Ex Ante And Ex Post | Income Determination | Notes | Summary - Zigya

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Determination of Income and Employment

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Ex Ante And Ex Post

Ex-ante and Ex-post are Latin words which mean 'before' and 'after' respectively. Ex-ante position refers to what is intended (or planned) in the beginning. Ex-post refers to what is realized at the end. In Macroeconomics, expressions like - ex-ante (planned) and ex-post (actual) are generally used in the context of savings and investment.

Ex-ante Savings: Ex-ante savings refers to the amount of savings which savers plan to save at different levels of income in an economy.
Ex-ante Investment: Ex-ante investment refers to the amount of investment planned by the producers towards the production of commodities in the given year.

Ex-Post Savings: Ex-post savings refers to the realized or actual savings made by the households in a year.
Ex-Post Investment: Ex-post investment refers to the actual amount of investment made by the producers towards the production of commodities in a year.

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