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Explain crowding out and why it may be considered important for policy makers.
Crowding out refers to how enhanced government borrowing (real borrowing!) might serve to raise interest rates and basically makes scarce resources which could be used by firms. Basically, government borrowing crowds out an amount of confidential investment. There is also a monetarist/classical and Keynesian distinction herein, where the former view a high probability of (complete) crowding out and the latter view the effects as limited.
Explain the detail central problem of an economy?
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
1. Discuss how banks make money, and are structured in respect to Asset, Liability and Capital Management – give examples.
Write a 1-2 page summary on markey failure
Explainbainlimitpricetheory
Consumer Surplus -Difference between maximum amounts a consumer is wishing to pay for a good and amount actually paid. The stepladder demand curve is converted into a
Halala is a small country that uses most of Its resources to produce fruits and vegetables. If the country produces only fruits it is able to produce 8000kg of fruit per year. If i
Illustrates the key terms of excise tax? Terms of excise tax: a. Tax incidence • Who bears the load of the tax? b. Excess burden or Deadweight loss • Taxes inflict
Given the following demand and total cost functions for a firm P = 4500 - 0.5Q 2 TC = 1.5Q 3 - 50Q 2 + 1000 i) the marginal profit function
bains limit theory
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