Classical point of view on depression.

Question

Want to see more full solutions like this?

Answer 1

Question

Chapter 24, Problem 1QE

To determine

Classical point of view on depression.

Expert Solution & Answer

Explanation of Solution

The classical economists’ emphasis the fact that free market leads to an efficient outcome and are self-regulating. They believe that there is wage-price flexibility, which help to maintain full employment in the economy. The classical economists believe that the labor unions have to eliminate; because they prevent the appropriate level of change in wage rate. As a result, the wage rate will reduce and unemployment will decrease, thereby depression will disappear. Thus, the classical economists consider depression as a political problem rather than an economic problem.

Economics Concept Introduction

Unemployment rate: Unemployment rate refers to the percentage of unemployed people to the labor force.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Students have asked these similar questions

Only #4 please, Use a graph please if needed to help prove

a-c

For these questions, you must state "true," "false," or "uncertain" and argue your case (roughly 3 to 5 sentences). When appropriate, the use of graphs will make for stronger answers. Credit will depend entirely on the quality of your explanation. 1. If the industry facing regulation for its pollutant emissions has a lot of political capital, direct regulatory intervention will be more viable than an emissions tax to address this market failure. 2. A stated-preference method will provide a measure of the value of Komodo dragons that is more accurate than the value estimated through application of the travel cost model to visitation data for Komodo National Park in Indonesia. 3. A correlation between community demographics and the present location of polluting facilities is sufficient to claim a violation of distributive justice. olsvrc Q 4. When the damages from pollution are uncertain, a price-based mechanism is best equipped to manage the costs of the regulator's imperfect…

Answer 2

Question

Chapter 24, Problem 1QE

To determine

Classical point of view on depression.

Expert Solution & Answer

Explanation of Solution

The classical economists’ emphasis the fact that free market leads to an efficient outcome and are self-regulating. They believe that there is wage-price flexibility, which help to maintain full employment in the economy. The classical economists believe that the labor unions have to eliminate; because they prevent the appropriate level of change in wage rate. As a result, the wage rate will reduce and unemployment will decrease, thereby depression will disappear. Thus, the classical economists consider depression as a political problem rather than an economic problem.

Economics Concept Introduction

Unemployment rate: Unemployment rate refers to the percentage of unemployed people to the labor force.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 3

Question

Chapter 24, Problem 1QE

To determine

Classical point of view on depression.

Expert Solution & Answer

Explanation of Solution

The classical economists’ emphasis the fact that free market leads to an efficient outcome and are self-regulating. They believe that there is wage-price flexibility, which help to maintain full employment in the economy. The classical economists believe that the labor unions have to eliminate; because they prevent the appropriate level of change in wage rate. As a result, the wage rate will reduce and unemployment will decrease, thereby depression will disappear. Thus, the classical economists consider depression as a political problem rather than an economic problem.

Economics Concept Introduction

Unemployment rate: Unemployment rate refers to the percentage of unemployed people to the labor force.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 4

Question

Chapter 24, Problem 1QE

To determine

Classical point of view on depression.

Expert Solution & Answer

Explanation of Solution

The classical economists’ emphasis the fact that free market leads to an efficient outcome and are self-regulating. They believe that there is wage-price flexibility, which help to maintain full employment in the economy. The classical economists believe that the labor unions have to eliminate; because they prevent the appropriate level of change in wage rate. As a result, the wage rate will reduce and unemployment will decrease, thereby depression will disappear. Thus, the classical economists consider depression as a political problem rather than an economic problem.

Economics Concept Introduction

Unemployment rate: Unemployment rate refers to the percentage of unemployed people to the labor force.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 5

Chapter 24, Problem 1QE

To determine

Classical point of view on depression.

Expert Solution & Answer

Explanation of Solution

The classical economists’ emphasis the fact that free market leads to an efficient outcome and are self-regulating. They believe that there is wage-price flexibility, which help to maintain full employment in the economy. The classical economists believe that the labor unions have to eliminate; because they prevent the appropriate level of change in wage rate. As a result, the wage rate will reduce and unemployment will decrease, thereby depression will disappear. Thus, the classical economists consider depression as a political problem rather than an economic problem.

Economics Concept Introduction

Unemployment rate: Unemployment rate refers to the percentage of unemployed people to the labor force.

Answer 6

Chapter 24, Problem 1QE

To determine

Classical point of view on depression.

Expert Solution & Answer

Explanation of Solution

The classical economists’ emphasis the fact that free market leads to an efficient outcome and are self-regulating. They believe that there is wage-price flexibility, which help to maintain full employment in the economy. The classical economists believe that the labor unions have to eliminate; because they prevent the appropriate level of change in wage rate. As a result, the wage rate will reduce and unemployment will decrease, thereby depression will disappear. Thus, the classical economists consider depression as a political problem rather than an economic problem.

Economics Concept Introduction

Unemployment rate: Unemployment rate refers to the percentage of unemployed people to the labor force.

Answer 7

Chapter 24, Problem 1QE

To determine

Classical point of view on depression.

Answer 8

Expert Solution & Answer

Explanation of Solution

The classical economists’ emphasis the fact that free market leads to an efficient outcome and are self-regulating. They believe that there is wage-price flexibility, which help to maintain full employment in the economy. The classical economists believe that the labor unions have to eliminate; because they prevent the appropriate level of change in wage rate. As a result, the wage rate will reduce and unemployment will decrease, thereby depression will disappear. Thus, the classical economists consider depression as a political problem rather than an economic problem.