Assume that marginal propensity to consume is 0.8 and potential output is $800 billion. If the actual real GDP is $700 billion, government spending by would bring the economy to potential output
a. increasing; $20 billion
b. decreasing; $100 billion
c. increasing; $100 billion
d. increasing; $25 billion
Answers: 2
Business, 22.06.2019 02:40
Which of the following statements about brand names is true? brand names give the seller an incentive to provide consistently high-quality products and services in order to protect the reputation of the brand. brand names are always economically wasteful since they dupe consumers into buying more expensive goods and services that are no different from generic versions. it is always rational to prefer brand names over generic substitutes. read the following example and determine whether it illustrates a common critique or defense of advertising. musashi sees a commercial for a brand x clothing company that depicts the wearers of the clothes out having a good time with friends. although he doesn't particularly need new clothes, the commercial prompts him to buy a brand x t-shirt.
Answers: 3
Business, 22.06.2019 21:10
Which statement or statements are implied by equilibrium conditions of the loanable funds market? a firm borrowing in the loanable funds market invests those funds with a higher expected return than any firm that is not borrowing. investment projects which use borrowed funds are guaranteed to be profitable even after paying interest expenses. the quantity of savings is maximized, thus the quantity of investment is maximized. a loan is made at the minimum interest rate of all current borrowing.
Answers: 3
Business, 23.06.2019 02:00
Imprudential, inc., has an unfunded pension liability of $572 million that must be paid in 25 years. to assess the value of the firm’s stock, financial analysts want to discount this liability back to the present. if the relevant discount rate is 6.5 percent, what is the present value of this liability? (do not round intermediate calculations and enter your answer in dollars, not millions, rounded to 2 decimal places, e.g., 1,234,567.89)
Answers: 3
Assume that marginal propensity to consume is 0.8 and potential output is $800 billion. If the actua...
Mathematics, 24.09.2021 16:30
Mathematics, 24.09.2021 16:30
Physics, 24.09.2021 16:30
Mathematics, 24.09.2021 16:30
Mathematics, 24.09.2021 16:30
Mathematics, 24.09.2021 16:30
Mathematics, 24.09.2021 16:30
Social Studies, 24.09.2021 16:30
Chemistry, 24.09.2021 16:30