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Q. Explain about Counter-Cyclical Policies?
Counter-Cyclical Policies:Governments may take many different actions to offset ongoing booms and busts of private-sector economy. These policies include fiscal policies (increasing government spending when economy is weak), monetary policies (cutting interest rates when required to stimulate more spending) and social policies (such as unemployment insurance) to sustain household incomes and spending even in a downturn.
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Economic profit and Economic loss: Economic profit is the excess if total revenue over total cost when the latter includes both explicit and implicit costs. It is the type o
ESTIMATION OF NATIONAL INCOME: In India, the first attempt to estimate national income and per capita income was made in the year 1867-68 by Shri Dadabhai Naoroji. This was fo
When is the price of a product demand determined? The price of a product is demand defined while the product is in fixed supply. This means that the price of the product is defin
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determinate equilibrium price and quantity. if Qd=7-1/2p AND Qs=1/4P-1/2
If producers expect future prices to enhance, current supply will decline in favor of selling inventories at higher prices later. In other words, supply will reduce (a shift to th
How might a “perfect” macro equilibrium be affected by (a) a stock market crash; (b) the death of a president; (c) a recession in Canada; (d) a spike in oil prices?
What are the factors that determine the volume of production?
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