Question
For goods x1 and x2 with prices P1 and P2, if
dx1/dP2 is positive then,Solution
For substitutes, if price of one good increase the demand for the other good increases and vice-versa.
Which of the following activities can be undertaken by a payment bank in India, as per RBI guidelines?
(i) Acceptance of demand deposits
...Consider a standard Ordinary Least Squares (OLS) regression model: Yi=β0+β1X1i+ϵi. If the errors (ϵi) are serially correlated (autocorrelation) but ...
According to the Quantity Theory of Money (QTM), what is the predicted effect of a change in the velocity of money on the price level in the long run?
If the public consumes €100 billion less and the government purchases €100 billion more (other things unchanging), which of the following statement...
A person who is made redundant because of the contraction of an industry is a victim of?
Consider a closed economy wherein
C = 0.60 Yd , t = 0.25 , I = 900 – 30i , G = 800, L = 0.20 Y – 50i , M/P = 500
Where in Yd = Dis...
By _____________ economists refer to an unanticipated inflation that reduces the real value of outstanding government debt.
A card is drawn randomly from a deck of ordinary playing cards. You win Rs.900 if the card is a spade or a king. What is the probability that you will w...
Lorenz Curve is given by:
L(x) = 1/3 (X^3) + 2/3 (x^5). Calculate Gini Coefficient.
Consider an exchange economy with two agents, 1 and 2, and two goods, X and Y. Each agent's consumption set is in +R2. The endowments of agents 1 and 2 ...
