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C+I curve is starting from 100 because Consumption will be there even if the income of a person is zero, and C+I starts at 100 because INvestment can be zero if there is no income but consumption has to be there even if the Income is zero. Following the equation that C=a+bY where a= 100 and suppose if income is 0, then bY will be zero, and at the point where income is zero, then I=0, therefore C+I= 100+0 at a point where income is zero. and hence C+I starts at 100.
I think they talk about the consumption good in a economy if taxes increase it reduce the personal disposable income of the consumer....... And if taxes increase on good and service it also increase the cost of production and reduce the profit of consumer
Hi Ruru, it's still in the process of being recorded. The video will be up shortly in the next few days.
Edupedia World hello, can i ask you some questions about this topic because you gave a good explanation that i can understand. May i?
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Well explained
Very well explained 👏
actually well explained
Very nicee explanation Mam .
Good ! Keep it up......
Dear Sarib Saifi, thanks for your words of appreciation. We are glad you liked the video. Visit our channel for variety of videos choosing from a collection of around 6000 videos in 100s of different subjects:
ua-cam.com/channels/6E97LDJTFJgzWU7G3CHILw.htmlplaylists?shelf_id=0&sort=dd&view=1
Alternatively browse through our website www.edupediaworld.com and watch the video you want to learn. Watch, Share and Stay Tuned. Best Wishes and Happy learning.
hello, can I know where is the four sectors video?
how would a fiscal contraction effect the equilibrium
In dis video C+I curve starts from 100 bt it should start from more than 100 bz investment alone is 100 what about consumption...
C+I curve is starting from 100 because Consumption will be there even if the income of a person is zero, and C+I starts at 100 because INvestment can be zero if there is no income but consumption has to be there even if the Income is zero.
Following the equation that C=a+bY where a= 100 and suppose if income is 0, then bY will be zero, and at the point where income is zero, then I=0, therefore C+I= 100+0 at a point where income is zero. and hence C+I starts at 100.
Ruchi Shukla :thanks
I think they talk about the consumption good in a economy if taxes increase it reduce the personal disposable income of the consumer.......
And if taxes increase on good and service it also increase the cost of production and reduce the profit of consumer
@ruchishukla but we have assumed investment to constant at 100 even if income is 0 .investment is independent of income
I m sorry but ur C+I line and C+G+I line are wrong...and also u didn't explain much abt S+T curve ...How did it Come?
I m nt getting 4 sector..can u plz help me
+Deepika Rani
4 sector model is under process, it will be uploaded soon ...
Deepika Rani
ya