Supply, demand, equilibrium
use two market diagrams to explain how an increase in state subsidies to public colleges might affect tuition and enrollments in both public and private colleges?
What is "demand-pull" inflation?
What occurs to economy, when credit availability is limited and credit is made costlier? Answer: Aggregate demands falls
The fact that most of the necessities for life like water are priced much lower than the frivolities like diamonds is addressed by the: (1) Utilitarian enigma. (2) Law of diminishing marginal utility. (3) Rational ignorance of hypothesis. (4) Paradox of the value. (5)
What relationship does the MPC bear to the size of the multiplier? The MPS? What will the multiplier be when the MPS is 0, .4, .6, and 1
Why the value of MPC is not greater than 1? Answer: This is because change in consumption can never be more than change in income.
Which of the given is a bank? a) Post office saving banks (b) LIC (c) UTI (d) IDBI.
‘The country is at present in recession and this has led to worse tax revenue and high expenses. The effect is a huge deficit. The government decides to increase taxes and lower government expenses. Is this an excellent idea?’
Harsher punishments for drug dealers than for addicts can’t be blamed for higher: (1) rates of police corruption because main dealers can present big bribes. (2) rates of street crime by addicts. (3) profits reaped by successful pushers who are uncaught. (4) rat
How would your policy proposals influence the market for parking?
Explain the concept of “economies of scale” and “increasing returns”.
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