Question
Explain the meaning and two merits of fixed foreign exchange rate.
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| National Income | = | 1,000 |
| Marginal Propensity to consume | = | 0.8 |
| investment expenditure | = | 100 |
|
S. No
|
Particulars
|
$(₹)$ In Crose
|
| $1.$ |
Rent.
|
$3000$ |
| $2.$ |
Wages and salaries.
|
$3000$ |
| $3.$ |
direct tax.
|
$6000$ |
| $4.$ |
Intermediate consumption by government.
|
$1500$ |
| $5.$ |
Net Import.
|
$500$ |
| $6.$ |
Gross domestic capital formation.
|
$7500$ |
| $7.$ |
Change in stock.
|
$1000$ |
| $8.$ |
Income paid to abroad.
|
$4000$ |
| $9.$ |
Current replacement cost.
|
$1000$ |
| $10.$ |
Distributed profit.
|
$1200$ |
| $11.$ |
Personal disposable income.
|
$12000$ |
| $12.$ |
Interest.
|
$7000$ |
| $13$ |
Household saving.
|
$2000$ |
| $14.$ |
Subsidies.
|
$1000$ |
| $15.$ |
Export.
|
$1500$ |
| $16.$ |
Sale of goods and services by government.
|
$500$ |
| $17.$ |
Income from entrepreneurship.
|
$3000$ |
| $18.$ |
Wages and salaries by the government.
|
$3000$ |