principles of macroeconomics
What are the “powers of the Federal Reserve
Definition of shortage: It is a condition in which quantity demanded is more than the quantity supplied. The sellers will respond to the shortage by increasing the price of the good till the market reaches the equi
Does a surplus of AD over AS always entail a condition of inflationary gap? Answer: No. Inflationary gap takes place only if AD > AS equivalent to full employmen
DISCUSS the experience of high GNP countries and low GNP with regard to PQLI.
Explain evaluation of net present value (NPV) and internal rate of return (IRR) in brief?
What occurs to economy, when credit availability is limited and credit is made costlier? Answer: Aggregate demands falls
what can be the minimum value of investment multiplier?
Gross domestic capital formation is always greater than gross fixed capital formation
What is meant by the term business cycle as described by economists?
The law of equivalent marginal advantage is violated when people: (1) think about paying a higher price that ensures better quality. (2) elect a general as president while war clouds threaten. (3) fail to allocate similar resources within equally valu
Individuals maximize the satisfaction whenever the marginal utilities of all goods are: (i) Precisely proportional to the consumer’s income. (ii) Maximized. (iii) Precisely proportional to the opportunity costs of consuming them. (iv) Equivalent
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