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Ludmilka [50]
3 years ago
12

The U.S. federal government can spend money in a variety of ways. For example, the government could build a major new naval trai

ning facility in the landlocked state of West Virginia, or improve the nation’s transportation and communication systems. Suppose RGDP is below the full-employment level. If the government spends the same amount of money on either project, how will the results differ if the government chooses to improve the country’s transportation and communication systems rather than build a naval base in West Virginia?A. The increase in RGDP will be greater, and the increase in the price level will be smaller.B. The increase in RGDP will be greater, but so will the increase in the price level.C. The increase in RGDP will be smaller, but the increase in the price level will be larger.D. The increase in RGDP will be smaller and so will the increase in the price level.E. The effects of the two projects will be identical as long as the amount spent is the same.
Business
2 answers:
Katena32 [7]3 years ago
7 0

Answer: The answer is A

Explanation:

The real GDP is used to measure the price of all the goods and services produced in a country in a given period of time. When the economy is below full employment level, it indicate the presence of deflationary gap or recessionary gap in the economy. When the economy is below the full employment the real GDP will be greater but the increase in price level will be smaller the reason been that the increase has no effect on the price level of goods and services.

The deflation means a decrease in the quantity of money in circulation or a fall in prices of goods and services. The increase in the spending on the economy by the government such as the spending on the building of a Navy base or on the spending on transportation and communication would only succeeded in increasing the Real GDP but will have no effect on the price level. When there is a deflationary gap or recessionarygap in the economy, the government of a country may introduce a deflationary policy in order to influence the economy. This is done by credit squeeze, a reduction in government expenditure or a reduction in the total supply of money in the economy

dem82 [27]3 years ago
6 0

Answer:

Option A is correct

Explanation:

Since transportation system and communication system adds a reasonable percentage to gdp, there would be high increase in gdp which would mediate unemployment with small increase in price of demand because of increased supply.

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The probability of survival for an international business increases if it: Group of answer choices A. enters a national market a
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Answer:

A. Enters a national market after several other foreign firms have already done so.

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3 years ago
Should a speaker minimize his or her use of nonverbal communication?
Katyanochek1 [597]

no they should not   100% correct

8 0
2 years ago
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Indicate whether each of the following transactions represents an increase in net exports, a decrease in net exports, an increas
Alborosie

Answer:

Net export decreases and net capital outflow decreases

Net export increases and net capital outflow decreases

Net export decreases and net capital outflow increases

Net export increases and net capital outflow increases

Explanation:

Net export = export - import

export would comprise of goods and services produced in the US that are been sold to foreign countries

Import would comprise of foreign produced goods and services that are been sold in the US

Net export would increase when export occurs and decrease when import occurs

Net capital outflow measures the flow of funds in a country. It is the difference between purchase of foreign assets by the citizens of a country and the purchase of domestic assets by foreigners

Net capital outflow = purchase of foreign assets by citizens - purchase of domestic assets by foreigners

Net capital outflow is positive when purchase of foreign assets occur and negative when purchase of domestic assets occur.

1. the setting up of the factory is an import and there is a flow of funds into the US economy. Thus, net export and net capital flow decrease

2. A Apple computer is produced in the US. The sale to a German constitutes an export but there is a flow of fund into the US economy. net export increase and net capital outflow decreases

3. Sony is not produced in the US. the purchase of the TV constitutes an import and there is a flow of funds out of the US economy. Net export reduces and net capital outflow increases

4. The opening of the fashion company outlet in the UK constitutes an export and there is a flow of funds out of the US. Net export increases and net capital outflow increases

7 0
3 years ago
To determine the net cash provided (used) by operating activities, it is necessary to analyze Group of answer choices the curren
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Answer:

All of these.

Explanation:

All of these are the correct answer because to determine the net cash from the operating activities, there is a requirement of the current year's income statement, additional information such as depreciation and amortization and a comparative balance sheet. In order to get cash from operating activities, the changes and non-cash capital, other non-cash adjustments, depreciation is added to the net income.

8 0
3 years ago
If the exchange rate for Canadian and U.S. dollars is 0.92777 to 1, this implies that 13 Canadian dollars will buy ____ worth of
Mazyrski [523]

Answer:

U.S. dollars = 14.012 U.S. dollars

Explanation:

Below is the exchange rate:

0.92777 Canadian dollars = 1 U.S dollars

Thus to find the amount of U.S. dollars bought from the 13 Canadian dollars, just divide the 13 Canadian dollars from 0.92777. Therefore the resulting answer will be the U.S. dollars.

U.S. dollars = 13 / 0.92777

U.S. dollars = 14.012 U.S. dollars

8 0
2 years ago
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