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प्रश्न
Critically explain Say’s law of market.
टीपा लिहा
उत्तर
- According to Keynes, supply does not create its demand. It is not applicable where demand does not increase as much as production increases.
- Automatic adjustment process will not remove unemployment. Unemployment can be removed by the increase in the rate of investment.
- Money is not neutral. Individuals hold money for unforeseen contingencies while businessmen keep a cash reserve for future activities.
- Say’s law is based on the proposition that supply creates its own demand and there is no over production. Keynes said that over production is possible.
- Keynes regards full employment as a special case because there is under–employment in capitalist economies.
- The need for state intervention arises in the case of general over production and mass unemployment.
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Classical Theory of Employment
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संबंधित प्रश्न
J.B. Say is a______.
The core of the classical theory of employment is______.
______ Flexibility brings equality between saving and investment.
Classical theory advocates______.
Say’s law stressed the operation of ______in the economy.
List out the assumptions of Say’s law.
According to the classical theory of employment, how to wage reduction solve the problem of unemployment diagramatically explain.
Write short note on the implications of Say’s law.
