Use the IS-LM model to graphically illustrate the initial effect of each of the following on the equilibrium levels of output and the real interest rate. a. A reduction in the tax rate on capital increases desired investment by firms. b. An influx of working-age immigrants increases labor supply and lowers wages firms have to pay their workforce. c. Increased usage of mobile payment services such as Venmo has reduced the demand for money.
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Biochemical corp. requires $600,000 in financing over the next three years. the firm can borrow the funds for three years at 10.80 percent interest per year. the ceo decides to do a forecast and predicts that if she utilizes short-term financing instead, she will pay 7.50 percent interest in the first year, 12.15 percent interest in the second year, and 8.25 percent interest in the third year. assume interest is paid in full at the end of each year. a)determine the total interest cost under each plan. a) long term fixed rate: b) short term fixed rate: b) which plan is less costly? a) long term fixed rate plan b) short term variable rate plan
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Which theorem states that no two species competing for the exact same resources can coexist? which theorem states that no two species competing for the exact same resources can coexist? resource partitioning principle complex community network principle dominance species principle competitive exclusion principle?
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Use the IS-LM model to graphically illustrate the initial effect of each of the following on the equ...
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