Answer and Explanation:
(1) Decrease in investment = Decrease in money supply / Investment multiplier
= $60 billion / 5 = $12 billion
Real planned investment will decrease by $12 billion
The Federal Reserve decreased money supply by 60 billion and we wish to determine by how much this would affect real planned investment. We have therefore applied the investment multiplier to determine decrease in real planned investment. This is based on Keynes' theory of investment multiplier
20 = 23+124 ? mab
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Answer:
France having a comparative advantage over Germany in ships.
Explanation:
Comparative advantage is defined as the ability of a country to produce goods and services at a lower opportunity cost compared to other countries that produce a particular good. For example of country A produces cars at $300 cost, whole country B produces the Se car at cost of $1000 the country A has comparative advantage and should focus on producing cars.
In the scenario given Germany enjoys a comparative advantage over France in autos relative to ships.
This implies that France has a greater comparative advantage in ship production than Germany.
Answer:
D) They had a unilateral, express agreement.
Explanation:
In a unilateral contract, the offeror makes an express promise without a reciprocal agreement from another party. The offeror's express promise of payment requires that the other party performs.
In this case, professor Debby made an express promise to pay $50 to anyone that mowed her yard, and Max performed the yard mowing, therefore he is entitled to payment.
