Question

Sacrificing Ratio definition ​

Answer 1

Answer:

Sacrifice Ratio' is defined as the loss of output sustained by the economy to achieve reduction in the long-run inflation by one percentage point. Deriving sacrifice ratio by estimating Aggregate Supply Curve has been mostly used across literature

Answer 2

Answer:

The ratio in which in which exisiting partners forego their share of profit for the new/incoming partner is called the sacrificing ratio.

Formula:

Sacrificing ratio = old profit sharing ratio - new profit sharing ratio