On which of the following do Keynesians and Monetarists agree ? 1)When there is recessionary gap, flexible wages will retrieve the labour market to equilibrium quickly. 2)The most important cause of demand shocks is changes in supply. 3)The demand for money is interest elastic. 4)Output deviates at times from the potential output because of demand shocks. Here the correct option is 3 but how..!!please explain someone the ans...

Which of the following is the cause of disequilibrium between warranted rate of growth and actual rate of growth in the Harrod model ? (1) 1.Discrepancy between Ex-ante investment and Ex-post investment. 2.Discrepancy between Ex-ante investment and Ex-ante savings. 3.Discrepancy between Ex-ante savings and Ex-post savings. 4.Discrepancy between Ex-post investment and Ex-post savings.

In an economy, the GDP deflator is found to be 110 for the current year. If the GDP has registered an annual growth rate of 15 percent in the same year, then, the rate of growths of real GDP will be : (1) 5% (2)1.5 (3) 25% (4) 2.5%

Which of the following would cause Rupee to depreciate against U.S. Dollar, other things being equal ? 1.A rise in interest rates in India. 2.A fall in incomes in U.S.A. 3.An expected rise in the external value of rupee. 4.An increased flow of foreign investment into India.

Which of the following statement about the Indias balance of payments is not correct ? (1) If a foreign citizen deposits some money in a bank in India, the accounts regard this as a credit. (2) The current account balance shows only the balance for the trade in goods and services combined. (3) Allowing for errors and omissions, the accounts always balance. (4)If the country s reserves of foreign currencies increase then there is a minus sign for this entry.