Total income depends on total employment which depends on effective demand which in turn depends on consumption expenditure and investment expenditure. Consumption depends on income and propensity to consume. Investment depends upon the marginal efficiency of capital and the rate of interest.
J. M. Keynes made it clear that the level of employment depends on
aggregate demand and aggregate supply. The equilibrium level of income
or output depends on the relationship between the aggregate demand
curve and aggregate supply curve. As Keynes was interested in the
immediate problems of the short run, he ignored the aggregate supply
function and focused on aggregate demand. And he attributed
unemployment to deficiency in aggregate demand.
exogenous and constant
Price theory can be referred to as Micro economics and income as Macro.
market theory of wage determination.
its introduced by classical economist, there are basically two way to examine classical theory, they are 1 determination of employment 2 determination of output
True
exogenous and constant
Price theory can be referred to as Micro economics and income as Macro.
autonomy, competence and connection
market theory of wage determination.
its introduced by classical economist, there are basically two way to examine classical theory, they are 1 determination of employment 2 determination of output
market theory of wage determination.
Income theory is a branch of economics that studies how individuals and households earn income through factors like wages, investments, and entrepreneurial activities. It seeks to explain patterns of income distribution within a society and how these patterns impact economic outcomes and societal well-being. Various economic models and approaches are used to analyze income theory, including the neoclassical theory of income distribution and theories of income inequality.
True
need a simple explanation of Euclids theory.
the"Accelerator theory of Investment"
theory of income and employment: theory of general price level and inflation theory of economics macro theory of distribution' theory of international trade
The coefficient of simple determination tells the proportion of variance in one variable that can be accounted for (or explained) by variance in another variable. The coefficient of multiple determination is the Proportion of variance X and Y share with Z; or proportion of variance in Z that can be explained by X & Y.