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How might an accurate value for the multiplier aid a government in setting fiscal policy?
Any given multiplier will enhance national income at a given rate times enhance in government spending. Knowing that, for instance, the value of k is 2, and that 10,000 jobs are expected to be created for every additional billion in national income, then additional government spending of 0.5billion will make the necessary jobs.
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
provide 3 examples of 1210 billionares in the world face scarcity
SHOW MATHEMATICAL EXAMPLE
The Bandwagon Effect - This is desire to be in style, to have a commodity because almost everyone else has it, or to indulge in it. - This is major objective of marketing an
Problem: (a) Why is an error term added to a regression and explain its importance in the OLS procedure? (b) Suppose we have a linear equation with a constant term, one expl
Economies of Scope The ability of a organization to decrease its unit costs by producing two or more products or services that involve complementary skills, experience and
compare and contrast between cordinal and ordinal approaches
Assume the banking system contains: Total Reserves $ 80 billion Transactions Deposited $800 billion Cash held by public $1
a. Generally, there will be a difference between the CV and the EV. Why? b. The change in consumer surplus (?CS) is not "theoretically" justifiable like the CV and EV but it
Uses of population census: It is used to determine the size and the growth rate of the population at a country. The helps the government in planning for education, transporta
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