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What are the predictions of balanced growth?
When government can co-ordinate immediate investment in several industries one firm gives a market for another. It needs state planning and intervention to as:
• Train labour
• Organize and plan the huge-scale investment programme
• Mobilise the essential finance
• Nationalisation of strategic industries as well as undertake infrastructure investments for example, builds roads
• Protect infant industries by tariff (tax onto imports) and quota (restrict onto quantity of imports) policies.
• State owned development banks finance precedence investment projects selected for their contribution to growth and development quite than commercial profit maximisation criteria.
In brief, the price of anything is based on comparative benefit. If Adam makes clocks better and cheaper than Bill, all clock production should go to Adam.
about replacement and historical costs
Consider the following information in the international money markets: Spot rate : $0.95:€ Forward rate (one year) :
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How does economic theory contributes to managerial decisions?
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