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Show analytically and show graphically that, in the Keynesian consumption function, the average propensity of consumption is always bigger that the marginal propensity when the autonomous component of consumption is positive.
By using this result demonstrate analytically and show graphically why the average propensity of consumption decreases as income increases, whilst the Marginal propensity of consumption decreases as income increases, whilst the marginal propensity does not change with income
Would you rather earn a 4 % nomical or 4% real interest rate? Illustrate by describing the difference between nominal and real variables.
Explain how might this allocation under allocation get resolved via the means suggested by the coase theorem.
Answer whether the following statements are true or false, explaining your answer in each case.
Elucidate the increasing returns to scale as a basis for international trade. Be sure that you define the relevant concepts, describe important features of such trade, and contrast these features with those of trade due to other causes.
Write down a response in APA format that provides an economic profile of the trucking industry.
Use a production possibility frontier to illustrate the probable results of your fiscal policy. By how much did consumption change? By how much did savings change?
In perfectly competitive market a company typically has short run average total cost curve and marginal cost curve of;
The socio-economic shortcomings that China experienced
What is the amount of the difference between the maximum premium and AFP, and what is this called?
Suppose planned investment falls by 100. Graphically illustrate using the AE-Y graph the effects of this reduction in planned investment on the economy. Also calculate the new equilibrium level of income.
Consolidated Drugs, Inc. has spent $4 million developing and testing a new anti-aging drug. Management now estimates that it will cost $2 million to produce and market this new product.
A open economy has a marginal propensity to import equal to .2 and a marginal propensity to consume equal to .7. Determine propensity to save of this economy?
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