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Aggregate demand is the sum of consumption, investment, government spending and net exports.Consumption can change for various reasons such as changes in income, taxes, expectations about future income, a...
These are two arbitrage relations expected to hold in an international setting where capital can flow freely between different countries. In particular, the two conditions arise when investors can choose ...
Horizontal integration is where a firm acquires or merges with another firm within the same industry and at the same stage of production. When a firm merges with another at the same stage of production, m...
Monopolies happen when a single firm or a single producer is the only supplier in the economy. It is thus able to fix the price of its products/ goods and/or choose the quantity that will maximise its pro...
Consumer surplus is the difference between the price a consumer is willing to pay for a good, and the actual price of that good. Producer surplus is the difference between the price a producer is willing ...
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