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What is the Macroeconomics?
Macroeconomics is study about the aggregate behavior of the economy like how the actions of all the individuals and firms within the economy interact to make a particular level of economic performance overall.
Illustration: Overall level of prices within the economy (how low or high they are relative to prices previous year) quite than the price of a particular good or service.
In June 2009, Textile co. (a domestically located firm) purchased 1000 yards of cloth from India (a foreign country) for $1000. Textile co. hired Elizabeth and paid her $5000 to s
Distributive Bargaining An approach to negotiation that finds to divide up a fixed amount of resources.
show this in a pie chart age = under 20|number of people = 20.90
Returns to Scale Measuring relationship between scale (size) of a firm and output 1. Increasing returns to scale: output more than doubles when all the inputs are doubled
Analysis of business portfolio by using Boston Consultant Group (BCG) Matrix.
Average Fixed Cost (AFC): AFC is the fixed cost per unit of output. AFC = TFC/y Since the TFC is constant throughout the short run, as y increases AFC will decline. Therefore
Problem: (a) "Economics is the study of how society decides what, how and for whom to produce". Describe the importance of opportunity cost to a society. (b) Distinguish bet
baumol''s theory
Uses of national income statistics: - It helps to organize economic data and activities. - It helps to classify economic activities into various segments or sectors. - It he
Health and Life Expectancy: In addition to struggling on low income, many people in the developing nations fight a constant battle against malnutrition, disease and ill healt
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