As much of the production process is done in 10kg batches and the products have little variation (only varying in weight), the total weight (kg) of output may be considered to be a good measure of capacity. It gives an easily understood maximum value to capacity and allows an analysis of the input resources required...
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As much of the production process is done in 10kg batches and the products have little variation (only varying in weight), the total weight (kg) of output may be considered to be a good measure of capacity. It gives an easily understood maximum value to capacity and allows an analysis of the input resources required...
displayed next 300 characters

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Relationship between interest rates and price of bond Keynes believes that people want to hold the same real amount of money. So, as nominal prices of goods increase, people will want to hold more money. This change in demand for money can be seen in Figure 3 whereby an increase in demand for money shifts the demand curve of money to the right from Md1 to Md2...	4 / 857
Why an economy may enter a recession A recession can be caused firstly by a negative demand shock. Here, fall in Aggregate Demand reduces Price and reduces Y below Y*. Such a shock could arise from a drop in consumer confidence, for example...	1 / 240
AGGREGATE DEMAND AND SUPPLY A rise in the general price level will cause a contraction in aggregate demand and a fall in the general price level will cause an extension in aggregate demand...	7 / 1949
ECO 360 Week Two Chapter Summary On the other hand, low enough unemployment will cause costs to rise faster than prices, with the result that inflation speeds up. In between the two extremes is a rate of unemployment just high enough that costs and prices rise at the same level, so there is no tendency for inflation either to speed up or slow down...	4 / 971