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Intended or planned Investment
Expenditure on investment depends on business expectations on the chance of making profits and on the availability of funds for the purchase of producer goods. Although business expectations re complex in nature, a rough approximation is that the expectations on profits rise or fall in direct response to movements in the GNP this year increases businessmen expect an increase in planned consumption expenditures, and hence profits to increase next year.
manual problems solution of demand theory
Q. What is the Nature of Commodity ? The nature of a commodity as well has an effect on the price elasticity of its demand. Commodities can be characterised ascomforts, luxurie
how it is revalent?
Number 1 work: Week 4 Discussion - Empirical Demand Function and Forecasting The empirical demand function can be used in conjunction with historical data to predict pricing and
THE IMPACT OF INFLATION Inflation has different effects on different economic activities on both micro and macro levels. Some of these problems are considered below: i.
Q. Explain about Cardinal utility? A measure of utility or satisfaction derived from consumption of services and goods which can be measured using an absolute scale. Cardinal u
Arc Elasticity Is the average elasticity between two given points on the curve, i.e. Because of the negative relationship between price and quantity demanded, pr
Is a “perfectly competitive market” an efficient mechanism for the allocation of scarce resources? When it is, explain why. When it is not, document reasons for either inefficient
Explain cost output relationship with reference to: a. Total fixed cost and output b. Total variable cost and output
THE MONETARY ACCOUNT Also called official financing, this comprises the financial transactions of the government (handled by the central bank) needed to offset any net outflow
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