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The PPF graph is a bowed out curve. The x-axis being quantity produced of one product/service and the y-axis being another quantity produced of a product/service. Any point on the curve is productive efficiency. Outside of the curve is unattainable and inside of the curve is inefficient.
Initially, the MPL and APL fall since there can be no jump in the level of capital used by these workers, and thus output put worker is less than before. However, as time goes on, actual invesmtent exceeds break-even investment and the level of capital increases until the old equilibrium value of capital per worker is reached. At this point, after convergence or time, the MPL and APL are restored to their original values (ceteris paribus).
As a consumer with a finite amount of resources there is a point where the product will become unattainable after it reaches a certain price. Price goes us, demand goes down, therefore the demand curve is downsloping in relationship to the increasing price.
The Efficient Frontier is a graph that shows the portfolio (combination of stocks and bonds) that would give you the highest return at each level of risk. Any point above that is unattainable without a change in risk, any point below is inefficient (that is you could receive greater return for that mix of stocks and bond then you are currently receiving).
First, one should keep in mind that money supply grows at some rate over time, though for solving simple economic problems it may be assumed the growth rate is zero, therefore, as a matter of simplicity one may take initial money supply level as given and in equilibrium. The supply of money is assumed to be independent of the interest rate and so in the simple model it is drawn vertically for the diagram with the nominal interest rate on the vertical axis and quantity of money balances displayed on the horisontal axis respectively. Let me demonstrate some economis reasoning for beginners. You start with an assumption the economy is in equilibrium: basically, supply equals demand (general equilibrium assumes no excess demand across all markets in the economy but the point is not here). If one was a neoclassical economist, a proof based on maths and marginal analysis would be provided to determine supply of money and demand for money in that initial equilibrium. The equilibrium is visualised via drawing a vertical line representing the money supply (MS) and a downward sloping curve/line being the money demand (MD). Their intersept gives values for the interest rate and quantity of money balances that make MS=MD and equilbrates the economy. Now one asks what will happen if MS increases. Visually one shifts the MS to the right to demonstrate it and realizes that ceteris paribus (meaning eveything else being constant) money demand is not affected so the equilibrium interest rate represented by the intersection of MD and MS is now lower and quantity of money balances higher. In a simple model like this a decrease in the interest rate would stimulate investment, and investment stimulates economic growth. So to sum up, a money supply increase reduces the interest rate (ceteris paribus), a reduction in the interest rate leads to an increase in investment, an increase in investment leads to the economic growth. Surely this is far from being the whole story but it puts some light on the problem. Any questions? :) (EDIT by someone else) Hmm... spoken like a true politician, sir. This is a really simple answer, actually. The fact of the matter is that it doesn't stimulate economic growth, it's only supposed to keep total bankruptcy away for a limited time. Well, that's what it is supposed to be used for, anyway.
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meet at the critical point on the diagram.
The PPF graph is a bowed out curve. The x-axis being quantity produced of one product/service and the y-axis being another quantity produced of a product/service. Any point on the curve is productive efficiency. Outside of the curve is unattainable and inside of the curve is inefficient.
The melting point or boiling point ...................
mesh sdr access point
Initially, the MPL and APL fall since there can be no jump in the level of capital used by these workers, and thus output put worker is less than before. However, as time goes on, actual invesmtent exceeds break-even investment and the level of capital increases until the old equilibrium value of capital per worker is reached. At this point, after convergence or time, the MPL and APL are restored to their original values (ceteris paribus).
This point is call the "triple point" and this is where all three lines meet together on the phase diagram.
This is the critical point.
The melting point or boiling point ...................
It would be Point C
This only occurs at a specific point on the phase diagram of a substance called the "triple point." This point corresponds to a certain pressure and temperature for an individual substance, since these are the axis values for a phase diagram.
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