Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Q. Describe about Price level and time?
We are hardly interested in the value of price level at a certain point in time. What we are interested in is percentage change in the price level between two points in time.
We evaluate the percentage change by first creating a basket of services andgoods. At regular intervals (generally once a month on the first day of the month) we measure all prices of the contents of the basket (characteristically as an average of the market) and evaluate the price level. In this way, we would end up with a time series of price levels - one value for each month.
Using this time series we can study how price level progresses over time. If all prices rose by 2% during one month, price level would rise by exactly 2%. If one of the prices rose by 2% whereas the other prices remained unchanged, price level would rise, though by much less than 2%. Exactly how much it would rise will depend on the weight of changed price.
Imagine that we have created a particular basket of services and goods. We evaluate the price level at 4 different points in time during 2008 without changing content of basket (weights are unchanged). Assume that we find the below time series for the price level:
Point in time
Jan 1, 2008
Feb 1, 2008
March 1, 2008
April 1, 2008
Price level
60 770
62 400
62 850
"Nearly all critics agree that consumers have the most benefits in a perfectly competitive market." Does the above statement apply to microeconomics or macroeconomics? Why? Think a
Upon taking his first job at college your Dad earns an annual salary of $38,000 and set a goal to earn $10000 per year. If his salary increases at an average annual rate of 12% how
Energy Infrastructure: Electricity is one of the main determinants of the quality of life. In India, the power sector has not kept pace with the growth in demand resulting in
unplandned change in inventory are coutned as investment spending by firms
Assume two individuals, A and B, are considering marriage, and each face the same amount of hours a week to be split between market-labor and home-labor. Assume that A can make $2
Illustrate the problem for UK economic performance This is a foremost problem for UK economic performance and helps elucidate the persistent deficit on the current account of
1 .Use the concepts of sampling error and z- scores to explain the concept of distribution of sample means. (this is a paragraph answer needed) 2. Describe the distribution
State the Price level and time We are rarely interested in the value of price level at a specific point in time. What we are interested in is percentage change in the price lev
A rise in the real wage will bring a decrease in the quantity demanded of labor because of diminishing returns in production. As more and more labor is employed, it is increasingly
Q. Money market with inflation and constant money supply growth? If π M = π and π e = π, both IS- and LM-curve will be fixed. Figure: The money market with inflatio
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd