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If a firm has decreasing returns to scale their unit cost will increase as output increases. This is because the firm‘s costs are increasing as they increase their output, so the average (the total cost d...

A quality of Perfect competition is having perfect knowledge across the market between suppliers and producers, and PC is becoming more realistic as technology developes. This is because internet access e...

Definition of:Long-term economic growth - the sustained increase in output in an economy measured by an increase in real GDP over a period of timeFiscal policy - it is the use of government expenditure an...

Increases in Government Expenditure will result in an increase in National Output (Y). This is due to government expenditure (G) being one of the variables which make-up Aggregate demand (AD= C + I + G + ...

A 'strong' pound means that UK steel that is exported abroad becomes more expensive. This leads to a contraction of demand for UK steel in foreign markets and as a result sales will fall. Conversely, a 's...