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Explain the difference among saving and investment as explained by macroeconomists.
Which of the following situations represent investment or saving?
Explain:
a) You use your Rs 20000 pay check to buy stocks in Reliance
b) You borrow Rs. 100000 from a bank to buy a car to use in your company
c) Your room mate earns Rs.1000 and deposits it in her bank account
factors that causes the shifts in balance of payments
policy measures to control trade cycle
Q. Money market with inflation and rising money supply? Figure: The money market with inflation and rising money supply If we let π M refer the growth rate in money
Compute the mean and variance of the following discrete probability distribution. Where X=2, and P(x)=.5. Where X=8 and P(X) .3. Where X=10 and P(X) =.2.
Q. Characteristics of endogenous growth theory? There are many different explanations for technological progress. Most of them, though, have many common characteristics:
For an interest rate of 12% per year compounded continuously, find (a) the nominal rate per year, (b) the nominal rate per quarter, (c) the effective rate per quarter, and (d) the
The below diagram demonstrates how all the variables are determined in classical model: Figure: Determination of all the variables in the classical model a) Start at
a good is classified as inferior if a. consumers buy less when the price rises b. consumers buy less when the income rises c. consumers buy less when the price falls d.
Filbert and Lychee have convex indifference curves. Note Filbert is indifferent between baskets (3, 2) and (4, 1)--these are x, y coordinates. Lychee is indifferent between baskets
Quantity Equation-Has this theory worked? Why or why not?
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