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Assertion (A): Ex-post Investments represent planned Investments; whereas ex-ante Investments represent actual level of investments....................

Komal Kohli February 20, 2023

These are the options for the question :Assertion (A): Ex-post Investments represent planned Investments; whereas ex-ante Investments represent actual level of investments. Reason (R): At equilibrium level, Ex-ante Savings and Ex-ante Investments are always equal. Alternatives:

a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A). b) Both Assertion (A) and Reason (R) are true and Reason (R) is not the correct explanation of Assertion (A). c) Assertion (A) is true but Reason (R) is false. d) Assertion (A) is false but Reason (R) is true.

The correct answer is -d) Assertion (A) is false but Reason (R) is true.