New answers tagged supply-and-demand
0
votes
Net Surplus and first party products calculation on digital platform
\begin{equation}
n_s = r_s + \beta_s n_b - A_s \tag{1}
\end{equation}
\begin{equation}
n_b = r_b + \beta_b n_s - A_b \tag{2}
\end{equation}
Substituting (1) into (2) we get
$$
n_b = r_b + \beta_b
\...
- 26.2k
0
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Chain effects when Money Demand is greater than Money Supply
Always keep in mind that the total quantity of money in the economy
is not altered by the attempts of individuals to change their own holdings
of money.
The currency or checking account balance that ...
2
votes
Is supply-caused inflation different from demand-caused inflation
The increase in M2 in the last 2 years caused by the Fed appears to be one of the main causes of the current inflation in the U.S. There should be a third option central-bank-caused-inflation (which ...
- 17
2
votes
Is supply-caused inflation different from demand-caused inflation
Inflation can be caused by a significant increase in money supply and credit expansion. If this increase is not accompanied by a corresponding increase in the supply of goods in the market, the prices ...
- 107
3
votes
Accepted
Is supply-caused inflation different from demand-caused inflation
Is supply-caused inflation different from demand-caused inflation
Trivially there is difference, "supply-side" (properly known as cost-push) inflation occurs when there is drop in aggregate ...
- 42.3k
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