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Economics

Q. In the market economies, firms rarely worry about the availability of inputs to produce their products, wheras in command economies input availability is constant concern. Why the difference?

Q. Suppose the MPC in the economy in Figure 10.2 equals 0.5 and the shift from AD0 to AD1 was caused by a decrease in consumption of $12 billion. Explain what will the total decrease in aggregate demand be (i.e., AD0 to AD2) as a result of the initial $12 billion decrease?

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Business Economics, Economics

Category:- Business Economics
Reference No.:- M9272734

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