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Assuming an economy with no government and no foreign trade. Measure GDP for the following output scenario:
There are three firms: firm A is a minning company, firm B is a steel producer and firm C is a car manufacturer.
In a specific year firm a sells Rs. 100 million worth of iron ore to firm B, firm B sells Rs. 200 million worth of steel to firm C and firm C sells Rs. 500 million worth of cars to general public.
If there are no alters in inventories, no taxes and no other producers in the economy, what is GDP?
The Transmission Mechanism The mechanism by which the changes in monetary policy affect aggregate demand is called 'transmission mechanism'. Two stages in transmission mechanis
Crowding out would most likely occur when: A. the Congress enacts budget cuts to balance the budget. B. workers lose jobs as a result of anti-inflationary fiscal policies. C. the f
discus the various measures that may be taken by a firm to counteract the evil effect of a trade cycle
Businesses often decide between using automation and labor in production. An automotive environment may have high fixed costs and low variable costs, and an industry that utilizes
Determine the exchange rate When a currency is freely floating, the central bank doesn't have to set monetary policy to alter the external value of the currency unless instruct
One constraint in our economy is time. As a society, we make choices about the allocation of time between work and other pursuits. In the US, most workers are eligible for overtime
Wholesale Prices, Consumer Prices and Inflation From the man on the street to the highest policy makers, the behavior of prices is of intimate concern. Prices determine the pu
The consumption function of an economy is given by c = 200+0.75(y-t) And the investment function by I = 200 = - 25r. Government purchases G and taxes Τ are both 100. T
A firm conducted a research about the demographics of their customers. For the study they collected data about the following variables: gender, marital status, credit rating (low,
what is microeconomics
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