Calculate the income level if consumption is equal to 1000 crores and the consumption funciton is C=750+0.5Y.
Explain how the output is determined in the Keynesian Cross model. Use a diagram to illustrate your answer. Explain why the saving reduces the equilibrium level of output in the Keynesian Cross model. How is fiscal federalism practised in Nigeria?
Item {eq}x {/eq} demand function is {eq}Q_d = 8 - 2p {/eq}, but the supply function is {eq}Q_s = -7 + 3p {/eq}. Calculate the equilibrium price, quantity, and total income ({eq}TR {/eq}). Market Equilibrium: The law of...
Monopoly Equilibrium:In a monopoly market, there is a single seller or producer of a product or service. As a result, the equilibrium price is dictated by the seller, who has the power to set prices at a level that maximizes their own profit. Oligopoly Equilibrium:Oligopoly refers to a mar...
Break-even price is a fundamental concept in finance that determines the price at which a business or product achieves a break-even point. This break-even point refers to the level of sales or revenues required for a business to cover its total costs, resulting in neither profit nor loss. ...
Join millions of self-starters in getting business resources, tips, and inspiring stories in your inbox. Email here Subscribe Subscribe Unsubscribe anytime. By entering your email, you agree to receive marketing emails from Shopify. By proceeding, you agree to theTerms and ConditionsandPrivacy Polic...
The point where the demand and supply meet is the equilibrium price. The area above the supply level and below the equilibrium price is called product surplus (PS), and the area below the demand level and above the equilibrium price is the consumer surplus (CS). ...
The Shopify Podcast Founder Stories Ecommerce Business Tips See All topics Enterprise Blog Join millions of self-starters in getting business resources, tips, and inspiring stories in your inbox. Email here Subscribe Subscribe Unsubscribe anytime. By entering your email, you agree to receive marketing...
Calculate the MPC, MPS, and the multiplier. Consumption function The consumption function represents the relation between income and the consumption levels. It is based on the Keynes' famous psychological law of consumption. This law states that as income/GDP l...
normal profit should occur in conditions ofperfect competitionandeconomic equilibrium. Conceptually this is because competition eliminates economic profit. Moreover, economic profit can serve as a key metric for understanding the state of profits comprehensively within an industry. When a company or compan...