By M. L. Burstein (auth.)
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Substantial excess capacity was common; pump priming was plausible. Theoretical developments, due to Keynes, made it plausible to expect increased public spending to generate offsetting real savings. Theoretical developments, due to Harrod, made it plausible to expect resulting increases in demands for produced goods to stimulate investment expenditures (thus the acceleralor). In the 1970s, in country after country, public sectors haYe been sucking in growing quantities of outputs capable of satisfying economic wants and absorbing resources that otherwise would augment capitalgoods production.
The vacancy-rate is measured by the proportion of unrequited blue adhesion-requests to actual adhesions. The unemployment rate is the proportion of celibate orange molecules to the total of orange molecules. The quit rate is the proportion of orange particles peeling away from blue molecules over one year to the average number of adhesions during the year, just as the proportion borne by new adhesions to that number gives the annual hiring-rate. Operating the second model, in scenario A the molecules move sluggishly: celibate molecules meander lackadaisically, searching for partners.
They seek investment opportunity everywhere and in anything they consider prudently attractive that will be approved by regulatory authorities. e. meshing) of risks of possible ventures with those of initial portfolios is important, for example. Incremental funds may be raised in many ways. New shares may be sold. Convertible bonds may be floated. But it is unlikely that freshets of spontaneous deposits will flow in just as substantial outlets for global resource deployment are uncovered. C. deposits after the increase in the oil-price in late 1973-1974.