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productive efficency is seen at the lowest point of average cost, which is also where the marginal cost curve cuts the average cost curve. Productive efficiency means that all resources have been allocate...

Definition: Economic growth is a long-term expansion of the productive potential of the economy.

Chain of Argument:

↑Primary Product dependency → ↓Terms of ...

A reduction in interest rates would lead to a boost in Aggregate Demand and therefore an increase in real national output. If the monetary policy committee decide to reduce interest rates then the incenti...

AD=C+I+G+(X-M) Interest rates (i) determine the return of saving money in a bank and the cost of borrowing money from a bank. Therefore, a fall in i means that the cost of borrowing falls and the return o...

The equilibrium price and quantity within a market for a good can be found at the intersection of the supply and demand curves. Therefore, we need to use a mathematical method to find the P and Q by equat...