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lisabon 2012 [21]
3 years ago
13

Economist A says all of the following: The economy needs expansionary fiscal policy to remove it from a recessionary gap. Govern

ment should either raise its _____________ or cut ___________________. I believe the government spending multiplier is ____________ than the tax multiplier, so I favor _____________________.
Business
1 answer:
lana [24]3 years ago
4 0

Answer:

The correct answer is:

Government should either raise its <u>expenditures</u> or cut<u> taxes</u>. I believe the government spending multiplier is <u>greater</u> than the tax multiplier, so I favor <u>this policy</u>.

Explanation:

To begin with, an <em>"expansionary fiscal policy" </em>represents the tool that a government has in order to give response to a recessionary context in where the economy is falling down by decreasing its production. That is why, that in this type of policy the actions that are to be taken comprehends the reduction of taxes that the public sector collects from the private sector and also to increase the public expenditures that the government has with the purpose to estimulate the demand and offer of goods.  

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3 years ago
In Mexico each unit of resource can produce either one professional computer or 3 computer games. Mexico has 30 units of this re
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Answer:

Explanation:

From the information given:

(a)

The total production available for the professional computers at the time Mexico uses all resources for production = 30

The total production of computer games at this time = 3 × 30 = 90

Thus, from above, the production possibility curve can be seen in the image attached below.

(b)

The opportunity cost of one professional computer is three computer games. This because, for them to produce one more computer, it is required that they give up three computer games.

(c)

Yes, it is subject to Increasing.

This because the opportunity cost of 1 computer = 3 games

For two computers = 2 ×  3 games = 6 games

For three computers = 3 ×  3 games = 9 games  ... and so on.

(d)

Professional computer production is considered a Capital good.

(e)

Mexico should increase the production of professional computers because they help in more rapid economic growth.

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3 years ago
As the price level falls a. people will want to hold more money, so the interest rate rises. b. people will want to hold more mo
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Answer:

The answer is C.

Explanation:

As the general price level decreases or falls, people will want to hold less money, so the interest rate falls.

As price level falls, value of money decreases because a unit of money will more of goods or services.

During this period people will want to hold less money because of the decrease in value and the excess money will be deposited in banks.

With this, the banks have more money to lend out and this will make the bank to reduce its Interest rate.

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Manufacturing cycle time is best defined as the: length of the work shift, expressed in minutes per day. time it takes a unit to
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Answer:

time from raw materials receipt to finished product exit.

Explanation:

Manufacturing cycle time is best defined as the "time from raw materials receipt to finished product exit."

To explain better, manufacturing cycle time is the overall time of process that covers the total duration it takes the final production of commodities to be made. That is beginning from the inception stage which is usually raw materials through its conversion stage and eventually into finished goods.

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