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Why is it difficult to change the real capital


Why is capital formation important to the South African economy


Suppose the price of good x rises by 13% leading to a 11% increase in the demand for good y.  Calculate the cross elasticity of demand between goods x and y and determine whether they are substitutes or complements.


Positive externalities create ________ spillover ___________. The result is that the __________ benefit of production/consumption is greater than the __________ benefit. External benefits might be in the form of lower __________ for other parties or __________ revenues/profits for other parties.


Consider a government spending program you have read about in the news or research one online. In a well-composed post, explain the opportunity cost of that government decision. What was the next best alternative in your opinion? Describe how “scarcity” factors into the decision process. (Remember that all things are scarce.)


Calculate the GDP using EXPENDITURE APPROACH with the following hypothetical data:





Personal Consumption 3657





Depreciation 400





Wages 3254





Indirect Business Taxes 500





Interest 530





Domestic Investment 741





Government Expenditure 1098





Rental Income 17





Corporate Profits 744





Exports 673





Imports 704





Net Factor Payment 20






what are the effects of the deficits and debt on the stability of exchange rates?

what determines the rate of growth in output over periods of one or two decades? Over longer periods such as a century?


what relationship exists between inflation and unemployment?


what determines the cyclical behavior of output and employment? what causes recessions?


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