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Macro Economics
1. How was the Classical Theory of interest role criticized by Keynes?
2. Illustrate the barter system that was used in early times in lieu of money.
3. Explain the determinants of transaction demand.
4. What are the different types of investment?
5. Describe various assumptions of the acceleration principle?
6. Write a short note on the nature and sources of economic growth.
Assume in country-A Central Bank cares only about keeping the price level stable & in country-B, its central bank cares only about keeping output & employment at their natural rate
According to liquidity preference theory, an increase in the price level causes the interest rate to: a.decrease, which decreases the quantity of goods and services demanded. b.inc
You have a choice between a lottery lump sum payout of $10,000,000 today or a series of 25 annual annunity payments the first payment will be one year from today ad a discount rate
Explain how inflation unemployment trade off is not feasible under adaptive expectations?
Granting a loan: When commercial banks lend, they create money. This can be explained by extending the hypothetical example of Bank
If Starbucks's marketing department estimates the income elasticity of demand for its coffee to be 2.9, how will the prospect of an economic bust (expected to decrease consumers' i
The Russ College of Engineering and Technology of Ohio University announced in a press conference that it had found "rampant and flagrant plagiarism" in the theses of mechanical en
A few years ago, the Federal Communications Commission (FCC) eliminated a rule that required Baby Bells to provide rivals access and discounted rates to current broadband facilitie
Q. What is Inflation? Inflation between two points in time is defined as percentage increase of price index between these two points in time. Comments: Price inde
How growth are improved living standards The two main benefits of growth are improved living standards and technological advancement. As an economy grows, the output of
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