Answer:
total spending needs to increase by $0.4 billion
Explanation:
Calculation to determine how much total spending needs to increase or decrease
Using this formula
Increase or Decrease in total spending=Equilibrium income/Spending multiplier
Let plug in the formula
Increase or Decrease in total spending=$2 billion/5
Increase or Decrease in total spending=$0.4 billion
Therefore If the spending multiplier equals 5 and equilibrium income is $2 billion below potential GDP, then TOTAL SPENDING NEEDS TO INCREASE BY $0.4 BILLION to reach the potential real GDP level.
Answer:
Times of maximum fear is the best time to buy stocks, while times of maximum greed are the best time to sell.
Explanation:
<u>Behind the truism is the tendency of the markets to overshoot on both the downside and the upside. Part of the reason is a pure herd instinct that drives stock prices. The investor who takes an unbiased look at the market might be able to see the herd instinct at work and take advantage of the extreme ups and downs that it causes. That investor can buy low and sell high.</u>
<u>Unfortunately, it's easy to determine after the fact whether a price was too low or too high and even why. During the moment, it is monumentally difficult. Prices both affect and reflect the psychology and emotions of market participants.</u>
<u>For this reason, "buy low, sell high" can be challenging to implement consistently. Traders trying for a more objective view consider other factors to make a more informed decision. These factors include moving averages, the business cycle, and consumer sentiment.</u>
The negotiation process involves several steps such as preparing for negotiation; knowing your walk-away point; and working towards a common goal. The statement is True.
<h3>What is negotiation?</h3>
Negotiation is a process used to resolve issues that exist between two parties by agreeing on a common point with mutual consent and making compromises between the parties.
The process of negotiation involves preparing for negotiation by understanding the factors leading to an argument. It involves listening to both parties to make a mutual understanding and to achive a common goal.
Therefore, the statement is True.
Learn more about Negotiation, here:
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"Your question is incomplete, probably the complete question/missing part is:"
(T or F)
The negotiation process involves several steps such as: preparing for negotiation; knowing your walk-away point; and working towards a common goal.
Year . I believe this is the answer .
They can increase the wage they are offering. If this doesn’t work then the company must look towards automation or better advertising of their job listings, otherwise the company has to move to remain competitive.