0
Difference between marginal efficiency of investment and marginal efficicency of capital?
Wiki User
∙ 11y ago
MEC is the expected rate of return on capital and MEI is the expected rate of return on investment.
Wiki User
∙ 11y ago
Add your answer:
Earn +20 pts
Relation between marginal efficiency of capital and marginal efficiency of investment?
MEC is the highest rate of return expected from an additional unit of capital stock over its cost. MEI is the expected rate of return from one additional unit of investmeni.
What is a level of production in which the marginal production decrease with new investment?
diminishing marginal returns
How do you achieve allocative efficiency?
Allocative efficiency is an output level where the price equals the marginal cost of production. This is because the price that consumers are willing to pay is equivalent to the marginal utility that they get. Therefore the optimal distribution is achieved when the marginal utility of the good equals the marginal cost.
What is the difference between equi-marginal utility and diminishing marginal utility?
What is the difference between equi-marginal utility and diminishing marginal utility?Read more:What_is_the_difference_between_equi-marginal_utility_and_diminishing_marginal_utility
What is marginal profit?
In economics, marginal profit is the difference between the marginal revenue and the marginal cost of producing an additional unit of output.
Relation between marginal efficiency of capital and marginal efficiency of investment?
MEC is the highest rate of return expected from an additional unit of capital stock over its cost. MEI is the expected rate of return from one additional unit of investmeni.
What is a level of production in which the marginal production decreases with new investment?
diminishing marginal returns
What is a level of production in which the marginal production decrease with new investment?
diminishing marginal returns
How do you achieve allocative efficiency?
Allocative efficiency is an output level where the price equals the marginal cost of production. This is because the price that consumers are willing to pay is equivalent to the marginal utility that they get. Therefore the optimal distribution is achieved when the marginal utility of the good equals the marginal cost.
What level at which the marginal production goes up with new investment?
The level at which marginal production goes up with new investment is generally referred to as the point of diminishing returns. Beyond this point, each additional unit of investment yields a smaller increase in output or productivity. This occurs as resources become more scarce or inefficiently allocated, resulting in a decrease in the marginal return on investment.
What is the difference between equi-marginal utility and diminishing marginal utility?
What is the difference between equi-marginal utility and diminishing marginal utility?Read more:What_is_the_difference_between_equi-marginal_utility_and_diminishing_marginal_utility
What is the relevant tax rate for investment decisions?
Marginal Rate
What is marginal profit?
In economics, marginal profit is the difference between the marginal revenue and the marginal cost of producing an additional unit of output.
Are municipal bonds a sound form of investing?
Municipal offer a very safe investment for a marginal return,this is considered a good investment.
How is the production function of the diminishing marginal product and constant marginal product an investment opportunity and illustrate the set of equilibrium conditions on a graph?
feedback inhibition
What is the difference between marginal cost and standard cost?
The main difference between standard cost and marginal cost is that in standard cost a target is set and in marginal cost there is no target set. Marginal cost is the change of the total cost due to the quantity produced.
What is an example of a multiplier effect?
K= I/(1-MPC) MPC is a marginal propensity to consume I = investment
