by importing investment goods used for capital deepening
by importing investment goods used for capital deepening
by importing investment goods used for capital deepening
Usually, new technology will increase productivity in the economy. For example, if you replace a human in a factory with a robot that can work twice as quickly without breaks, productivity would increase.
A current account deficit can indicate a growing and healthy economy as in the short term it increases productivity and therefore increases exports in the future.
The government can use deficit spending to increase aggregate demand and pull the economy out of recession.
by importing investment goods used for capital deepening
by importing investment goods used for capital deepening
by importing investment goods used for capital deepening
Usually, new technology will increase productivity in the economy. For example, if you replace a human in a factory with a robot that can work twice as quickly without breaks, productivity would increase.
A current account deficit can indicate a growing and healthy economy as in the short term it increases productivity and therefore increases exports in the future.
Productivity is the baseline of an economy..Increase in Productivity means increase in .GDP.and increase in GDP means increase in the growth of economy..But growth should be balance and based on equity. So,.if productivity rises ,major section of population get food ,who sustain their life in rural areas. Productivity also generate employment opportunities , that makes rise in standard of living. It creates investment opportunities. This way we achieve better performance in development of a country and in HDI.. .
Centrally Planned Economy
All of Smith's ideas contributed in the American economy which lead to the increase of the productivity and output.
The government can use deficit spending to increase aggregate demand and pull the economy out of recession.
The government can use deficit spending to increase aggregate demand and pull the economy out of recession.
Deficit spending is spending money raised by borrowing. It is used by governments to stimulate their economy during times of depression or economic slow-down. Unless the borrowing is repaid, deficit spending will increase the national debt.
all of Smith's ideas contributed in the American economy which lead to the increase of the productivity and output, it also increased the competitions in the market.