--%>
Assignment Help - homework help

Problem on full employment

Does full employment take place if AD = AS or S = I?

E

Expert

Verified

This is not essential that full employment take place whenever AD = AS or S = I. This means that full employment might or might not take place at AD = AS or S = I.

   Related Questions in Macroeconomics

  • Q : Merger and acquisition of firms

    Question: Suppose firm 1 and firm 2 merge. Call the new firm A. It has output xA and profit πA. Suppose there is Cournot competition after the merger. For now, we assume that the marginal cost of Firm A, the mer

    		•
  • Q : Weighed marginal cost and marginal

    Cite examples of recent decisions that you made in which you, at least implicitly, weighed marginal cost and marginal benefit?

    		•
  • Q : Poorer good for American families The

    The most probable of the following to be a poorer good for most American families who purchase some of each of such products throughout a given year would be: (i) Plastic surgery. (ii) College textbooks. (iii) Films on DVD. (iv) Cup-a-Noodles soup. (v) Downloads for t

    		•
  • Q : Discount rate-Prime rate and the

    What is the difference among the discount rate, prime rate and the subprime rates of interest? Which interest rate in particular build the 2008 recession? Explain how that happened.

    		•
  • Q : International trade the most frequently

    the most frequently asked question on foreign direct invetment

    		•
  • Q : Competitive market What do you mean by

    What do you mean by the term Competitive market?

    		•
  • Q : Declines of percentage of income paid

    Since the percentage of income paid in taxes generally declines as taxpayer income increases, standard sales taxes and “sin” taxes [for example, excise taxes upon liquor or tobacco] are illustrations of: (1) proportional t

    		•
  • Q : What are various economic growth

    Economic growth is generally defined as a sustained increase in per capital national output over a long period of time. It implies that for economic growth of a nation, the rate of increase in its total output must be greater than the rate of population growth. It ma

    		•
  • Q : Value of imports of goods The country’s

    The country’s balance of trade is Rs.500 crores. The value of exports of goods is Rs. 650 crores. What is the value of imports of goods?

    		•
  • Q : How central bank reduce the

    Describe any two measures by which a Central Bank can attempt to decrease the gap. Answer: Central bank can decrease this gap by adopting two measures illustrated b

    		•