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sergey [27]
3 years ago
11

2. Suppose that your government introduces an investment tax credit, which subsidizes domestic investment.

Business
2 answers:
victus00 [196]3 years ago
7 0

Answer:

National savings : there would be an increase in National savings due to the increase in real rate of interest

domestic investment: there would be increase in domestic investment  

Net capital outflow: there would be a reduction in net capital flow

interest rate : there would be an increase in investment loans which will cause an increase in interest rate

exchange rate; there would be an increase in the exchange rate due to the scarcity/ reduction in net capital outflow

trade balance: The rate of export will be reduced and this will lead to a trade deficit

Explanation:

Investment tax credit is an economic policy introduced by the government which enables Domestic Businesses to deduct a specified percentage of an investment cost from the Tax payable to the Government i.e tax been owed the government by the business and this helps in subsidizing domestic investment if this policy is passed into law it will greatly help in subsidizing domestic businesses. how does this policy affect:

National savings : there would be an increase in National savings due to the increase in real rate of interest

domestic investment: there would be increase in domestic investment  

Net capital outflow: there would be a reduction in net capital flow

interest rate : there would be an increase in investment loans which will cause an increase in interest rate

exchange rate; there would be an increase in the exchange rate due to the scarcity/ reduction in net capital outflow

trade balance: The rate of export will be reduced and this will lead to a trade deficit

Inga [223]3 years ago
4 0

Answer:

Explanation:

If the Congress passes an investment tax credit, this move will subsidizes domestic investment.

The drive to increase domestic investment causes firms to go for more loan, thus increasing the demand for loanable funds.

This causes the real interest rate to go up, consequently reducing the net capital outflow.

The downward slide in net capital outflow reduces the cash flow in the market for foreign exchange, invariably raising the real exchange rate.

The trade balance in the market also moves toward fiscal deficit, because net capital outflow, then the net exports, is lower.

The higher real interest rate also increases the quantity of national saving.

In short as saving increases, domestic investment increases, then net capital outflow declines, the real interest rate increases, the real exchange rate increases, and the trade balance moves toward a minus and deficit.

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Answer:

The correct answer to this question is A) because resources are not equally good in each production activity.

Explanation:

PPS or Production possibility frontier ( which is often as production possibility curve ) shows the possible combinations( of two products or services) with maximum outputs that can be produced in an economy when all the available resources are fully and efficiently used.

The reason why opportunity cost is increased while moving along PPS is because when we increase the output of one good , that means we are allocating more resources towards this good ,that means we will be left with the fewer resources to carry out the production of other good , so therefore the opportunity cost would increase.

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4 years ago
Inspiring and motivating people with a mission or purpose is a ______________ for developing an organization that can learn and
sergij07 [2.7K]

The correct answer is B. Necessary but not sufficient condition goal

Explanation:

A necessary condition for a goal refers to a condition or factor that is mandatory to achieve a goal. For example, to obtain a bachelor's degree a necessary condition is to complete a bachelor's program. Besides this, a condition is sufficient if no other conditions are required, this applies to the previous condition as the main requirement for a bachelor's degree is to complete all the courses or program.

In this context, inspiring and motivating people in the goal of making an organization that can learn and adapt is a necessary condition because organizations require cooperation and group work and this is achieved if people of the organization feel inspired and motivated. However, this is not the only condition, and therefore it is not sufficient as other factors such as a budget, a clear plan, etc. are needed.

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4 years ago
You are the executive director of the local animal humane society. A staff member you supervise has been working at the society
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Answer: Delegation

Explanation:

Delegation is one of the beauty of leadership. When a leader leads and wants to do everything, those under him would find it growing or come out of their shells but delegation would bring them out of those shell, expose them and expose or display the leader in them.

Another thing delegation does while making people lead is that it makes them value the products, job or organization than how they saw it previously.

As an executive director, I would love to delegate so they take those tough roles important

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3 years ago
Most colleges and universities have a campus activity board that brings entertainers and special events to campuses. To locate a
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Answer:

(C)

Explanation:

Premiums is something given as a reward, prize, or incentive.

In this case, the college entertainers offered an incentive or reward (premiums) to the people who came to see them perform.

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For example, a grocery store may give free sweets to children who accompany their parents to the store.

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3 years ago
Schuepfer Inc. bases its selling and administrative expense budget on budgeted unit sales. The sales budget shows 3,500 units ar
Ugo [173]

Answer:

The cash disbursements for selling and administrative expenses on the March selling and administrative expense budget should be $44850.

Explanation:

For computing the cash disbursement the following equation is to be used which is shown below:

= Sales units × variable selling and administrative expense per unit + Fixed selling and administrative expense - Depreciation

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= $14,000 + $35,850 - $5,000

= $44,850

Since all information is given on month basis, so we don't need to change in year basis as we have to calculate for march monthly only.

Hence, all things is to be considered for computing cash disbursement for march month.

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