Detailed answers required

1. Ross is mentally disabled. He enters his local BMW showroom and enters into an agreement to purchase a new M3 coup for 50,000. Ross later regrets entering into the agreement and argues that, due to his mental disability, the agreement is not binding. Is he correct?Discuss in detail.

2. Outline four advantages of a controlled market structure

3. Outline the features of perfectly competitive market structure

4. Define the term 'market equilibrium'

5. Outline the factors that may lead to the occurrence and persistence of a a market disequilibrium

6. Distinguish between the 'multiplier ' and the 'accelerator' as used in national income statistics

7. Explain four factors that could limit the application of the multiplier in developing countries

8. Explain five factors that determine the macroeconomies level of consumption in an economy

9. Discuss ten limitations of using national income statistics to compare the standards of living between different countries

10. Outline five problems associated with the expenditure approach of measuring the national income of a country