Who are classical economists?

Discuss the three types of equilibrium created by Keyness. Discuss the causes of excess demand. Discuss the causes of deficient demand. Discuss the effects of excess demand. Discuss the effects of deficient demand. Show the defiationary gap diagrammatically. What augg ex- ante saying and ex- post saying? How the Keynesian theory of income and employment is determined through aggregate demand and aggregate supply? Explain it through diagram. 1. A situation when a person is able and willing to take up a job and gets employed, it is called- a. Employment b. Full Employment c. Under Employment d. Unemployment. 2. A situation when people are engaged in jobs but they do not get these jobs according to their capabilities, efficiency and qualifications, it is called- a. Employment b. Full Employment c. Under Employment d. Unemployment. 3. A situation when the workers are willing to work under any conditions and at any wage rate but they fail to get employment, it is called- a. Voluntary Unemployment b. Involuntary Unemployment c. Cyclical Unemployment d. Frictional Unemployment 4. A temporary unemployment which exists during the period of the transfer of labor from one occupation to another is called- a. Voluntary Unemployment b. Involuntary Unemployment c. Cyclical Unemployment d. Frictional Unemployment 5. When more workers are engaged in a work than actually required to work, it is called- a. Voluntary Unemployment b. Involuntary Unemployment c. Disguised Unemployment d. Frictional UnemploymentWrite 7 for True and F for False against each of the following statements: 1. The Classical theory of Income and Employment states that full employment is a normal feature of a capitalist economy. 2. The classical theory of employment rules out the possibility of unemployment in a free market economy. 3. According to classical economists the economy would never be in a full employment equilibrium. 4. Keynesian theory of employment is based on the concept of effective demand. 5. Effective demand means the level of income where aggregate demand and aggregate supply are equal. 6. Classical economists used the approach of aggregate demand and aggregate supply for the determination of full employment equilibrium. 7. Induced investment is expenditure both on fixed assets and on the stocks that are required if the economy is to be able to produce a bigger output as aggregate demand rises