Determination of Income and Employment  Class 12 MCQs Questions with Answers

1. Who is the author of the book ‘General Theory of Employment, Interest, and Money’?

2. On which concept does classical viewpoint depend?

3. IF MPC = 0.5, then Multiplier (k) will be:

4. Which among is the direct tax?

5. According to classical economists, there always exists ______ equilibrium in the economy.

6. According to the saving-investment viewpoint, income employment equilibrium will be determined at a point where:

7. What will be APC when APS = 0?

8. Keynes derived Investment Multiplier from Kahn’s :

9. Aggregate demand can be increased by:

10. Supply creates its own Demand. Who gave this law?

11. The theory of employment multiplier was propounded by:

12. The main component of aggregate demand is:

13. If MPC = 0.5 and initial investment is 100 Rs crores, the income generation in the economy will be :

14. Which of the following is true for the Classical Theory of Employment?

15. What is a fiscal measure of correcting deficient demand?

16. Which of the following is correct?

17. Which of the following is a Read Investment?

18. With the increase in investment, MEC:

19. Keynesian multiplier establishes a relationship between:

20. Which factor affects Keynesian Multiplier?