What is neutrality of money? Does it present in short run, medium run or long run?...

What is neutrality of money? Does it present in short run, medium run or long run? Please explain.

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Rahul Sunny answered 1 year ago

In words explain Classical Dichotomy, Money Neutrality, and the Classical theory (short and long run).

Questions: 1. Economists believe in the “Long-run neutrality of money”; what does that mean? If monetary...

Questions: 1. Economists believe in the “Long-run neutrality of money”; what does that mean? If monetary policies help in the short run but do not help in the long run, should we not bother with those policies? What does this tell you about the current monetary policies of the Fed?

What will happen in the long run if companies are losing money in the short run?...

What will happen in the long run if companies are losing money in the short run? a. Companies will leave the marketplace, the market supply will shift to the left, and the price will rise until there is zero economic profit for the remaining companies. b. Companies will stay in the marketplace, the market supply and demand will be unaffected, and quantity supplied will drop. c. Companies will leave the marketplace, the market demand will decrease, and the price will...

a) What is the distinction between the short run and the long run? In reality, does...

a) What is the distinction between the short run and the long run? In reality, does a company operate in the short run or in the long run? How do you know? Is it a reasonable distinction to have for a company? b) With respect to profit and loss, what is the economic goal of business? How does maximizing profits accomplish that goal? What should, in your opinion, be the goal of a business?

What is the distinction between the short run and the long run? In reality, does a...

What is the distinction between the short run and the long run? In reality, does a company operate in the short run or in the long run? How do you know? Is it a reasonable distinction to have for a company? With respect to profit and loss, what is the economic goal of business? How does maximizing profits accomplish that goal? What should, in your opinion, be the goal of a business? Identify three types of industries that fit into...

What is the impact of money growth on economy (short run, adjustment period and long run)?

What is the difference in the short run and the long run? In the short run,...

What is the difference in the short run and the long run? In the short run, A. at least one of the firm's inputs is fixed, while in the long run, at least one of the firm's inputs is variable. B. at least one of the firm's inputs is fixed, while in the long run, the firm is either able to vary all its inputs, adopt new technology, or change the size of its physical plant. C. at least one...

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What is neutrality of money? Does it present in short run, medium run or long run?...

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