The adjustment process will continue until:

CA Foundation · Business Economics · MTP · May 2026
The adjustment process will continue until:
(A) A. MPC becomes zero
(B) B. Prices rise
(C) C. AD equals AS
(D) D. Investment becomes zero

Suggested Answer and Working Notes:

Correct Answer: Option (C)

C. AD equals AS

Topics: Determination of National Income

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