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It is clear that monopsony in the labor market is not steady with allocative efficiency and has the effect of withholding significant amounts the employees' MRP from them, that becomes profits, advertising, charitable expenditures, or payments to other factors that did not earn those payments. It is clear that like as reallocations are inconsistent with both equity and efficiency and have been the focus of numerous public policies attempting to thwart like misallocations based purely on market power.
optimal contracts under symmetric information
Purchasing Power Parity (PPP): The exchange rate is determined by the relative purchasing power of currency withineach country. For example, if a product X costs Rs. 100 in I
who proposed the law of chemical combinations?
#question.what is elasticity of demand? .
The circular flow diagram is used to represent the interdependence that exists between sectors of the economy. The diagram illustrates that there are various collections of same e
Why were there not any sustained increases in material productivity of human labor back before 1500? Since improved technology quickly ran aground on resource scarcity. As huma
Managerial theories of the firms
Measure Inflation : There are two common methods of measuring inflation: (i) percentage change in price index numbers (PIN) , and (ii) change in GNP deflator. The tw
what are the types of economic analysis
Market failures (even when they do not have international external effects) i) Self-fulfilling bank runs, government debt runs, currency crises. ii) Liquidation costs of li
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