Answer:Making Economic Decisions
Individuals are forced to make trade-offs every time they use their resources in one way and not in another. The cost of making a trade-off is known as opportunity cost—the value of the next best alternative that has to be given up to do the action that is chosen.
Explanation:
Answer:
Causes of stagflation in 1970:
1. The increase of oil prices and consequent increase of gasoline prices this phenomenon is known as cost push inflation.
2. Higher level of unemployment
Explanation:
Stagflation is the lethargic economic growth, depicted in factors such as high unemployment, happening while there are high rates of inflation in a given economy.
In 1970 the United States economy experienced stagflation because the oil prices reached historical high prices increases the cost of gasoline as well. As oil is the main raw material for producing gasoline the increase of oil prices caused a cost push inflation.
Usually economist believed that inflation was desirable as it was caused by the increase of demand, which mean that employment was being generated and therefore the need for consuming more goods and services was a logical explanation of the increase in demand. However, during the 70's this increase was the result of an externality (the increase of oil prices). At the same time the levels of unemployment rose in that decade creating the stagflation of the United States Economy.
Answer:
Following are the solution to the given point:
Explanation:
The transfer by consent of ownership of goods. In each auction house, and representative operating inside his names however on the orders of the person, will sell moving products on even a commission basis.
It increases the cost of the products, which increase the availability, due to the enhanced regulation. Incentives and taxes are some other governmental actions.
Many companies in the 1990s attempted downsizing
The main aim of downsizing was to become more efficient. Scholars compounds this business era by pointing out that the downsizing contributed to a greater feeling of empowerment among employees.
