As much goods as we can and so money, The big Issue in economics that hasbeen explained like ‘’Demand creates it’s own Supply and so Supply creates its own Demand’’ also known as Equilibrium, this means the ideal situation in which economics must always be in order toboth Supplier and Consumer don’t have any shortage neither surplus. What does this mean? The quantity produced is the quantity demanded at a given price.
Mixed economies wishes to have a macroeconomicequilibrium in their nation, their economic cycle will be perfect, no contractions, no inflation nor depreciation; just equilibrium, but this is not what really happens, all economics have to passedthrough a cycle in which contractions, expansions, recessions, and inflations are found, no exceptions.
Particularly I like mixed economies because anyone can create good business and extract somemoney, I believe the closest model to a macroeconomic equilibrated mixed economy is the Keynesianism, this theory offers realistic economics: supply behaves normally when demand behaves as well, butwhen demand behaves extremely good from the producer point of view then supply increases a so prices (this way the supplier can obtain more money from sales and that is the idea from running a buss.)this increase in prices may bring inflation therefore the economy has the opportunity to improve its cycle, why?
This way government intervenes by activating stabilization policies into the economylike expansionary monetary policy that may not be so good for the nation’s capital but in a long period of time it may increase the original capital the nation counted on. Also ISI (import...