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zhuklara [117]
3 years ago
12

Assume wages and resource prices are flexible and the economy reached long-run equilibrium. What would be the long-run equilibri

um output if there was an increase in government spending
Business
1 answer:
Luden [163]3 years ago
5 0

Answer: If there is an increase in spending, it would affect the economy, because there is supposed to be an equality in the revenue generated and the cost

Explanation:

The long-run equilibrium can be described when a perfectly competitive market occurs having marginal revenue equating marginal costs, which is also equal to average total costs.

If there is an increase in spending, it would affect the economy, because there is supposed to be an equality in the revenue generated and the cost but in situations where cost exceeds economy, there would be an effect

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<h3>What is the profit margin?</h3>

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katen-ka-za [31]

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because savings are in the beginning of their financial lives,”

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