Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Nature of Expectations in Keynes' Theory:
The above discussion on the nature of expectations in Keynes' theory may be summarised as follows:
1) In forming long-term expectations, there exists no basis for inferring an objective probability distribution over future outcomes on the basis of past experience.
2) In forming long-term expectations, decision makers fall back on prevailing conventions. This could, for example, include the convention of using an estimated probability distribution from historical data for forming expectations about the future.
3) Decision makers are however aware that these methods for forming expectations I have evolved as conventions (maybe, because they have been more successful on an average in the past compared to other methods). There is no objective rationale for thinking that they would always form a more accurate basis for judgments about the future.
4) The decision on whether or not to go by these conventional judgments depends on the confidence that decision makers have in these conventions as an adequate I. basis for forming expectations about the future. The state of confidence is a volatile factor. Therefore expectations also become volatile as economic actors go by conventional judgments or discount them.
(1) The demand curve for oranges is given by the equation P = 5 – Q/200. The supply curve is given by P = Q/800. Q is measured in oranges per day and price is measured in dollars p
Female-headed households: The high incidence of unemployment among the educated in general and women in a particular reflects that the pace of creation of diversified employme
Modern cost curves theory
The raspberry growing industry is a perfectly competitive industry. The firms in the industry have a U-shaped LAC, minimum average cost is $8 and the minimum efficient scale is 4 u
Hi, Can you help with writing journals homework? It should be in english as a second language. Ten pages different topics about Karl Marx economics views. I will give you the t
what are the advantages of a monopsonistic labour market
use a graphical illustration to describe briefly what the influence of each of the following be on the market supply of labour,(a) an increase in immigrants, (b) a reduction in wag
State Property Regime Normal 0 false false false EN-IN X-NONE X-NONE MicrosoftInternetExplorer4
REAL VERSUS NOMINAL PRICES • Nominal price is a complete or current dollar price of a good or service when it is sold. • Real price is the price related to a combined me
Q. What do you meant by Private Equity? Private Equity: A form of business in which company's entire equity base is owned by one or a small group of individual investors. Under
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +91-977-207-8620
Phone: +91-977-207-8620
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd