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What are the main weaknesses of using demand-side policies?
Trade-off issues
a) Growth and low unemployment often come with inflation
b) Government stimulatory policies might be come from deficit spending and thus enhanced debt
c) Growth may result in current account problems (HL; use MPM)
d) Growth and inflation, together with rising imports may lead to downward pressure on the exchange rate
Assume that you have a client that is a paper manufacturer and they have expressed concern that the government will pass a new regulation banning the use of chlorine based technolo
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reasons for and against free trade with foreign sector
traditional theory of cost
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Long Run Average Cost (or LAC) -Constant Returns to Scale If the input is doubled, the output will double and average cost is constant at all the levels of output.
inflation wide equality while deflation narrow it down due in aggree distify we answer with algement?
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