Returns to scale, A company uses 2 inputs, K and L in its production functi...

A company uses 2 inputs, K and L in its production function. The production function is given as where Q, K and L are in units per week. Price of input K per unit is RM100, and inp

National debt, NATIONAL DEBT Taxation does not often raise sufficient ...

NATIONAL DEBT Taxation does not often raise sufficient revenue for the Government Expenditure.  So, governments resort to borrowing.  This government borrowing is called Publi

What is internal diseconomies of scale, Q. What is Internal Diseconomies of...

Q. What is Internal Diseconomies of Scale? Internal economies of scale exist only up to a certain size of the plant. Size of plant is called the optimum plant size since with t

Incremental raising, incremental raising

incremental raising

Fiscal policy, Meaning of Fiscal Policy In this general theory, Keynes ...

Meaning of Fiscal Policy In this general theory, Keynes used fiscal policy when referring to the influence of taxation on saving and government investment spending financed thr

Balance of payments, BALANCE OF PAYMENTS The Balance of Payments of a ...

BALANCE OF PAYMENTS The Balance of Payments of a country is a record of all financial transactions between residents of that country and residents of foreign countries.  (Resi

Explanation of business cycle, Causes There are a number of explanatio...

Causes There are a number of explanations of the business cycle but changes in the level of investment seem to be the most likely.  In the simplest Keynesian model an increase

Indifference curve, Case study for consumer behavior using indifference cur...

Case study for consumer behavior using indifference curev

Example time perspective,

Monetary policy, Monetary policy The problems concerning the abili...

Monetary policy The problems concerning the ability of monetary policy to influence the economy, as for instance the doubts about the ability of lower interest rates to st