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zvonat [6]
3 years ago
13

According to the keynesian model, what are the two components of consumption spending? what factors determine how consumption ch

anges when real disposable income changes? explain.
Business
1 answer:
kkurt [141]3 years ago
5 0

A simple Keynesian model follows four principles:

<span>1. Accumulated expenditures, income, and output are the same.
2. All input of spending into the economy must equal all withdrawals
3. Investment is an input.
4. Saving is a withdrawal</span>

<span>
According to Keynesian analysis, of households intend to save more, they will become poorer. The theory about Keynesian analysis applies to economic where an increase in savings decreases the circular flow of income. S when the households save more, they are reducing the stream of income for other households and therefor diminishes the overall economic activity.</span>

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Suppose that the market demand curve for bean sprouts is given by P = 1,660 - 4Q, where P is the price and Q is total industry o
a_sh-v [17]

Answer:

In equilibrium, total output by the two firms will be option e= 300.  

Q = q_{1} + q_{2}

Q = 100 + 200

Q = 300

Explanation:

Data Given:

Market Demand Curve = P = 1660-4Q

where, P = price and Q = total industry output

Each firm's marginal cost = $60 per unit of output

So, we know that Q =  q_{1} + q_{2}

where q_{} being the individual firm output.

Solution:

P = 1660-4Q

P = 1660- 4(q_{1} + q_{2})

P = 1660 - 4q_{1} - 4q_{2}

Including the marginal cost of firm 1 and multiplying the whole equation by q_{1}

Let's suppose new equation is X

X =  1660q_{1} - 4q_{1} ^{2} - 4q_{1}q_{2} - 60q_{1}

Taking the derivative w.r.t to q_{1}, we will get:

X^{'} = 1660 - 8q_{1} - 4q_{2} - 60 = 0

Making rearrangements into the equation:

8q_{1} + q_{2} = 1660 - 60

8q_{1} + q_{2} = 1600

Dividing the whole equation by 4

2q_{1} +q_{2} = 400

Solving for q_{1}

2q_{1} = 400 - q_{2}

q_{1} = 200 - 0.5 q_{2}  

Including the marginal cost of firm 1 and multiplying the whole equation by q_{2}

P = 1660 - 4q_{1} - 4q_{2}

Let's suppose new equation is Y

Y =  1660q_{2} - 4q_{1}q_{2} -4q_{2} ^{2} - 60q_{2}

Pugging in the value of q_{1}

Y =  1660q_{2} - 4q_{2}(200 - 0.5 q_{2}) -4q_{2} ^{2} - 60q_{2}

Y =  1660q_{2} - 800q_{2} +2q_{2} ^{2} -4q_{2} ^{2} - 60q_{2}

Y =  1600q_{2} - 800q_{2} -2q_{2} ^{2}

Taking the derivative w.r.t q_{2}

Y^{'} = 1600 - 800 - 4q_{2} = 0

Solving for q_{2}

4q_{2} = 800

q_{2} = 200

q_{1} = 200 - 0.5 q_{2}

Plugging in the value of q_{2} to get the value of q_{1}

q_{1} = 200 - 0.5 (200)

q_{1} = 200 - 100

q_{1} = 100

Q = q_{1} + q_{2}

Q = 100 + 200

Q = 300

Hence, in equilibrium, total output by the two firms will be option

e= 300.

5 0
3 years ago
The following information has been provided by Hale Company: • Advertising expense $8,800; • Interest expense $3,800; • Rent exp
klemol [59]

Answer:

Hale’s total expenses in calculating operating income is $57000

Explanation:

Operating income represents profit realized in carrying out Hale Company primary activities

Only expenses incurred in are considered in calculation of Hale`s Operating Income

<em>Cost of Sales</em>

Cost of goods sold                        22200              

<em>Administration</em>

Rent expenses for store                18000

Depreciation                                    8000

<em>Selling and distribution expenses</em>

Advertising                                       8800

Total Expenses                               57000

6 0
3 years ago
Question 6
Scilla [17]

Answer:

C)refusing to work until certain demands are met.

Explanation:

The idea behind a strike is to remind the employer or owner of the company that workers are a key part of the production. Strikes are an effective form of protest because they can paralyze a factory or a firm.

Strikes are usually more effective when the workers cannot be easily replaced by the employer.

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3 years ago
Choose the correct statement.
Kamila [148]

Answer:

The correct answer is D. Choices that are the best for more than one person are said to be in the social interest.

Explanation:

The social interest is a concept sufficiently clarified in Company Law. The Capital Companies Law refers to it in terms of challenging social agreements: if an agreement is not in accordance with the corporate interest, it can be challenged. It is only negatively contested, that is, if the plaintiff can argue that the agreement is contrary to the social interest, so that it is not a validity requirement that the agreement be in accordance with the social interest. Likewise, if the administrators act against the social interest when they exercise their discretionary powers, they incur responsibility for violation of their duty of loyalty.

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3 years ago
7. How many schools does KwaZuluNatal<br> have​
Serggg [28]

Answer:

6, 148 schools

Explanation:

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3 years ago
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