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Explain the Gains from Trade of market.
Producer Surplus, Consumer Surplus, Gains through Trade and Efficiency of Markets:
Consumers and producers both are better off since there is a market into this good, that is there are gains by trade.
The maximum probable total surplus that is highest possible gain to society is attained at market equilibrium.
Into the market equilibrium there is no method to make some people better off without making others worse off markets are effective.
Suppose the economy is currently in recession, and the exchange rate if fixed using the IS-LM model. a) Explain and illustrate the economy adjustment (in the medium run) b) E
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
What is top marginal rate of taxation?
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A few years ago, the Federal Communications Commission (FCC) eliminated a rule that required Baby Bells to provide rivals access and discounted rates to current broadband facilitie
Bob's Bee is a small boutique honey manufacturer in Texas. Bob's neighbor is Jon's James. The more honey Bob produces, the more jam Jon is able to produce; that is, there is
What are the trends of labour and capital as macrfoeconomics variables?
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An economy's IS and LM curves are given by the following equations: with Y indicating output (income), c indicating the marginal propensity to consume, I investment, G gove
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