Home
Class 12
ECONOMICS
Can we think that classical belief can h...

Can we think that classical belief can help in functioing of our economy ?

Text Solution

Verified by Experts

Classical belief is that the government does not interfere in the economy because there is always full employment equilibrium. But economy may achieve equilibrium even when there is underemployment or Over full employment. The government will have to interfere to correct the deficient and excess demand using various policy measures.
Promotional Banner

Topper's Solved these Questions

  • INCOME DETERMINATION AND MULTIPLIER

    RADHA BHUGANA|Exercise GUIDELINES TO NCERT|2 Videos
  • INCOME DETERMINATION AND MULTIPLIER

    RADHA BHUGANA|Exercise EXERCISES|22 Videos
  • INCOME DETERMINATION AND MULTIPLIER

    RADHA BHUGANA|Exercise CONCEPTUAL QUESTIONS|6 Videos
  • GOVERNMENT BUDGET AND THE ECONOMY

    RADHA BHUGANA|Exercise Unsolved Numericals|4 Videos
  • INTRODUCTION- MACROECONOMICS

    RADHA BHUGANA|Exercise guidelines to NCERT questions|2 Videos