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asked ago in Current Economic Issues by (1.7k points)
edited ago by
I want to release my main work. It contains the cause of business cycles and the solution in order to prevent them. Today it was released a way in order to increase economic activity by Moritz Kraemer endorsed by Ben Bernanke and my previous idea about strategical defense has gone. So there is my main work.                
                                                                                         Contact me in order to make a professional paper work if someone is interested, I don't have resources right now in order to make it.     
                                                                                            Ryan McConnell
commented ago by (1.7k points)
edited ago by
Considering that most of the investment covers costs the multiplier would be 1.3.                                                                           In the GDP equation the denominator is potential GDP = costs and profits.
commented ago by (1.7k points)
edited ago by
Data is done. (finally)
Personal wages plus extras= 11.5 trillion
Taxes to production = 2 trillion
Investment (I realized that investment is a cost. It's an increase of workers or a buy from other company(companies working for other companies)) = 3. 7trillion
Total costs = 17.2
Total consumption = 21.5 (GDP)
Overall profit = 25 %
With a personal consumption of 3 trillions over worker costs there is not necessary a multiplier.            It can be used if consumption decreases. If company to company trade (investment) decrease, there is necesaary another kind of multiplier, the transaction multiplier in order to minimize job destruction. If consumption in company to consumer firms decrease the wages multiplier is necessary. At this moment dividends and rents are being consumed and the propensity to consume is very high between householders. This is not the rule in every country.

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