What is the distinction between gross investment and net investment?
What will be an ideal response?
Gross investment is the total spending on capital goods. Net investment equals gross investment minus depreciation. From one year to the next, the capital stock increases by the amount of net investment.
Economics
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The above figure shows the market for pizza. Which figure shows the effect of an increase in the price of a complement such as soda?
A) Figure A B) Figure B C) Figure C D) Figure D
Economics
Suppose the government breaks up a single-price monopoly and turns it into a perfectly competitive industry
What will happen to price and the quantity produced? What will happen to the monopoly's economic profit and the deadweight loss associated with the monopoly?
Economics