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forsale [732]
3 years ago
9

Consider a hypothetical economy where there are no taxes and no international trade. households spend $0.80 of each additional d

ollar they earn and save the remaining $0.20. if there are no taxes and no international trade, the oversimplified multiplier for this economy is .
Business
1 answer:
KengaRu [80]3 years ago
7 0
The formula for the multiplier is 1 / (1 - MPC), whereby MPC represents the marginal propensity to consume. Applying the formula to our case, we get: M (multiplier) = 1/(1-0.8) = 1/0.2 = 5. The multiplier in this economy is therefore 5.
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Answer:

$2,253.35

Explanation:

external financing needed = EFN = [(total assets/total sales) x ($ Δ sales)] - [(total current liabilities/total sales) x ($ Δ sales)] - [profit margin x forecasted sales in $ x (1 - dividend payout ratio)]

total assets = $48,900

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current liabilities = $3,650

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In and beyond the Asia-Pacific region, ASEAN regularly engages with other countries. ASEAN is a major partner in the Shanghai Cooperation Organization and operates a global network of allies and dialog members, many of them considered a financial superpower and central Asia-Pacific co-operation union.

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The good is considered a necessity.

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