Answer:
the unemployment rate rises.
Explanation:
Gross domestic product is the total sum of final goods and services produced in an economy within a given period which is usually a year
GDP calculated using the expenditure approach = Consumption spending by households + Investment spending by businesses + Government spending + Net export
Potential GDP is the GDP of an economy when labour and capital are employed at their sustainable rate.
Real GDP has been adjusted for inflation. It reflects the value of goods and services produced in an economy.
When the real GDP of an economy grows more slowly than potential GDP, it means that the resources in the economy, labour and capital are not employed at their sustainable rate. This is referred to as output gap. As a result of the output gap, the unemployment level rises
The answer is To give a sense of luxury
Answer:
Changes that would increase Susie’s limits the most without increasing her monthly premium by more than $5.00 is Option C: Increase coverage on bodily injury to $100/300,000 and on property damage to $50,000.
Explanation:
Lower coverage does not necessarily means lower premiums.
Premium is the amount of one makes to keep his insurance policy active. Lower coverage would mean lower premium but that means there would be a few restrictions on the insurance policy while covering that policy.
Full coverage policies of the vehicle not only covers the liabilities but also the damage that occurs to the car.
If Susie increases the 'coverage' on the injury of the body to '$100/300,000' and on property damage to '$50,000', then her monthly premium would not increase from more than $5.00.
Answer:
Real purchasing power increase= 2.16%
Explanation:
Giving the following information:
You deposit $1,900 in your savings account that pays an annual interest rate of 3.25%. The inflation rate is 1.09%.
In this example, we have two different and opposite effects. The interest rate increases your purchasing power. If the inflation rate is 0, the purchasing power will increase (in one year) 3.25%.
The inflation rate decreases the purchasing power of nominal income.
Real purchasing power increase= annual interest rate - inflation rate
Real purchasing power increase= 3.25 - 1.09= 2.16%
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