Which policies would bring economy to potential output
Assume that marginal propensity to consume is 0.8, and potential output is $800 billion. If current real GDP is $850, which of the following policies would bring the economy to potential output?
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Company B, 40%; Company C, 10%; Company D, 5%; Company E, 7%; and Company F, 8%. What is the Herfindahl index for this industry?
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