Economy, asked by PragyaTbia, 1 year ago

The equality between aggregate demand and aggregate supply determines the equilibrium level of employment. (State whether the statement is TRUE or FALSE)

Answers

Answered by karishmashukla64
2
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Answered by Raghav1330
0

Answer

It is true that the equality between aggregate demand and aggregate supply determines the equilibrium level of employment.

Explanation

if the  Aggregate Demand (AD) is more than the Aggregate supply (AS) the direction of change in employment is positive.

if the Aggregate Demand (AD) is equal to Aggregate Supply (AS) then the direction of change is at equilibrium.

If the Aggregate Demand is less than the Aggregate Supply (AS) then the direction of change is neagitive.

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