THEORY OF INCOME DETERMINATION

Autonomous Consumption is __________________ related to the level of Income.

• Totally

• Inversely

• Positively

• Not

What is the Value of MPS if MPC is given as 0.85

• 0.25

• 0.35

• 0.15

• 0.85

Slope of Consumption Function is called:

• Autonomous Consumption

• MPC

• APC

• APS

The Maximum value of MPC can be:-

• 0.5

• Infinity

• 1

• 0

Autonomous Investment curve looks like:-

• 
• 
• 
• 

Consumption Function is the Functional Relation between

• Income and saving

• Price level and consumption

• Income and consumption

• ALL OF THE ABOVE

When Income is Zero, Then saving will be

• 0

• -ve

• +ve

• None of these

Whose value can be greater than I ?

• APC

• MPC

• MPS

• NONE OF THESE

Aggregate supply is equal to

• National Income

• Consumption + Savings

• Both A and B

• Aggregate Demand

Theory of Determination of income and Employment is based on

• Ex-ante

• Ex-Post

• Both A and B

• None of the above