Answer:
The correct answer is: supply side economics.
Explanation:
Supply-side economics is a macroeconomic theory which advocates lowering of taxes and decrease in regulation to boost economic growth. It is directly in contrast to demand-side economics.
This theory focuses on reducing taxes, decreasing regulations on producers and declining borrowing rates.
This theory states that economic growth can be stimulated by boosting investments through tax reduction.
Answer:
The correct answer is option c.
Explanation:
Externalities refers to the situation in which costs or benefits arising from the activities of someone are incurred or received by the some other third party.
Externalities can be classified into two types, namely, positive and negative.
In case of negative externalities the cost arising from the activities of some person are incurred by a third party.
Negative externalities lead to market failure.
Answer:
Future value equals the present value multiplied by one plus the rate of interest in decimals.
Explanation:
Future value = present value x (1 + interest rate)
Interest rate = present value x interest rate
Rationing is is the act of Limiting the amount of certain goods that civilians can buy. Rationing became common during the Second World War. Ration stamps were often used. These were redeemable stamps or coupons, and every family was issued a set number of each kind of stamp based on the size of the family, ages of children and income.
Answer:
The net present value of this project is $5,809.78.
Explanation:
Note: See the attached excel file for the calculation of net present value of this project.
In the attached excel file, the discounting factor is calculated as follows:
Discounting factor = 1 / (100% + required rate of return)^n
Where n is a particular year in focus.
From the attached excel file, we have:
Net present value = $5,809.78
Therefore, the net present value of this project is $5,809.78.
