What are the differences between the long run equilibrium of a perfectly competitive firm and the long run equilibrium of a monopolistically competitive firm? Which is more efficient? Which of the following is true of a perfectly co...
Which of the following are the cases when centrifugal force occurs ___? A、Purchase fewer good from outside the region, thereby reducing the cost of trade B、The demand for labor increases C、manufacturers move from other regions to the local regions, so the profits to the local manufacture...
True or false? Labor market equilibrium almost never occurs, even in the long term.Question:True or false? Labor market equilibrium almost never occurs, even in the long term.Labor Market Equilibrium:For the labor market to be considered at equilibrium, it is required that t...
Dawson and Segerson (2001) show that, with industry-wide targets and the threat of imposition of a costly mandatory policy (such as an emissions tax), an equilibrium in which the aggregate target is met but free-riding occurs can emerge. Thus in equilibrium some firms (namely, free-riders...
production and therefore raising the price level in the economy P1 -> P2. At P2Y2, where AD2 = SRAS1short-run equilibriumis reached. The distance between Y2 and Y1 is theinflationary gapthat opened. It occurs when the real output of an economy is above the potential output of the ...
This is for risk-management reasons: arbitrageurs realize capital losses when the price wedge widens, which deprives them of funds when they have the best use for them. Although arbitrageurs engage in risk management, they can exacerbate price volatility: when prices diverge, they may have to ...
the interest rate toward the equilibrium rate. The opposite occurs when interest rates are lower than the equilibrium rate: there is excess demand for money, causing investors to sell bonds to raise cash. This decreases the price of bonds, causing the interest rate to rise to the equilibrium ...
1 "The fact that nominal price and wages tend to rise more rapidly at the peak of the business cycle than they do in the trough has been recognized from the time when the cycle was first perceived as a distinct phenomenon. The inference that permanent inflation will therefore induce a ...
B) the demand curve for bonds shifts to the right and the interest rate rises. C) the supply curve for bonds shifts to the right and the interest rate falls. D) none of the above occurs. Answer: D 5) When prices in the stock market become more uncertain, the demand curve for bonds...
Labor Market Equilibrium(劳动市场均衡)