question_answer

Distinguish between voluntary unemployment and involuntary unemployment. Or Write any three points of difference between ex-ante investment and ex-post investment.

Answer:

Difference between voluntary unemployment and involuntary unemployment are:

Basis	Voluntary Unemployment	Involuntary Unemployment
Meaning	It is a situation when people are offered work but they are not willing to work.	It is a situation when people are willing to work but they are not getting work.
Reason	It occurs because of low wages or substandard jobs being offered.	It occurs due to lack of employment opportunities.
Nature	It is avoidable	It is unavoidable

Difference between ex-ante Investment and ex-post Investment are:

Basis	Ex-ante Investment	Ex-post Investment
Meaning	Ex-ante investment refers to the planned or desired level of investment.	Ex- post investment refers to the actual or realized level of investment
Relation with savings	In an accounting year, ex-ante investment may or may not be equal to ex-ante saving.	In an accounting year, ex-post investment is always equal to actual savings (in accordance with national income accounting principle)
Relevance in determining equilibrium	Equilibrium level of income is determined where ex-ante investment =ex-ante saving.	Ex- post investment has no relevance in determination of equilibrium level of income.