Answer:
$180 billion
Explanation:
The consumption is an act of spending the money from an income. The marginal propensity to consume is the proportion increase in the amount that a consumer is spending. The savings then decline if the consumption increases. In the given scenario the consumption will not raise even if there is an increase in national income and taxes are kept fixed at previous level. This is because marginal propensity to consume is same.
Answer:
Maybe a loss in jobs?
Explanation: Because people who work for the oil company have to stop working idk
Answer:
The correct answer is a) The economy moves from a boom to a recession
Explanation:
The fiscal policy used by the federal reserve is the use of government spending and tax policies to contract or expand the economy.
If the Federal Reserve of the United States increases the interest rates it carries a contract policy of the economy. It is used to reduce the inflation and the economy moves from a boom to a recession
Answer:
a.
The current ratio is 2.7
b.
The acid-test ratio is 1.7
Explanation:
a)
The current ratio is a ratio to measure the liquidity of a firm. The current ratio calculates the amount of current assets per every $1 of current liability.
Current ratio = Current assets / Current Liabilities
Current ratio = (15000 + 5000 + 8000 + 20000 + 6000) / 20000
Current ratio = 2.7 or 2.7 : 1
b)
The acid test ratio is also a measure of liquidity that only takes into account the most liquid asset in calculation of the ratio and it excludes the inventory in the calculation.
Acid test ratio = (Current assets - Inventory) / Current liabilities
Acid test ratio = (15000 + 5000 + 8000 + 6000) / 20000
Acid test ratio = 1.7 or 1.7 : 1
Answer:
Intra-Industry Specialization
Dynamic Comparative Advantage
Product Life Cycle Theory
Explanation:
Ice wine is a special spirit that can only be made during a few months in the winter. The nations of Fruzenton and Grappovia are in different hemispheres, and each produces ice wine. During each nation’s winter, its ice wine industry produces enough to meet domestic demand and export to the other country. The ice wine exchanged between the two nations is nearly identical. Intra-Industry Specialization
For many years, the nation of Stilettopia’s high-heel shoe producers have struggled in the international market because strict labor laws have made it hard to get productivity out of Stilettopians. In an effort to stimulate its industry, legislators in Stilettopia approve a bill that reduces the minimum wage and extends the number of hours shoe laborers can work in a day. Once the new policies take effect, Stilettopian high-heel shoe makers have lower costs than international competition and are able to reduce prices to the point that there is demand to export their shoes. Dynamic Comparative Advantage
Since the turn of the century, nearly all X-ray machines purchased by hospitals have been made in Alloway. However, engineers in Osteoville recently designed an X-Ray machine that produces much more accurate results, leading to fewer malpractice cases and more reliable diagnoses. These new X-ray machines quickly become the industry standard. As a result of this, the production of X-ray machines is thriving in Osteoville, while firms in Alloway lose market share and begin trying to develop a new source of advantage Product Life Cycle Theory
