2009 Economic Stimulus Plan

Sensation

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when marginal revenue equal to marginal cost,when marginal cost curve cut marginal revenue curve from the below and when price is greter than average total cost

The current cash reserve ratio (CRR) in India set by the RBI is 5% as on 21st august, 2009.

Some of the best sites for economics articles include The Economist, which offers in-depth analysis and commentary on global economic issues, and the National Bureau of Economic Research (NBER), known for its working papers and research studies. The Brookings Institution also provides insightful articles and reports on various economic topics. For a more academic focus, the Journal of Economic Perspectives is a valuable resource featuring accessible reviews of economic research.

Public demand is the demand placed on something by the public. It may be a product, a new law, or almost anything, and is the level to which the public does or does not want something.

The engineering cost curve are derived with the help of engineering production function . The productionfunction specified the techniques of production, the embodiment of labor and capital etc. It means that each production method is divided into sub activities corresponding to the various physical and technical phases of production for the particular commodity. Engineering production method/function are characterised by a limited number of methods of production. The production iso-quants are kinked reflecting that the factor subsititutablity is limited. It means that the factor of production can be substituted is only possible at kinked of iso-quants.

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While it is hard to predict the future, periods of recession have historically been followed by rapid recovery. This question is murky though, because one person's definition of "stronger" may be different from another's. For instance, one person might consider America "stronger" if it had universal health care, whereas another would see that as a massive weakness.

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The market clearing model is a model where prices adjust to equilibrating demand and supply meaning the quantity supply equals the quantity demanded. These models are useful for studying situations where prices are flexible.

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President Obama never promised that unemployment would remain below 8%. Members of his economic transition team (who would become members of his administration once he was inaugurated) released a report in early January that essentially said that stimulus was needed and then projected what the unemployment picture would look like if the Congress provided some stimulus. They projected that without stimulus, the unemployment rate would hit about 9 percent in 2010 and with stimulus, it could hold just under 8 percent. Their projections were wrong. As was the non-partisan Congressional Budget Office that reported similar projections. The problem is that neither the incoming Obama administration (or outgoing Bush admin) or the CBO knew just how bad the recession really was. In the month they made the projection, the country lost 750,000 jobs. In February 2009, the nation lost another 650,000 jobs marking the first time since 1939 (we know what happened then) that the nation had lost at least 600,000 jobs in 3 consecutive months. In other words, everyone's projections were off because their economic models were based on inaccurate (and un-heard of) data.

In short, the President never "promised" to keep unemployment below 8%. In fact, before he picked curtains for the Oval Office it was already at 8.1%. This is just a political ploy by the President's political opponents. This stuff is complicated enough without misinformation.

Normal goods are everyday things that the average person would own. Inferior things are more of a low quality item that is considered for poor people.

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This production period is called the short run production period. This means that the amount of capital in the firm is fixed and cannot change because it takes time for the firm to receive ordered capital. In this situation the firm must change labor and materials (variable inputs) in order to maximize profits. The opposite of the short run production period is the long run production period. In the long run all inputs are flexible and the firm can theoretically maximize profits at any level of capital.