Question : Which of the following statement are true?

1. According to Keynes, there are two approaches for determining the equilibrium level of income and employment in the economy.
2. In the contest of determination of equilibrium, AD, AS, savings and investment and all ex-post variables.

Option 1: Both are true.
 

Option 2: Both are false.
 

Option 3: Statement 1 is true, statement 2 is false.
 

Option 4: Statement 1 is false, statement 2 is true.
 

Question : Determination of equilibrium level 
 

Option 1: AD=AS
 

Option 2: S=I
 

Option 3: Both A and B
 

Option 4: Neither A nor B
 

Question : Macroeconomics deals with which of the following studies?
I. Reasons behind the unemployment of resources.
II. Determination of total output.

Option 1: Only I

Option 2: Only II

Option 3: Neither I nor II

Option 4: Both I and II

Question : In the Keynesian theory of income determination, equilibrium income is achieved when:

Option 1: Aggregate demand equals aggregate supply
   

Option 2: Consumption equals savings
 

Option 3: Investment equals savings

Option 4: Leakages equal injections

Question : Which factor affecting price determination is highlighted in the given statement?
Statement: If the firm aims to maximize profits in the short run then it would fix maximum price for its products.
 

Option 1: Pricing objectives 

Option 2: Utility and demand of the product

Option 3: Extent of competition in the market
 

Option 4: Government and legal regulations