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Economics miscellaneous

  1. Who said ‘Supply creates its own demand’?
    1. Adam Smith
    2. J.B.Saw
    3. Marshall
    4. Ricardo
Correct Option: B

“Supply creates its own demand” is the formulation of Say’s law by John Maynard Keynes. The rejection of this doctrine is a central component of The General Theory of Employment, Interest and Money (1936) and a central tenet of Keynesian economics. Say’s law, or the law of market, is an economic principle of classical economics named after the French businessman and economist Jean-Baptiste Say (1767– 1832), who stated that “products are paid for with products” and “a glut can take place only when there are too many means of production applied to one kind of product and not enough to another



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