If households and firms increase the level of private savings because they become pessimistic about the future, then:

1 answer:

8 0

<span>If people are saving their money because of pessimistic feelings about the future then it will have an impact on current spending in the economy. When people are saving instead of investing money or purchasing large items such as homes or vehicles than the businesses in those markets are affected. For example, if there is no one buying new houses, then builders will see a decrease in work and the companies that provide building supplies will be affected. The people in the companies will also begin spending less as there is less work and less money to go around which also affects the economy on a large scale.</span>

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muminat

Answer: low invol- Georgina Megan Dina

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Explanation:

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1 year ago

Suppose the number of people employed (E) is currently 100 and the number unemployed (U) is 10 and the labor force is fixed at 1

artcher [175]

Answer:

9.09% and 5.263%

Explanation:

The computation is shown below:

a. The current rate of unemployment is

= Number of Unemployed people ÷ labor force

= 10 ÷ 110

= 9.09%

b. The natural rate of unemployment is

= Separation rate ÷ Separation rate + finding rate

= 0.01 ÷ 0.01 + 0.18

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3 years ago

A lender estimates that the closing costs on a $165,000 home loan will be $6,187.50. The actual closing costs were 3.5% of the l

Ivanshal [37]

Home loan amount = $165,000

Estimated closing costs = $6,187.50

% of estimated closing cost = ?

$165,000 * x% = $6,187.50
x% = $6,187.50 ÷ $165,000
x% = 0.0375
x = 0.0375 x 100 = 3.75

Therefore, estimated closing costs = 3.75% of loan amount = 3.75% of $165,000

Actual closing costs = 3.5% of loan amount = 3.5% of $165,000 = $5775

Difference in estimated and actual closing cost percent = 3.75% - 3.5% = 0.25%

The closing costs were lower than the estimate by 0.25%

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3 years ago

Read 2 more answers

Fairway's april sales forecast projects that 7,400 units will sell at a price of $11.90 per unit. the desired ending inventory i

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Purchases = Sales units + Closing inventory - Beginning Inventory
= 7,400 + (2,400 * 120%) - 2,400
= 7,800 units

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A consumer downloads 4 movies and 3 apps per week. Suppose the price is $4 per movie and $4 per app, and the marginal utility th

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Marginal utility will be calculated for movies by: 14/(4*4) which would mean 0.875 utils per dollar per movie. Whereas, for apps, it would be: 8/(3*4) which would mean utils per dollar per app to be 0.667. Hence, movies tend to carry higher utility.

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3 years ago