What is an investment good? Why are some investment goods unintended?
Answer to relevant QuestionsIn what ways do NDP and national income pro vide more specific information about an econo my's performance than does GDP? Imagine a three-firm, three-stages-of-production economy that produces one final good: a desk. Calculate the value added at each stage of production. What is dissaving? Describe a situation that would create dissaving in an economy. For each of the three income levels shown, pro vide appropriate data to satisfy or be consistent with the absolute and relative income hypotheses. What effect would an upward shift in the investment curve have on the equilibrium level of national income?
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