Humanities/Arts Exam > Humanities/Arts Questions > In an Economy, AD = Rs. 250 + cr + 0.6Y and a...
Start Learning for Free
In an Economy, AD = Rs. 250 + cr + 0.6Y and at zero level of income consumption is Rs.150 crores. The value of autonomous investment will be:
- a)Rs. 100 cr.
- b)Rs. 150 cr.
- c)Rs. 50 cr.
- d)Rs. 200 cr.
Correct answer is option 'A'. Can you explain this answer?
| FREE This question is part of | Download PDF Attempt this Test |
Most Upvoted Answer
In an Economy, AD = Rs. 250 + cr + 0.6Y and at zero level of income co...
Explanation:
The given equation for aggregate demand (AD) is AD = Rs. 250 cr + 0.6Y.
The equation represents the relationship between aggregate demand and income. Y represents the income level in the economy.
When the income level is zero (Y = 0), the consumption expenditure is given as Rs. 150 crores.
To find the value of autonomous investment, we need to determine the value of AD when the income level is zero.
Substituting Y = 0 into the AD equation:
AD = Rs. 250 cr + 0.6(0)
= Rs. 250 cr
Therefore, when the income level is zero, the aggregate demand is Rs. 250 crores.
To find the value of autonomous investment, we subtract the consumption expenditure (Rs. 150 crores) from the aggregate demand when the income level is zero.
Calculating Autonomous Investment:
Autonomous Investment = Aggregate Demand - Consumption Expenditure
= Rs. 250 cr - Rs. 150 cr
= Rs. 100 cr
Hence, the value of autonomous investment is Rs. 100 crores.
Therefore, the correct answer is option 'A' - Rs. 100 cr.
The given equation for aggregate demand (AD) is AD = Rs. 250 cr + 0.6Y.
The equation represents the relationship between aggregate demand and income. Y represents the income level in the economy.
When the income level is zero (Y = 0), the consumption expenditure is given as Rs. 150 crores.
To find the value of autonomous investment, we need to determine the value of AD when the income level is zero.
Substituting Y = 0 into the AD equation:
AD = Rs. 250 cr + 0.6(0)
= Rs. 250 cr
Therefore, when the income level is zero, the aggregate demand is Rs. 250 crores.
To find the value of autonomous investment, we subtract the consumption expenditure (Rs. 150 crores) from the aggregate demand when the income level is zero.
Calculating Autonomous Investment:
Autonomous Investment = Aggregate Demand - Consumption Expenditure
= Rs. 250 cr - Rs. 150 cr
= Rs. 100 cr
Hence, the value of autonomous investment is Rs. 100 crores.
Therefore, the correct answer is option 'A' - Rs. 100 cr.
Free Test
| FREE | Start Free Test |
Community Answer
In an Economy, AD = Rs. 250 + cr + 0.6Y and at zero level of income co...
(AD = C + I), Let Y = 0
So, 250 = (150 + 0.6Y + I)
(250 = 150 + I)
(I = 250 – 150 = 100 Cr).
So, 250 = (150 + 0.6Y + I)
(250 = 150 + I)
(I = 250 – 150 = 100 Cr).
Attention Humanities/Arts Students!
To make sure you are not studying endlessly, EduRev has designed Humanities/Arts study material, with Structured Courses, Videos, & Test Series. Plus get personalized analysis, doubt solving and improvement plans to achieve a great score in Humanities/Arts.
|
Explore Courses for Humanities/Arts exam
|
|
Top Courses for Humanities/ArtsView all
In an Economy, AD = Rs. 250 + cr + 0.6Y and at zero level of income consumption is Rs.150 crores. The value of autonomous investment will be:a)Rs. 100 cr.b)Rs. 150 cr.c)Rs. 50 cr.d)Rs. 200 cr.Correct answer is option 'A'. Can you explain this answer?
Question Description
In an Economy, AD = Rs. 250 + cr + 0.6Y and at zero level of income consumption is Rs.150 crores. The value of autonomous investment will be:a)Rs. 100 cr.b)Rs. 150 cr.c)Rs. 50 cr.d)Rs. 200 cr.Correct answer is option 'A'. Can you explain this answer? for Humanities/Arts 2024 is part of Humanities/Arts preparation. The Question and answers have been prepared according to the Humanities/Arts exam syllabus. Information about In an Economy, AD = Rs. 250 + cr + 0.6Y and at zero level of income consumption is Rs.150 crores. The value of autonomous investment will be:a)Rs. 100 cr.b)Rs. 150 cr.c)Rs. 50 cr.d)Rs. 200 cr.Correct answer is option 'A'. Can you explain this answer? covers all topics & solutions for Humanities/Arts 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for In an Economy, AD = Rs. 250 + cr + 0.6Y and at zero level of income consumption is Rs.150 crores. The value of autonomous investment will be:a)Rs. 100 cr.b)Rs. 150 cr.c)Rs. 50 cr.d)Rs. 200 cr.Correct answer is option 'A'. Can you explain this answer?.
In an Economy, AD = Rs. 250 + cr + 0.6Y and at zero level of income consumption is Rs.150 crores. The value of autonomous investment will be:a)Rs. 100 cr.b)Rs. 150 cr.c)Rs. 50 cr.d)Rs. 200 cr.Correct answer is option 'A'. Can you explain this answer? for Humanities/Arts 2024 is part of Humanities/Arts preparation. The Question and answers have been prepared according to the Humanities/Arts exam syllabus. Information about In an Economy, AD = Rs. 250 + cr + 0.6Y and at zero level of income consumption is Rs.150 crores. The value of autonomous investment will be:a)Rs. 100 cr.b)Rs. 150 cr.c)Rs. 50 cr.d)Rs. 200 cr.Correct answer is option 'A'. Can you explain this answer? covers all topics & solutions for Humanities/Arts 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for In an Economy, AD = Rs. 250 + cr + 0.6Y and at zero level of income consumption is Rs.150 crores. The value of autonomous investment will be:a)Rs. 100 cr.b)Rs. 150 cr.c)Rs. 50 cr.d)Rs. 200 cr.Correct answer is option 'A'. Can you explain this answer?.
Solutions for In an Economy, AD = Rs. 250 + cr + 0.6Y and at zero level of income consumption is Rs.150 crores. The value of autonomous investment will be:a)Rs. 100 cr.b)Rs. 150 cr.c)Rs. 50 cr.d)Rs. 200 cr.Correct answer is option 'A'. Can you explain this answer? in English & in Hindi are available as part of our courses for Humanities/Arts.
Download more important topics, notes, lectures and mock test series for Humanities/Arts Exam by signing up for free.
Here you can find the meaning of In an Economy, AD = Rs. 250 + cr + 0.6Y and at zero level of income consumption is Rs.150 crores. The value of autonomous investment will be:a)Rs. 100 cr.b)Rs. 150 cr.c)Rs. 50 cr.d)Rs. 200 cr.Correct answer is option 'A'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of
In an Economy, AD = Rs. 250 + cr + 0.6Y and at zero level of income consumption is Rs.150 crores. The value of autonomous investment will be:a)Rs. 100 cr.b)Rs. 150 cr.c)Rs. 50 cr.d)Rs. 200 cr.Correct answer is option 'A'. Can you explain this answer?, a detailed solution for In an Economy, AD = Rs. 250 + cr + 0.6Y and at zero level of income consumption is Rs.150 crores. The value of autonomous investment will be:a)Rs. 100 cr.b)Rs. 150 cr.c)Rs. 50 cr.d)Rs. 200 cr.Correct answer is option 'A'. Can you explain this answer? has been provided alongside types of In an Economy, AD = Rs. 250 + cr + 0.6Y and at zero level of income consumption is Rs.150 crores. The value of autonomous investment will be:a)Rs. 100 cr.b)Rs. 150 cr.c)Rs. 50 cr.d)Rs. 200 cr.Correct answer is option 'A'. Can you explain this answer? theory, EduRev gives you an
ample number of questions to practice In an Economy, AD = Rs. 250 + cr + 0.6Y and at zero level of income consumption is Rs.150 crores. The value of autonomous investment will be:a)Rs. 100 cr.b)Rs. 150 cr.c)Rs. 50 cr.d)Rs. 200 cr.Correct answer is option 'A'. Can you explain this answer? tests, examples and also practice Humanities/Arts tests.
|
|
Explore Courses for Humanities/Arts exam
|
|
Suggested Free Tests
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
|
© EduRev
|
Education Revolution
|
Follow Us
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup