Business, 21.12.2020 18:20 keiannabmoss

1. What is the eventual effect on real GDP if the government increases its purchases of goods and services by $60,000? 2. What is the eventual effect on real GDP if the government, instead of changing its spending, increases transfers by $60,000? Assume the MPC has not changed.
3. An increase in government transfers or taxes, as opposed to an increase in government purchases of goods and services, will result in:___.
a. a smaller eventual effect on real GDP.
b. no change to real GDP.
c. a larger eventual effect on real GDP.
d. an identical eventual effect on real GDP.

Answers: 2

Show answers

Another question on Business

Business, 21.06.2019 20:40

Which of the following explains why the government sets a required reserve ratio for private banks? a. to allow the government to control the interest rate charged on loans. b. to prevent banks from printing too much money and causing inflation. c. to make sure banks don't run out of money when customers make withdrawals. d. to enable the regulation of risk levels in the decision process of offering loans. 2b2t

Answers: 1

Answer

Business, 21.06.2019 23:30

As manager of kids skids, meghan wants to develop her relationship management skills. in order to do this, she learns how to

Answers: 2

Answer

Business, 22.06.2019 03:40

Electronics assembly inc. is a contract manufacturer that assembles consumer electronics for a number of companies. currently, the operations manager is assessing the capacity requirements as input into a bid for a job to assemble cell phones for a major global company. the company would assemble three models of cell phones in the same assembly cell. setup time between the phones is negligible. electronics assembly inc. operates two 8-hour shifts for 275 days per year. cell phone demand forecast (phones/year) processing time (minutes/phone) mars 47,000 19.8 saturn 35,000 20.7 neptune 7,500 16.2 a. calculate total capacity required by line. b. determine the total operating time available. c. calculate the total number of assembly cells. (round up your answer to the next whole number.)

Answers: 2

Answer

Business, 22.06.2019 06:30

Ummit record company is negotiating with two banks for a $157,000 loan. fidelity bank requires a compensating balance of 24 percent, discounts the loan, and wants to be paid back in four quarterly payments. southwest bank requires a compensating balance of 12 percent, does not discount the loan, but wants to be paid back in 12 monthly installments. the stated rate for both banks is 9 percent. compensating balances will be subtracted from the $157,000 in determining the available funds in part a. a-1. calculate the effective interest rate for fidelity bank and southwest bank. (do not round intermediate calculations. input your answers as a percent rounded to 2 decimal places.) a-2. which loan should summit accept? southwest bank fidelity bank b. recompute the effective cost of interest, assuming that summit ordinarily maintains $37,680 at each bank in deposits that will serve as compensating balances

Answers: 1

Answer

You know the right answer?

1. What is the eventual effect on real GDP if the government increases its purchases of goods and se...

Questions