How drop in export sales sets in ongoing recession


A. What is Tobin's q, and what does it have to do with investment? How Tobin's q is can be related to the neoclassical model of business fixed investment?

B. Suppose a loss in the export sales reduces GDP which causes a recession. Discuss that how drop in the export sales sets in an ongoing recession using accelerator model.

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Microeconomics: How drop in export sales sets in ongoing recession
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