Target Exam

CUET

Subject

Economics

Chapter

Macro Economics: Determination of Income and Employment

Question:

From the graph below, answer the following questions.

 

What will be the sum of S and C when income is measured at point A?

Options:

Y

S

C+S

Zero

Correct Answer:

Y

Explanation:

The correct answer is option 1: Y

Point A indicates zero savings. Thus, consumption will be equal to income(Y).

So sum of C and S is Y.