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REAL PRODUCTION: The market value of all production measured in constant prices, after adjusting for inflation. Real production is typically measured with real GDP.

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Lesson 19: Monopolistic Competition | Unit 5: Evaluation Page: 21 of 22

Topic: Regulation <=PAGE BACK | PAGE NEXT=>

  • Government intervention to correct market control inefficiencies typically involves.

    1. One option is the use of antitrust laws to prevent or correct monopolization of a market.
    2. Another option is to regulating prices, usually through a regulatory commission or agency.
    3. A third option is for government to take over the ownership and control of the firm.

  • Given that the gains from intervention are minimal, but the costs are likely to be substantial, the best choice is just to let it be.


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AGGREGATE EXPENDITURES EQUATION

An equation that summarizes the four aggregate expenditures on gross domestic product by the four macroeconomic sectors. In the study of Keynesian economics, this equation is commonly used to summarize the demand side of the macroeconomy. The aggregate expenditures equation actually comes in three different versions depending on how many of the four sectors and their expenditures are included.

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Today, you are likely to spend a great deal of time at a flea market trying to buy either looseleaf notebook paper or a three-hole paper punch. Be on the lookout for attractive cable television service repair people.
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A scripophilist is one who collects rare stock and bond certificates, usually from extinct companies.
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