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    Macroeconomics Study Set 17
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    Exam 8: GDP: Measuring Total Production and Income
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    How Can a Firm Have a Negative Valued Added,as Supposedly
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How Can a Firm Have a Negative Valued Added,as Supposedly

Question 235

Question 235

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How can a firm have a negative valued added,as supposedly some state-owned businesses did in the former Soviet Union? What has to be true for value added to be negative?

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A negative value added means that the co...

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