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masha68 [24]
3 years ago
7

A government deficit has increased from 30 to 50. The country's trade deficit is 100 and private savings equal 65 and investment

equal 90. If Ricardian neutrality holds true, after this change in the government's budget, private savings will equal:_____________
Business
1 answer:
viva [34]3 years ago
7 0

Answer:

If Ricardian neutrality holds true, after this change in the government's budget, private savings will equal 40.

Explanation:

S - I = X - M, where

S = Sp + Sg, where

Sp: private saving

Sg: Public saving = T - G

Sp + T - G - I = X - M

or,

Sp - I = (G - T) - (M - X) = Budget deficit - Trade deficit

Initially,

65 - 30 = 90 - 100 = - 10

When budget deficit falls to 50,

Sp - 90 = 50 - 100

Sp = - 50 + 90 = 40

Therefore, If Ricardian neutrality holds true, after this change in the government's budget, private savings will equal 40.

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4 years ago
The rest of the world sees problems; Martin sees opportunity. He made money in real estate and lost it when the recession hit. B
Ierofanga [76]

Answer:

Resilience

Explanation:

In psychology, the term resilience refers to the process of coping with trauma, tragedy or adversity and adapt to it. But it doesn't only refer to the process of adaptation but actually it involves personal growth. In other words, the person grows thanks to the adversity, the person also sees problems as an opportunity to learn and become a better person.

In this example, Martin sees opportunity where the rest of the world sees problems, he made money and lost it but he's wealthy again. We can see that Marty has coped with adversity (the recession) but he adapted to it and he found a way to go through that and earn a living and become wealthy again, thus, this is an example of high resilience.

8 0
3 years ago
If a player chooses a mixed strategy in a Nash equilibrium, this implies that the payoff from using that mixed strategy is the s
son4ous [18]

Answer:

False.

Explanation:

The concept of "Nash equilibrium" is been by economist and also by "gamers" in game theory. Nash equilibrium is so good for making decisions and the determination of strategies.

In playing this game, the players or participants can use the pure strategy or the mixed strategy. The mixed strategy is the use of different strategies randomly.

"If a player chooses a mixed strategy in a Nash equilibrium, this implies that the payoff from using that mixed strategy is the same as the payoff from using any of the pure strategies in it".

The statement given above is FALSE because the PAYOFF WILL INCREASE IF WE ARE TO PLAY A MIXED STRATEGY.

For instance if we have a head of 1 and -1, and a tail of -1 and 1, the payoff for pure strategy is likely one or minus one but for a mixed strategy it could be zero.

8 0
3 years ago
In the context of the external environment of an organization, the task environment: a. is formed by the interaction among a com
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Answer:

In the context of the external environment of an organization, the task environment: includes the sectors that conduct day-to-day transactions with the organization.

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In an organization setting, what is tagged as external environment entails the sectors that transacts with the organization on a day-to-day routine. Their forms of relationship on daily basis makes them to serve as external environment, they could be clients as the case may be.

3 0
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The following information regarding accessing external constraints:

  • It could be thrust upon an organization.
  • It permits for uncovering the things that are beyond the control.
  • The example involved national holidays or sick leaves.

If we accessing the external constraints so the delay could be avoided.

So, The other options seem incorrect

Therefore we can conclude that the flexible strategy is used to avoid the delay in assessing the external constraints.

Learn more about the external constraints here: brainly.com/question/17156848

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