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What is the economy in which the interaction of supply and demand determines price and output?
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∙ 10y ago
Market Economy
Wiki User
∙ 10y ago
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What determines the amount of output an economy produces?
The factors of production and the production technology determine the economy's output of goods and services. An increase in one of the factors of productionor a technological advance raises output.
What is equilibrium output?
It is the output of an economy that equates aggregate supply with aggregate demand.
What determines the supply and demand of the factors of production?
The demand for labor is a derived demand in that it depends on a company's decision to supply output in another market. This expansion in a market that has customers is the main factor in how much the demand for labor will increase.
What would cause the aggregate demand curve to shift to the right?
The aggregate demand curve will shift to the right as the economy expands. When that happens, the quantity of output demanded for a given price level rises.
What determinis the amount of output an economy produces?
haw the amount of output an economy produces can be determinis?
What determines the amount of output an economy produces?
The factors of production and the production technology determine the economy's output of goods and services. An increase in one of the factors of productionor a technological advance raises output.
What is equilibrium output?
It is the output of an economy that equates aggregate supply with aggregate demand.
What determines the supply and demand of the factors of production?
The demand for labor is a derived demand in that it depends on a company's decision to supply output in another market. This expansion in a market that has customers is the main factor in how much the demand for labor will increase.
What would cause the aggregate demand curve to shift to the right?
The aggregate demand curve will shift to the right as the economy expands. When that happens, the quantity of output demanded for a given price level rises.
What determines the output voltage and the current of a transformer?
The ratio of output windings to input windings determines the ratio of output voltage to input voltage. The ratio of current is the inverse.
The level of output the economy can produce in the long run is referred to as?
haw the amount of output in economy produces can be detreminis?
What determinis the amount of output an economy produces?
haw the amount of output an economy produces can be determinis?
What are the practical differences between simple multiplier and super multiplier?
The simple multiplier implies that investment is the central determinant of output. The super multiplier combines the multiplier with the accelerator that indicates that investment is not autonomous, but is part of derived demand. Hence, the super multiplier indicates that capacity adjusted output is determined by autonomous demand. Autonomous demand in the case of the super multiplier would correspond to government spending, exports and some elements of consumption (particularly the wealthy whose consumption is not constrained by income). The practical difference is that not only demand determines output in the short run, but also in the long run. The economic system is effectively demand driven and Keynes' Principle of Effective Demand substitutes Say's Law.
What is the demand curve for output of a perfectly competitive firm?
Demand = Price = Marginal Cost.
Why an economy's income must be equal to its output?
Because output generates income.
A deflationary gap occurs when an economy is in an expansion?
A deflationary gap occurs when ag­gregate demand is less than aggregate supply. Deflationary gap depicts a situation in which total spending in an economy is insufficient to buy all the output that can be produced without unemployment occurring.
How do you reduce elctrical harmonics?
You will need to calculate a capacitor at the output stage in order to prevent interaction with the networks connected after the output.
