Monopoly

A situation in which a single company owns all or nearly all of the market for a given type of product or service. This would happen in the case that there is a barrier to entry into the industry that allows the single company to operate without competition(for example, vast economies of scale, barriers to … Read more

LAW OF VARIABLE PROPORTIONS

In short-period when the output of a production is sought to be increased by way of additional application of the variable factor to a given quantity of fixed factors, law of variable proportions comes into operation. The law of variable proportions is that law which predicts the consequences of varying the proportions … Read more

Balance of payments as defined by prof kindleberger, ''it is a systematic record of all economic transactions of a country with the rest of the world in a given period of time.''The economic transactions mentioned in the definition includes all the visible and invisible goods imported and exported by a country.Foreign exchange is involved in … Read more

Macro economics is an aggregate study of the economy of a country.Economy means production,exchange,distribution and consumption activities of a country combined together. Hence, the study of the aggregate behavior of an economy is known as Macro economics.We study aggregate demand, aggregate supply, national income, national output, aggregate consumption, aggregate saving, aggregate investment, aggregate expenditure, general … Read more

Bahamian imports  generaly comprise of  foodstuffs, motor vehicles, oil, animal feed, petroleum products, clothing, machinery and appliances. The USA remains the major trading partner of The Bahamas, receiving almost $800 million in export receipts. Foodstuffs account for about $250 million of the imports from The United States.There are no quotas in The Bahamas on imports, and the … Read more

Similarities:

1) Both the analysis are based on the assumption that the consumer is rational and he is interested to maximize his total utility.   2) Both the approaches follow the proportionality rule. In one it is between price and marginal utility while in the other it is between price and marginal rate of substitution.   … Read more

An indifference curve is a contour line that slopes downward from left to right, showing equal levels of satisfaction on each of its points, with the given amount of income spent on different combinations. As the indifference curve is always convex to the origin it shows that the Marginal Rate of Substitutions (MRS) gradually falls, … Read more