Explain on graph outcome as viewed by mainstream economists
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On October 1, Paradise Travel paid $950 for supplies. At October 31, Paradise Travel has $270 of supplies on hand.
State and explain the basic equation of monetarism. What is the major cause of macroeconomic instability, as viewed by monetarists?
By how much will nominal GDP have to fall to restore equilibrium, according to the monetarist perspective?
What concept does this example illustrate? How does this idea relate to macroeconomic instability?
Then demonstrate and explain on the same graph the outcome as viewed by mainstream economists.
What is an efficiency wage? How might payment of an above-market wage reduce shirking by employees and reduce worker turnover?
A construction company is building a highway system, and construction will take four years. When should the company record the revenue it earns?
What is the level of nominal GDP in year 1? What amount of U.S. securities will it have to sell to, or buy from, banks or the public between years 1 and 2?
Explain to the auto manufacturer when the company should, and should not, record this sales revenue and the related expense for cost of goods sold.
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