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Economics: What are some unsolved problems in macroeconomics?
Economics: What are some unsolved problems in macroeconomics?
Expert Solution
Macroeconomics involves the study of the entire economy. The way the limited resources are utilized by a whole economy in production of goods and services for consumption is analyzed in macroeconomics. The following are some of the unsolved problems in macroeconomics:
1. Enacting of a regulation that guides the conversion of value of goods to the market prices considering the labour used in the production process.
2. Finding out if an arrangement of goods in a sequence of consumption affect a consumer?s choice in terms of preference who has the ability to buy all the goods.
3. Finding out the causes of the higher real return to stocks in average as compared to the return to bonds.
4. Explicit explanation of the reasons behind the higher trade between regions in a particular state as compared to trade between regions in separate states.
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