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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
Elucidate how the multiplier effect would support Keynes explanation alsp explain how economies can fall into recession or depressions.
Explain how would you classify the product in terms of it's income elasticity.
Dr Leona Williams a well know Plastic Surgeon, has reputation for being one of best surgeons for reconstructive nose surgery. Dr Williams enjoys a rather substantial degree of market power in this market. She has estimated demand for her work to b..
Disscuss the contrasting views of the Keynesians and the monetarists with regard to an appropriate.
Describe the factor which determine the slope of the LM curve and whether an increase in theses factor(s) will make the curve flatter or steeper.
Consider economy that is above full-employment equilibrium (natural rate of output) because of an increase in AD. Prices of productive resources have'nt changed. With the help of graph
What is the marginal physical product of the fifth worker? What is the weekly wage of the fifth worker? What does the price of output need to be in order for the firm to profit from hiring the fifth worker?
Elucidate how these economic concepts can be used to address the firm's problems and opportunities.
Illustrate what policies can be designed to transform agricultural development and raise levels of living in rural areas in LDCs.
Demonstrate that removing the subsidy will make consumers worse off but will nevertheless improve society's economic welfare.
What is the difference between the medium of exchange and the store of value? What is the difference between commodity money and fiat money?
You are the manager of Taurus Technologies, and your sole competitor is Spyder Technologies. The two firm's products are viewed as identical by most consumers.
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