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Money is anything which is acceptable in settlement of a debt. But, paradoxically, the main asset used to settle debts in modern economies is other debts. After all, bank deposits
describe how open market policy can be used to stimulate economic activity in the country
Q. Consumption function in the IS-LM model? The consumption function will be the same as in cross model, consumption will depend positively on Y. In the classical model, consum
What are the international economic crisis A current account surplus can only take place in one nation if there is a current account shortage in another country. So it makes no
difference between mercantilism and absolute advantage
Say that the equilibrium price and quantity both rose. What would you say was the most likely cause? There was _____(increase, decrease, no change) in demand and ________(increase,
COMPARE AND CONTRAST KEYNESIAN THEORY AND CLASSICAL MODEL
Using the equilibrium in the labor market and the model IS-LM explain the different behavior described by the classic and keynessian schools when there is an increase in public spe
Quantity Equation-Has this theory worked? Why or why not?
Which of the following investments has a larger future value: Investment A an $1,000 investment earning 5% per year for 6 years? Or Investment B a %500 investment earning 10% per y
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