Which of the following is not true about the Classical and Keynesian aggregate demand (AD) and aggregate supply (AS) schedules?
Tap an option to check your answer.
CUET-PG 2025 Question 31: AD-AS model
Answer and worked solution
Checking your account…
AD-AS model has come up 59 times in 7 exams since 2004.
What this question tests
This question is on Classical aggregate supply, part of AD-AS model in Macroeconomics.
A vertical long-run supply curve set by labour market equilibrium.
TestStop has 8 past-paper questions on this subtopic.
Similar questions from other papers
- In the short run, if planned purchase exceeds production
- Which of the following is/are CORRECT according to the classical macroeconomic school? (A) Long run aggregate supply curve is vertical. (B) If long run aggregate supply…
- In the sticky-price model of aggregate supply, if none of the firms in the market have flexible prices, then the short-run aggregate supply curve will be
- Effective Demand Problem may arise even in a competitive market economy under Rational Expectation, if there is:
- Which of the following models explain(s) the upward-sloping aggregate supply curve in the short-run?
Question from the CUET-PG 2025 paper. Solutions are TestStop's own. Not affiliated with or endorsed by any examination authority.