Question

with a few words, can you answer this question? How does each of the following infrastructure...

with a few words, can you answer this question?

How does each of the following infrastructure items affect aggregate supply? (a) highways, (b) schools, (c) sewage systems, and (d) courts and prisons.

Homework Answers

Answer #1

A.Highways can improve logistics which can boost up production and cause aggregate supply to increase.

B.Schools can improve the quality of human capital and can raise aggregate supply by developing more efficient and innovative techniques of production.

C.Sewage system-Sewage system can improve disposition of waste.It can indirectly raise aggregate supply,as it can be considered as an efficient technique of production.

D.Courts and prisons-I don't think courts and prisons can affect aggregate supply in any manner.

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