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"DTIC ADA143099: Macroeconomics And Public Policy. Revision." and the language of the book is English.


“DTIC ADA143099: Macroeconomics And Public Policy. Revision.” Metadata:

  • Title: ➤  DTIC ADA143099: Macroeconomics And Public Policy. Revision.
  • Author: ➤  
  • Language: English

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  • Internet Archive ID: DTIC_ADA143099

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Any industrial economy is limited in what it can produce by its natural endowments, its labor force, the state of its technology, its productive plant capacity and the exchange it makes of some of its output for that of the other national economies of the world. The value of its gross national product relative to its population is one measure of the economic well being of a nation. Within the institutional framework of an economy, the value of any one final good or service is basically determined by its desirability relative to other goods and service among all those who can exert a demand for it in the marketplace. The ability to exert a demand for a good or service in turn reflects the way in which the value of GNP is imputed and distributed by institutional arrangements among those having a hand in producing it. The productiveness of an industrial economy is manifested by the rate at which it consumes goods and services and the rate at which it adds to its productive capability. Additions to capital make possible increased output, but there must be an effective demand for, and consumption of part of the increased output so that there will be motivation for yet further additions. In an industrialized economy in the short run, demand for outputs and ability to produce output seldom precisely in the short run, demand for outputs and ability to produce output are seldom precisely synchronized and resultingly the growth that accumulating capital makes possible is hampered by persistent unemployment. At the same time, the industrialized economy is unable to provide on its own certain goods and services essential to its existence.

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