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In case of continuous fall in …

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In case of continuous fall in demand level in economy what will happen

    • Posted by Ranju Devi 4 years, 6 months ago

    CBSE > Class 12 > Economics
    • 3 answers

    Vaishnavi Singh 4 years, 6 months ago

    In the given scenario economy will slip into "low level equilibrium trap" Where low demand > low production >low income > fall in GDP. Thus, the economy will witness inflationary spiral

    0Thank You

    Annu Dhaka 4 years, 6 months ago

    If demand less production less output less employment less and income less after which demand will be less...so it will become inflationary spiral

    0Thank You

    Anamika Sharma 4 years, 6 months ago

    If demand less, production less, then employment less, and income less.. again if income less then demand will be less

    1Thank You

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