Skip to Main Content
Microeconomics II
book

Microeconomics II

by D.N. Dwivedi
August 2011
Intermediate to advanced content levelIntermediate to advanced
368 pages
14h 51m
English
Pearson India
Content preview from Microeconomics II
Theories of Interest and Investment Decisions 223
and supply of capital goods. Capital goods are demanded because they are productive and can produce
goods and services that are in demand. us, he suggested the idea that demand for a factor is a derived
demand. In his view, the supply of capital goods depends on the consumer’s willingness to abstain from
consumption and to save a part of resources that could be used to produce capital goods. According to
Senior, creation of capital goods required abstinence from consumption and the interest was the ‘reward
for abstinence’. Senior’s theory was later improved by J.S. Mill which came to be
Become an O’Reilly member and get unlimited access to this title plus top books and audiobooks from O’Reilly and nearly 200 top publishers, thousands of courses curated by job role, 150+ live events each month,
and much more.
Start your free trial

You might also like

Macroeconomics, Third Edition, 3rd Edition

Macroeconomics, Third Edition, 3rd Edition

Professor David G. Tuerck
Economics DeMYSTiFieD

Economics DeMYSTiFieD

Melanie Fox, Eric Dodge

Publisher Resources

ISBN: 9788131797655