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(a)Describe the conditions that have to be satisfied for a market to be in the long run equilibrium. Discuss why they have to be satisfied.
- (a)Describe the conditions that have to be satisfied for a market to be in the long run equilibrium. Discuss why they have to be satisfied.
- (b)Assume that demand for good has increased. Explain what happens at this market in short-run, and how the market will again adjust in the long-run. Support your answer with graphs.
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Macroeconomics Principles And Policy
Authors: William J. Baumol, Alan S. Blinder
11th Edition
0324586213, 978-0324586213
