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To be used for general economics questions that are in some way related to personal finance, the subject of this site. Avoid asking questions that are speculative in nature, academic, or unrelated to personal finance.

17
votes
To add to Jason's answer; a further mechanism is that of monopoly rents which you mention in your question. Movie theatres are often in shopping complexes (which themselves may offer a particular cin …
answered Nov 4 '11 by Turukawa
15
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You're entirely correct. It's one of those "broken window" fallacies. Have you ever witnessed the anger of the good shopkeeper, James B., when his careless son happened to break a square …
answered Mar 15 '11 by Turukawa
6
votes
This isn't as rigorous as it should be, but may offer some useful insight into how big and small companies differ operationally. Putting Apple aside, larger companies tend to sell larger volumes of p …
answered Oct 13 '11 by Turukawa
3
votes
Growth and efficiency can occur independently of each other. For instance, if an economy consists of one inefficient business and then a second more efficient business opens to compete agains the fir …
answered Feb 7 '11 by Turukawa
3
votes
I would imagine quite the opposite. Employers can choose the start date and most are quite happy to keep potential recruits waiting until everyone is back from leave.
answered Sep 9 '10 by Turukawa
1
vote
Assume you're asking about things like the Consumer Price Index? Different countries have different approaches. If they're honest, then the statistical sampling is conducted independently and consis …
answered Aug 16 '11 by Turukawa
2
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The setting of interest rates (or "repurchase rates") varies from country to country, as well as with the independence of the central bank. There are a number of measurements and indices that central …
answered Oct 5 '10 by Turukawa
6
votes
3answers
I've just completed a consulting project in South Africa looking at various economic inputs required to reduce their 25-35% level of unemployment. It is estimated that for every 1% of new jobs create …
asked Dec 11 '10 by Turukawa
0
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"One of the most enduring and important questions in economics is whether foreign aid helps countries grow ... …
answered Jun 3 '11 by Turukawa
38
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Sensitive topic ;) Inflation is a consequence of the mismatch between supply and demand. In an ideal world the amount of goods available would exactly match the demand for those goods. We don't l …
answered Aug 28 '10 by Turukawa
2
votes
Let me see if I can restate your question: are speculative investments more volatile (subject to greater spikes and drops in pricing) than are more long-term investments which are defined by the predi …
answered Sep 20 '10 by Turukawa