Answer:
$2,800
Explanation:
The computation of the increase in consumption is shown below:
= Marginal propensity to consume × rise in income
= 0.70 × $4,000
= $2,800
Hence, the consumption would be increased by $2,800
We simply applied the above formula i.e. marginal propensity to consume is multiplied with the rise in income so that the correct answer could come
Answer:
The production level that maximizes Silky's profit is 
ties.
Explanation:
Hi
First of all, as we have 
, we need to transcript it as price in function of the quantity so
Then we need to find income function that is 
. After derivate it 
.
The optimum level is when we have 
, therefore,
, as we clear it for 
we find that
, finally as we have that is measured in hundreds of ties, the production level that maximizes Silky's profit is ties.
Answer:
- True
- False
- True
- True
Explanation:
When an economy has a strong balance sheet and a declining budget deficit, it means that there is less need to borrow from the market which would keep rates lower.
When the economy is weakening, the Fed will try to stimulate it by engaging in actions that weaken short term interest rates so that people and businesses can borrow at lower cost and invest or buy goods and services.
When investors are worried about the riskiness of other financial assets, they usually come to safer assets like U.S. Treasury bonds so that they do not lose money and this is what happened in the credit crisis of 2008. More demand for the bonds led to a rise in their price.
In the given situation, Amelia is wrong. Anyone who is fully aware and supported any criminal acts is considered a violator of the law. All people who participated in a criminal act is guilty of the crime.
However, it will only be punishable if there are witnesses and evidence.
The answer is...
A consumer uses goods and services to satisfy economic wants.
