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3 years ago

In the monetarist view, the long-run Phillips curve is____________.

Business

1 answer:

ollegr [7]3 years ago

6 0

Answer:

The correct answer is option E.

Explanation:

The Philips curve shows the inverse relationship between inflation and unemployment. The Philips curve, in the short run, is downward sloping L shaped indicating this inverse relationship.

But according to economists, in the long run, there is no trade-off between inflation rate and unemployment. The inflation and unemployment are related in the short run, they are not related in the long run.

The long-run Phillips curve is a vertical line at the point of the natural rate of unemployment.

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"You found out that now you are going to receive payments of $8,500 for the next 16 years. You will receive these payments at th

Paraphin [41]

Answer:

Present value= $62,722.875≈ $62,723

Explanation:

To calculate present value use this formula

Present value= Yearly payment*{[1-(1+rate)^-period]/rate}

Present value= 8,500*{[1-(1+0.11)^-16]/0.11}

Present value= 8,500* {0.8117/0.11}

Present value= 8500*7.379= $62,722.875

5 0

3 years ago

Fairfax Pizza borrowed 745,000 dollars to build a new restaurant for 745,000 dollars. The decision to spend 745,000 dollars on t

EastWind [94]

Answer:

Financing decision

Explanation:

Financing decision is concerned with borrowing and allocating funds for investments.

As such, the decision to borrowed 745,000 dollars and use the fund to build a new restaurant for 745,000 dollars is a financing decision.

Capital Budgeting decision-making process involves plans around any long term capital expenditures whose returns (cash inflows and outflow) are expected to be earned in more than a year.

8 0

3 years ago

For a given level of inflation, if a rise in the stock market makes consumers more willing to spend (the wealth effect), then th

professor190 [17]

Answer:

aggregate demand curve; right

Explanation:

Inflation can be regarded as

when the level of price of goods/service increases for consumer to buy, it can be measured as a result of change in price. There are four types of level of inflation which are creeping, walking as well as galloping, and hyperinflation, which are measured base on speed. It should be noted that For a given level of inflation, if a rise in the stock market makes consumers more willing to spend (the wealth effect), then the aggregate demand curve shift right

4 0

3 years ago

As the president of Chip City a chain of home electronic stores, you are struggling with ways to attract customers to your store

alexdok [17]

Answer:

Loss-leader pricing

Explanation:

Loss leader pricing can be defined as a marketing strategy that entails selecting some retail products that is going to be sold below cost. This means that the retailer will not make any profit from the products being sold because the goods are being sold below the actual price.

This is done in order to get customers in the door. It is a method of enticing buyers to purchase your products.

This stategy attracts news customers because goods are being sold at significant discount to market price.

3 0

3 years ago

(Appendix 11.1) Depreciation for Financial Statements and Income Tax Purposes Dinkle Company purchased equipment for $50,000. Th

Romashka-Z-Leto [24]

Answer and Explanation:

The computation is shown below:

For year 1

According to the Company's Books Depreciation

= (Orginal Cost - Salvage value) ÷ useful Life

= ($50,000 - $5,000) ÷ 10 years

= $4,500

According to the Income Tax Depreciation

= Cost × MACRS Rate for Year 1

= $50,000 × 20%

= $10,000

So, the difference in year 1 is

= $10,000 - $4,500

= $5,500

For year 2

According to the Company's Books Depreciation

= (Orginal Cost - Salvage value) ÷ useful Life

= ($50,000 - $5,000) ÷ 10 years

= $4,500

According to the Income Tax Depreciation

= Cost × MACRS Rate for Year 2

= $50,000 × 32%

= $16,000

So, the difference in year 1 is

= $16,000 - $4,500

= $11,500

7 0

3 years ago