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3 years ago

When stock prices declined during the great recession, it caused aggregate demand to decrease because?

1 answer:

7 0

<span>During the recession, the prices of the shares decrease and cause the decrease of aggregate demand because there are alterations in the economy of the consumers and in the policies of production and prices of the companies and producers. The change in the distribution of income within the economy when the wages and salaries of consumers rise there is an impact on the economy that produces unemployment or reduction of wages due to a recession and the demand for products is significantly reduced.</span>

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2 years ago

True or False: You need a W-2 form only for filing your federal taxes, not your state taxes.

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3 years ago

Read 2 more answers

8. Problems and Applications Q8

Liono4ka [1.6K]

The quantity of manufacturing workers demanded will fall, the wage of manufacturing workers will rise and the quantity of manufacturing workers supplied will rise.

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In the macroeconomic model, a union among workers will increase the wage rate, thereby the supply of manufacturing workers will also increase.

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2 years ago

Some accountants argue that variances should be written off directly to cost of goods sold, regardless of materiality, because:

Citrus2011 [14]

I had to look for the options and here is my answer.

Some accountants assert that variances should be written off directly to the price of the sold goods, regardless or materiality because product proration would indicates that assets values on the balance sheet consist of the inefficiency costs.

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3 years ago

When Sue graduated from college, she got a job with a starting salary of $30,000. When Sue's sister Jan graduated five years

EleoNora [17]

Answer:

b. Jan earned a higher real salary.

Explanation:

The consumer price index rose 12 percent which means that with the same amount of money 5 years later you will be able to buy 12% less goods and services. Now in order to find who earned a higher real salary we will calculate how much higher was Jan's salary compared to SUE. If the difference in salary was more than 12% than Jan earned a higher real salary, if less than 12% then Sue earned a higher real salary and if =12% then both earned the same amount of real salary.

Difference in salary = 38,000-30,000=8,000

Percentage increase in salary = 8,000/30,000=0.266 =26.6%

Jan earned 26.6% more than Sue and the increase in the price index was 12% which means that Jan earned a higher real salary than Sue.

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4 years ago