Answer: Trade Deficit ($10 Billion).
Explanation:
C=40+0.8Y
Ig=$40 billion
X=$20 billion
M=$30 billion
where,
Y - GDP
C - Consumption
Ig - Gross investment
X - Exports
M - Imports
Balance of trade or Trade balance = Exports - Imports
Since, Imports are greater than the exports, so the nation is experiencing a trade deficit.
Trade deficit = Imports - Exports
= $30 - $20
= $10 billion
Answer:
b. percentage change in the consumer price index.
Explanation:
Inflation is the increase in the price of a commodity, it is expressed as a percent change in the price of an item. We can calculate the inflation using percentage change in consumer price index.
Consumer price index measure the percentage of change in the price of a market basket of consumer goods and services.
Answer:
$900
Explanation:
As $1,000 is deposited in the account by Mr. Y in the Bank A. But the further requirement of the reserve is 0.10. So, it will amounts to:
Amount of reserve requirement = Amount deposited × Requirement of reserve
where
Amount deposited is $1,000
Requirement of reserve is 0.10
= $1,000 × 0.10
= $100
Therefore, the initial amount of the money that created by excess reserve is:
= Amount deposited - Amount of reserve requirement
= $1,000 - $100
= $900
Answer: c. it tends to reduce cultural myopia and enhance local responsiveness.
Explanation:
A Geocentric staffing approach means that a company picks those that it views as the most suitable for a job regardless of the country they are from. This means that although the company is in Canada, they can hire a person from Sudan if they feel the person is suitable for the job in question.
The main advantage of this is that it reduces cultural myopia which is the tendency to belief that a person's culture i.e western culture, works across the globe. For instance, going back to the earlier example, a person from Sudan would most likely know more about norms in Sudan than a person from Canada.
This would ensure that the people hired, can respond effectively due to this reduction in cultural myopia.
