Answer:
Explanation:
If the government changes taxes without changing government spending to eliminate the recessionary gap, will the minimum required change in taxes be greater than, smaller than, or equal to the minimum required change in government spending?
The minimum required change in taxes will be greater than that of the minimum required change in government spending
tax multiplier (mpc/mps = 0/8/0.2=0.4) is smaller than the government spending multiplier (1/mps= 1/.2=5) because of the initial increase in disposable income caused by the decrease in income tax will be saved rather than spent
Answer:
$444,444.44
Explanation:
Larry's life insurance corporation is trying to sell an investment policy that will pay you and your heirs a total amount of $32,000 per year
The required return on this investment is 7.2%
= 7.2/100
= 0.072
Since the cash flow is a perpetuity then, the amount that will be paid for the policy can be calculated as follows
PV= C/r
= $32,000/0.072
= $444,444.44
Hence the amount of money that will be paid for the policy is $444,444.44
Answer: Generally, when trying to solve a complex accounting problem in which there are obstacles and little knowledge about the subject, the most advisable thing is to work from a conceptual framework which serves as a guide to find a reasonable answer to the problem in question. In this case Marla was clearly working with a conceptual framework, and instead Jacob was not.
Answer:
<h2>The answer here would be option C. from the answer list or options given in the question which is the labor force participation rate will fall.</h2>
Explanation:
- Labor force participation rate basically reflects the total or overall number of people who are actively participating the labor or work force in the economy and are actually qualified and eligible to be officially part of the work or labor force.
- Hence,even if the number of eligible and qualified people or workers in the economy potentially increases and the overall size of the work or labor force remains constant,it essentially implies that much of the eligible and qualified laborers or workers is either unemployed or has not been properly mobilized or utilized in the labor or work force in the economy.It can also indicate that majority of the people who are presently participating in the labor force are not eligible or fully qualified as per their occupational or professional designation.
- Therefore,in this instance the labor force participation rate will decline as the overall proportion of employment of the eligible and qualified laborers or workers does not really increase in the economy.Therefore,even if the number of potential workers or the labor resource increase in the economy,it has not been properly or completely utilized or employed in the overall labor force.
Answer:
b. Jim may have been misrepresented in the story by the newspaper agency and the company might face legal consequences.
Explanation:
Jim has the right to take legal action against the company for releasing the story. The investigation had not been completed and all facts had not been established by the company.
Also the newspaper did not contact Jim to get his own side of the story before publishing, that could have revealed pertinent information about the case.
