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3 years ago

The classical economists felt that saving would be equal to investment because

1 answer:

6 0

<span>Classical economists felt this way because of the idea of 'interest rate flexibility'. This means that the classical economists believed in the idea that the economy would even itself out, or that the economy was 'self-regulating'. This lends itself to the idea that saving would be equal to investment because it does not take into consideration any shift in the economy.</span>

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If aggregate planned expenditures in the economy increase by $100 million, then real GDP will _____ $100 million.

nirvana33 [79]

Answer:

Real GDP will rise by $100 million

Explanation:

Aggregate Demand [AD] is total amount of goods & services, all sectors of an economy are planning to buy . So AD = Aggregate Planned Expenditure [APE]

Aggregate Supply [AS] is total amount of goods & services, all sellers are planning to sell. As total output value of goods & services produced is distributed among factors of production, AS = National Income [NY] = GDP

At equilibrium : AD or APE = AS or NY or GDP

If AD or APE increases by $100 million :

AD or APE > AS or Aggregate Planned Production or GDP . This implies willingess to buy > willingness to produce. So, inventory levels will fall below desired level. To mantain inventory level, production [AS] & income level [GDP] will rise till it becomes equal to risen AD or APE

So, GDP will also rise by $100 million

6 0

3 years ago

When you purchase an item in a store, you may be charged __________.

Bess [88]

<span>When buying any item in most stores, you are charged sales tax. Retailers, even smaller businesses are charged taxes for running their business. Businesses are able to pass on part of the burden to their paying customers in way of sales tax. So when you see an item marked as 99 cents, you will be paying slightly more than a dollar in almost all cases.</span>

5 0

3 years ago

Read 2 more answers

The positive relationship between price and quantity supplied, other things being equal, is considered to be:________

Bas_tet [7]

Answer:

The answer is D.

Explanation:

The correct answer is D. universally true for all markets

Other things being equal, as the price of goods and services increase, producers/firms tend to produce more(this is the popular law od supply) inorder to take advantage of the high revenue.

Unlike demand, for supply, price and quantity supplied are directly related.

4 0

3 years ago

Lower of Cost or Market The accountant for Murphy Company prepared the following analysis of its inventory at year end: Item Uni

Nina [5.8K]

Answer:

$52,860

Explanation:

The computation of the ending inventory using the lower of cost or market method is shown below:

Product Cost Net realizable value Lower of cost or NRV

RSK-89013 600 × $38 = $22,800 600 × $47 = $28,800 $22,800

LKW-91247 420 × $47 = $19,740 420 × $40 = $16,800 $16,800

QEC-57429 510 × $26 = $13,260 510 × $32 = $16,320 $13,260

Carrying value of the ending inventory is $52,860

7 0

3 years ago

Using email for ____ purposes has many benefits, including low cost, immediate communication, interactivity, and the ability to

Maksim231197 [3]

Answer: a. marketing

Explanation:

Using email for marketing purposes has become a very effective method of advertising since the advent of the internet and subsequently email services. It is quite low cost and yet has a wide coverage.

It also enables immediate communication that can be quite interactive thereby ensuring that customers can be personally catered for. It also allows for creativity in marketing as a multitude of methods can be used ranging from newsletters to posters.

6 0

3 years ago