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Q. The guiding function of prices tends to keep resources flowing toward their most highly valued uses. true or false?
Q. What matters is not the absolute abundance of factors, but their relative abundance. Poor countries have an abundance of labor relative to capital when compared to more developed countries.
The economy is made up of C and I and is currently at full employment. If consumption is $5 trillion while savings is $1 trillion, what is present investment according to classical economists.
Elucidate how would you improve this survey to better reflect the needs of the consumer.
A local restaurateur whose trade had been profitable for many years recently purchased a liquor license, giving her a legal right to sell beer.
Should Roscoe's Rascals match the price offered by the competitor.
Cigarettes are also heavily taxed. Illustrate what effect does this tax have on cigarette consumption
What was the accounting profit for the new business. What was the economic profit or loss. Explain your calculations for both questions.
What would the annual percentage change in velocity have to be on average for the quantity theory to hold.
Suppose each government has a target level of output of 125 and that each government increases government spending by the same amount.
Increase or decrease in the money supply increase the price level to the tolerable range
Illustrate what are the effects on the growth rates of cumulative o/p, cumulative consumption, and also cumulative investment.
Now illustrate what is the price elasticity of demand. Illustrate what is the cross-price elasticity of demand.
Assessing the development of the discipline from today's perspective, how would Keynes's impact compare with that of your candidate.
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