Economics Answers

Rohan is appointed an economics’professor in a reputed university. In his first lecture,
students asked him to elaborate on Gross Domestic Product (GDP) and Gross National
Product(GNP). Help Rohan to prepare his first lecture on the given topic with relevant
example and highlight the differences between the two concepts.

1. Consider an economy that is described by the the following behavioural equations:
C = c0+c1(YT) T = b0+b1Y
G = G0
I = I0 NX = 0
0 < b1<1
a. Solve for the quilibrium output, and equilibrium consumption.

Is progress being made in the fight against poverty? Why or why not?

a) The principle of employment at will is opposed to the doctrine that employees have a right to .......................................

1、 The price of a shirt is 80 yuan, the price of fast food is 20 yuan, and the consumer is at the equilibrium point of the utility maximization of the two products.
Seek: Marginal rate of substitution of fast food to shirts

Explain how rational expectations are best expectations. Also explain the disadvantages of adaptive expectations.

What are the findings of Simon Kuznets about consumption and income? Explain how are these findings explained by different consumption theories?

Do you think tradeoff between inflation and unemployment exist? Explain in detail. Also explain it's relevance for policy use.

Discuss importance of government intervention in a market economy?

Is subsidy always beneficial?