
 

Option 2: Price and quantity supplied
 

Option 3: Input and output

Option 4: Expenditure and income

Question : The production function shows the relationship between:

Option 1: Price and quantity demanded
    

Option 2: Price and quantity supplied
  

Option 3: Input and output

Option 4: Expenditure and income

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 : The marginal propensity to consume (MPC) is defined as the:

Option 1: Change in consumption divided by the change in income
  

Option 2: Change in income divided by the change in consumption
 

Option 3: Change in saving divided by the change in consumption

Option 4: Change in consumption divided by the change in saving