Match the following theories with their key concepts:
| LIST-I | LIST-II |
|---|---|
| A. IS-LM Model | I. Determines the level of output and interest rates in an economy based on goods and money markets. |
| B. Classical Theory of Employment | II. Assumes that the economy is always at full employment, with wages and prices being flexible. |
| C. Phillips Curve | III. Represents an inverse relationship between inflation and unemployment in the short-run. |
| D. Keynesian Cross | IV. Describes the determination of equilibrium output based on planned aggregate expenditure. |
1
A - I, B - II, C - III, D - IV
2
A - IV, B - III, C - II, D - I
3
A - III, B - IV, C - I, D - II
4
A - II, B - I, C - IV, D - III