Question Completion Status QUESTION 1 4 points Save Answer The study of classical theory of income and employment is essential because- Some economist believed that population growth would be too rapid for the resources available. If this wasn't enough to depress the rate of long- term growth then diminishing returns would cause further problems for growth. Because some of the aspects of classical theory are more relevant to the conditions prevailing in the developing countries and this theory highlights those factors which govern income and employment in these countries Required to be done in order to balance capital costs against lifetime costs, lifetime costs include annual costs, estimated cost of losses over a period of time annual costs that include interest, depreciation and O and M charges etc. None of these