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What are Harrod-Domar restrictions?
Harrod-Domar restrictions:
• Non economic social, cultural, political and institutional circumstances are unimportant into growth process
• While capital formation is significant the development of human capital and effective use of latest technologies also raise Gross Domestic Product. Investment is an essential but not adequate condition for improvement
• Suppose closed economy. Within open economy, additional Y might be used for M and not S
• This is complicated to stimulate the desired level of domestic savings
• Meeting a savings gap through borrowing through overseas cause’s debt repayment difficulties later.
• The sector structure of the economy significant (that is agriculture verses industry verses services).
what are the examples of business economics.
The Scenario You have just been appointed as the procurement consultant for a large multinational with operations based in Brisbane. Your superior, the Chief Financial Officer (
An agent has a utility function over goods 1 and 2 of the form U = x c 1 x d 2 where c is your 1- digit number and d is your minimum number. The agent's income is equal to you
What is factor endowment problem? Factor endowment Problem: Several LDCs have a poor factor endowment than productivity and incomes both are very low according to world
Suppose a $1,000 face value bond has a coupon rate of 8.5 percent, pays interest semi-yearly, and has an eight-year life. If investors are willing to take a 10.25 percent rate of r
Explain about theories and models linked to development. • There is no one agreed theory of development. All models, as Rostow, provide an insight in one or two dimensions of t
Percentage Method
Quantitative demand for watermelons = 50-3P(wm) - 20P(hd) + 10 P(sc) + 0.001(income) P(wm) = $4.00 P(hd) = $3.00 P(sc) = $2.00 Income = $40,000 Quantity supply of watermelons = 2
Can comparative benefit change over time? Comparative benefit is a dynamic concept. A country can obtain or lose comparative advantage overtime when there is a change within r
How is supply related to opportunity cost?
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