Re: jnu

Posted by Amit Goyal on
URL: http://discussion-forum.276.s1.nabble.com/jnu-tp5059279p5063487.html

in an economy with unlimited supplies of labour the wage rate is fixed at 0.5 unit of consumption good per period.the economy has a stock of machines,each of which employs one unit of labour to produce either one unit of itself or one unit of consumption good.
a)wat is the relative price of consumption good in terms of machine?
Relative price is 1
b)wat is the rate of profit in the economy?
Rate of profit is 100%