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Suppose we assume that initially
,b±= 1,
;if
rises 2 percent and the real interest rate rises 2 percent,short-run output rises 2 percent.
Retained Earnings
The portion of a company's profits not distributed as dividends but reinvested in the business or kept as a reserve.
Common Shares
Units of ownership in a company that grant shareholders rights to vote on company matters and receive dividends, representing equity in the corporation.
Gross Profit
The income a company retains after subtracting the expenses related to the production and sale of its goods, or the expenses incurred from providing its services.
Non-Controlling Interest (NCI)
The portion of equity in a subsidiary not owned by the parent company, also known as minority interest.
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