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Market questions come in two types:
Type 1: you are given the exogenous variable change and you must shift the correct curve in the right direction and then determine the new price and quantity.
Type 2: you are given the new price and / or quantity and you must determine what exogenous variable changed to bring about that new price and / or quantity.
In an article about the financial problems of USAToday,News week reported that the paper was losing about $20 million a year. A Wall Street analyst said that the paper should raise
What is the definition of opportunity cost?
Q. Explain about Quantity theory of money? One of the main elements of the classical model is quantity theory of money. Quantity theory of money connects three important variab
What are the instruments of monetary policies
Assume that Jimmy Cash has $2100 in his checking account and uses his checking card to withdraw $210 from his ATM machine. By what amount did M1 change from this individual transac
#types of economic systems
Q. Assumptions of the AS-AD model? The most significant change we make going from IS-LM model to AS-AD model is to allow P to be endogenous. As P was constant in IS-LM model, w
The formula for calculating static and dynamic multiplier
Kate uses a sewing machine to alter and repair clothes for one year in her own small business, Kate's Tailoring. She earns $20,000 during the year for various sewing projects. In t
Aggregate Consumption This is the aggregate of all expenditures on current consumption goods and services i.e. those which are consumed during the period. Living standards are
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