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Questions › CUET-PG › CUET-PG 2026 › Q67
4 marks, −1Macroeconomics › Classical macroeconomics › Say's law and loanable fundsModerateabout 1 min

CUET-PG 2026 Question 67: Classical macroeconomics

Match the LIST-I with LIST-II.

List I

A. Classical Model

B. Effective Demand

C. Say's law

D. Keynesian Model.

List II

I. Supply creates its own demand

II. Level of aggregate demand where planned saving = planned investment

III. Output determined by aggregate demand in short run

IV. Price and wage flexible full employment assumed.

Choose the correct answer from the options given below:

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Answer and worked solution

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Classical macroeconomics has come up 35 times in 7 exams since 2008.

What this question tests

This question is on Say's law and loanable funds, part of Classical macroeconomics in Macroeconomics.

The classical claim that supply creates its own demand and that the interest rate balances saving and investment.

TestStop has 9 past-paper questions on this subtopic; the nearest in year are below.

  • IIT JAM 2022 · Q9Which of the following is NOT a postulate of the Classical Model of full-employment equilibrium?
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Question from the CUET-PG 2026 paper. Solutions are TestStop's own. Not affiliated with or endorsed by any examination authority.