Government and price-determination, Macroeconomics

Assignment Help:

Government and Price-Determination can be understood as follows:

The government might intervene in the market and mandate the maximum price (price ceiling) or the minimum price (price floor) for a commodity or service.

A price ceiling is the maximum price limit which the government sets to ensure that prices don’t rise above that particular limit (medicines)

A price floor is the minimum price which the Government sets to support the required commodity or service in a society (wages)

Social cost is the cost of an economic decision, whether private or public, borne by the society as a whole.

Marginal social cost is the change in social costs due to unit change in output.


Related Discussions:- Government and price-determination

Determine how global competition impacts your firm, • Select Facultyapprove...

• Select Facultyapproved publicly traded firm (prefer from Middle East or international unique company) which allows access to it financial information (inform me by email which co

Initial equilibrium position, Determine on any market the effect of the fol...

Determine on any market the effect of the following. Do each separately (on a separate graph) starting from an initial equilibrium position for each one. 1. increase in income

Give example to calculate the price level, Give example to calculate the pr...

Give example to calculate the price level Imagine that we have created a particular basket of services and goods. We calculate price level at four different points in time duri

Example of macroeconomics, Could you please tell me an example and describe...

Could you please tell me an example and describe example of macroeconomics?

Trends of trade shares, Trends of Trade Shares: India's share in total...

Trends of Trade Shares: India's share in total world exports in 1950 was 1.85 percent and the share in total world imports was 1.7 1 percent. The share of both exports and imp

Mutual funds into stock also funds from money market, How would the followi...

How would the following influence the growth rates of theM1 and M2 money supply figures over time? a. an increase in the quantity of U.S. currency held overseas b. a shift of f

The market demand for a factor, The market demand for a factor   The mar...

The market demand for a factor   The market demand curve for any input is not simply the horizontal summation of the individual demand curves of all the firms. This is due to th

Describe the goods in the circular flow, Goods in the circular flow ...

Goods in the circular flow If Y R is total value of all goods going from F R to F H , then total value added from all firms in the F R box is equal to Y R (they don't pu

Inflation, if govtment face cost push inflation which policy govtment shoul...

if govtment face cost push inflation which policy govtment should take to control inflatoin?

International Trade, How can an economy achieve mutual gain from Internatio...

How can an economy achieve mutual gain from International Trade?

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

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!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd