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dolphi86 [110]
3 years ago
14

Suppose a government finances its expansionary fiscal policy by borrowing from the public. Joseph is concerned that this will in

crease the demand for loanable funds, drive up interest rates, and leave less loanable money available for consumers and businesses. Joseph is concerned about the: A) boomberang effect. B) expansionary countereffect. C) ricochet effect. D) crowding-out effect.
Business
1 answer:
prisoha [69]3 years ago
6 0

Answer:

D) crowding-out effect.

Explanation:

In crowding out effect, government borrowing reducing private investment by increasing the interest rate.

<em>Whats is the crowding effect? The crowding out effect is an economic theory arguing that rising public sector spending drives down or even eliminates private sector spending.</em>

<em />

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The Superdry Brand is capability of supergroup would be considered costly to imitate.

What is Superdry brand known for?

  • The Superdry brand is owned by Superdry plc, a UK-based clothing manufacturer.
  • Superdry items merge Japanese-inspired graphics with vintage American styling. On the London Stock Exchange, it is traded.

What is Superdry brand personality?

  • The Superdry brand is dedicated to unrelenting innovation and is completely fixated on design, quality, and fit.
  • The company creates footwear, accessories, and clothing that is both affordable and of the highest quality.
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7 0
1 year ago
The Bell Weather Co. is a new firm in a rapidly growing industry. The company is planning on increasing its annual dividend by 1
SOVA2 [1]

Answer:

$287.01

Explanation:

The 2 stage dividend discount model would be used to determine the current value of the stock.

first stage

Present value in year 1 = (1.6 x 1.16) / 1.071 = 1.73

Present value in year 2 = (1.6 x 1.16²) / 1.071² = 1.88

Present value in year 3 = (1.6 x 1.16³) / 1.071³ =2.03

Present value in year 4 = (1.6 x 1.16^4) / 1.071^4 = 2.20

second stage

[ (1.6 x 1.16^4) x (1.06) ] / (0.071 - 0.06) = 279.17

Value of the stock = 1.73 + 1.88 + 2.03 + 2.20 + 279.17 = $287.01

4 0
2 years ago
If the reserve requirement is 25%, a new deposit of $1,000 leads to a potential increase in the money supply of
Nezavi [6.7K]

Based on the information given regarding the reserve requirements, there'll be an increase in the money supply by $4000.

A reserve requirement simply means a regulation by the Central Bank where commercial banks set a minimum amount that must be held in liquid assets.

Since the reserve requirement is 25%, a new deposit of $1,000 leads to a potential will lead to an increase in the money supply of $4000. This was calculated thus:

= $1000 / 25%

= $1000 / 0.25

= $4000

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2 years ago
_________ policy involves the decision to pay out earnings to shareholders or to retain and reinvest them in the firm. When dist
Norma-Jean [14]

Answer:

The blanks anwers are below

Explanation:

Kindly consider blanks in order:

Payout policy

Repurchasing

Maximize

Payout

Rise/Increase

Decline

Decrease

Sustainaible

maximizes

Some blanks may not match. The answers are correct although.

3 0
3 years ago
the burden of a tax falls entirely on sellers if group of answer choices the price elasticity of demand is unitary elastic the p
nadezda [96]

B) If the price elasticity of demand is zero, then all of the tax burdens fall on the sellers (perfectly inelastic).

<h3><u>How does price elasticity work?</u></h3>

A measure of a product's consumption change in response to a price change is called price elasticity of demand. Price elasticity is a tool used by economists to analyze how changes in a product's price affect its supply and demand. Supply has an elasticity similar to demand, and it's called the price elasticity of supply.

The relationship between a change in supply and a change in price is referred to as price elasticity of supply. By dividing the percentage change in quantity supplied by the percentage change in price, it is determined. What products are produced at what prices depends on the interaction of the two elasticities.

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