Indian Economy Questions

Sociologists define the concept of "race" as a socially constructed category composed of people who share biologically transmitted traits that members of a society consider important.

Government imposes taxes to run the machinery of the state. Taxes serve as the main source of income for the government revenue.

Disposable income is the amount of money that households have available for spending and saving after income taxes have been accounted for.

A decline in disposable income means a movement down along an economy's consumption schedule.

Capitalism is an economic system in which private entities or businesses own capital goods.

Macroeconomics is the study of overall aggregate changes, behavior and performance of the economy of the country i.e, unemployment, GDP, inflation, etc...

The long-run aggregate supply curve is vertical because it is at the full-employment or potential output. Because the economy's potential output is determined by the availability and productivity of real resources, not by the price level. That means that even if demand increases, firms can't hire new workers and expand because everyone is already working.