All categories

4 years ago

A lower interest rate increases consumption, investment, and , which _ aggregate demand.

Business

1 answer:

alukav5142 [94]4 years ago

6 0

A lower interest rate increases consumption, investment, employment, which results in an increase in aggregate demand.

You might be interested in

What is the expected value when a $1 lottery ticket is bought in which the purchaser wins exactly $10 million if the ticket cont

Nadusha1986 [10]

We expect to lose $0.37 per lottery ticket

<u>Explanation:</u>

six winning numbers from = { 1, 2, 3, ....., 50}

So, the probability of winning:

$P(win) = \frac{ no of favorable outcomes}{no of possible outcomes}$

$P(win) = \frac{1}{^5^0C_6} \\\\P (win) = \frac{6! X (50 - 6)!}{50!} \\\\P(win) = \frac{6! X 44!}{50!} \\\\P(win) = \frac{1}{15,890,700}$

The probability of losing would be:

P(loss) = 1 - P(win)

$P(loss) = 1 - \frac{1}{15,890,700} \\\\P(loss) = \frac{15,890,699}{15,890,700}$

According to the question,

When we win, then we gain $10 million and lose the cost of the lottery ticket.

So,

$10,000,000 - 1 = $9,999,999

When we lose, then we lose the cost of the lottery ticket = $1

The expected value is the sum of the product of each possibility x with its probability P(x):

E(x) = ∑ xP(x)

$= 9,999,999 X \frac{1}{15,890,700} + ( -1 ) X \frac{15,890,699}{15,890,700} \\\\=- \frac{5,890,700}{15,890,700} \\\\= - \frac{58,907}{158,907} \\\\= - 0.37$

Thus, we expect to lose $0.37 per lottery ticket

7 0

3 years ago

Javier Computer Services began operations in July 2019. At the end of the month, the company prepares monthly financial statemen

gavmur [86]

Answer:

wages expense 1,300 debit

wages payable 1,300 credit

--------------------------------

interest expense 200 debit

interest payable 200 credit

--------------------------------

account receivable 2,400 debit

service revenue 2,400 credit

----------------------------------

Explanation:

we recognize the wages expense for the current period and the liability that arise from that.

interest: principal x rate x time

time and rate should be in the same metric so we express the time in portion of a year.

From July 1st to July 31th a month has past so 1/12 of a year:

20,000 x 12% x 1/12 = 200

this will be the accrued interest for the period

we must record service revenue. As it is not collected it goes int oaccount receivable

6 0

3 years ago

Compare and contrast the academic and practitioners research communities

VMariaS [17]

Answer: compare and contrast the characteristics of the academic and practitioners research communities and explain which audience is going to present it's findings to and whyIdentify an example of a development project and what type of team you believed they used? Answer the questions to receive full credit:1) What factors should the firm take into account when deciding the make up of the teamincluding whether it should centralize its R&D activities?2) Describe an alternative type of team (or second approach - team construct, centralized activities, collaboration, etc.)FOR BOTH QUESTIONS SOME LEVEL OF COMPARISONS OF GOOD AND BAD

Explanation:

3 0

3 years ago

Bus 322 when the organization makes a large-scale change, such as organizational restructuring, the change would be considered:

Charra [1.4K]

Renovating. Hope this helps you.....

7 0

4 years ago

A marginal external cost of a product is equal to

Lyrx [107]

Answer:

the answer is D hope that helps you out

4 0

3 years ago

A lower interest rate increases consumption, investment, and __________, which ___________ aggregate demand.

A lower interest rate increases consumption, investment, and , which _ aggregate demand.