Answer: Option (A) is correct.
Explanation:
Given that,
Money supply increases (M) = 12 percent
Velocity decreases (V) = 4 percent
Price level increases (P) = 5 percent
Real GDP (Y) = ?
According to the quantity theory of money,
Percent Change in M + Percent Change in V = Percent Change in P + Percent Change in Y
12% - 4% = 5% + Percent Change in Y
Percent Change in Y = 8% - 5%
= 3%
Therefore, change in real GDP must be 3%.
Answer:
The main advantage of the discounted payback period method is that it can give some clue about liquidity and uncertainly risk. Other things being equal, the shorter the payback period, the greater the liquidity of the project. Also, the longer the project, the greater the uncertainty risk of future cash flows.
Answer:
The purpose of this is to increase economic stability.
It can be concluded from the Labor Union goals that changes in the social and economic environment determine the goals of labor in a given period. Thus the First option is correct.
<h3>What is Economic Environment?</h3>
Economic environment refers to the External factors of the economy which affects the working of the Company. For example The rise in the prices of the fertilizer will affect the farmer.
The goal of the labor union defines the changing patterns of the social and the economic environment estimates the aim of the labor in the given period of the time.
Learn more about the Economic environment here:
brainly.com/question/5511643
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Answer: Option C
Explanation: In simple words, critical dilemma refers to the confusions and problems that may arise and are pretty hard to solve.
While implementing fiscal policies in an economy the authorities must have proper information however the information takes time and cost to get collected and processed.
This situation is called information lag and is a critical dilemma as the individuals in authority have to decide whether to go for information processing and collecting or not.
