--%>
Assignment Help - homework help

Significant causes giving birth to business cycle

What are the significant causes of business cycle to give birth?

E

Expert

Verified

Significant causes giving birth to business cycle may be summarized as given below:

• Seasonal fluctuations

• Under consumption or excessive saving

• Dealings of entrepreneurs

• Monetary disequilibrium

• Change in the volume of investment or decrease in the marginal efficiency of capital

• Lack of adjustment between demand and supply

• Innovation

• Expansion of loans and contraction of loans by banks.

   Related Questions in Managerial Economics

  • Q : What is social cost of production What

    What is social cost of production?

    		•
  • Q : Income and Substitution Effects of

    When the substitution effect of a wage raise dominates the income effect, in that case the: (1) labor supply curve will be "backward bending." (2) value of the marginal product will exceed the wage rate. (3) labor force participation

    		•
  • Q : Difference between average cost and

    What are the difference between average cost and total fixed cost?

    		•
  • Q : States the Welfare Definition in

    States the Welfare Definition in economics?

    		•
  • Q : Supplies of Labor within Competitive

    During a competitive resource market, every firm confronts a resource supply curve which is: (w) upwardly sloped. (x) backward bending. (y) perfectly inelastic. (z) perfectly elastic. I need a good

    		•
  • Q : When is our society possibly operating

    Our society is possibly operating inefficiently when: (w) we could grow more pecans by producing fewer walnuts. (x) asthmatics would gain when all pollution were removed. (y) whole medical costs would be lower and people would be healthier when we dev

    		•
  • Q : Substitution and Demands for Resources

    When the relative price of a resource decreases, we would usually expect a firm to employ less units of: (w) that resource due to the substitution effect. (x) that resource because of the output effect. (y) complementary resources due to the substitut

    		•
  • Q : Meaning of managerial economics What is

    What is the meaning of managerial economics?

    		•
  • Q : Illustrates the real concept briefly

    Illustrates the real concept briefly?

    		•
  • Q : Government and Labor Assume that male

    Assume that male nurses are paid more than female nurses for same work. When an “equal pay for equal work” law is enforced and enacted, it may: (w) decrease the wages of male nurses. (x) not influence the wages of female nurses. (y) increa

    		•