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3 years ago

Government is lobbied to institute price controls because: Multiple Choice

Business

1 answer:

trapecia [35]3 years ago

7 0

Answer:

people care more about their own surplus than they do about total surplus.

Explanation:

Price control can either be a price ceiling or a price floor.

A price ceiling is when the government or an agency of the government sets the maximum price for a good or service. It is usually set below equilibrium price.

Price ceiling increase consumer surplus and reduce producer surplus.

A price floor is when the government or an agency of the government sets the least price a good or service can be sold. It is usually set above equilibrium price.

Price floor increases producer surplus and reduces consumer surplus.

Producers would be advocating for a price floor because it increases their surplus, while, consumers would advocate for a price ceiling.

Consumer surplus is the difference between the willingness to pay of a consumer and the price of the product.

Producer surplus is the difference between the price of a product and the least price the seller is willing to sell the product.

I hope my answer helps you

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Greg and Joyce have an adjustable rate mortgage on their home. What is the key feature of this type of loan?

vladimir1956 [14]

Answer: Interest rate can vary

Explanation: Based on the description of Greg's and Joyce's mortgage loan, the key term is the adjustable nature of the loan used to finance the mortgage. Being adjustable simply means not fixated. Hence, the interest on the loan is bound to change throughout the entire period of the loan. This type of mortgage loans are called ADJUSTABLE RATE MORTGAGE or FLOATING mortgage. The change in the interest rate applied on the outstanding balance of is usually at intervals which could be annually, semianually or monthly basis as the case may be.

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3 years ago

Which of the following would not be (True) in the event that a newly admitted partner pays more than book value for his/her inve

ddd [48]

Answer:

c. Record no revaluations, bonus, or goodwill

Explanation:

As new incoming partner is giving more than the investment required it means there is some goodwill or revaluations or bonus involved which requires to be treated in the books otherwise it will be assumed that accounts are not properly reported and capital accounts will not be justified. Third option says no revaluations, bonus or goodwill will be recorded which is wrong.

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3 years ago

Richland’s real GDP per person is $10,000, and Poorland’s real GDP per person is $5,000. However, Richland’s real GDP per person

dangina [55]

Answer:

It will take approximately 36 Years to Poorland to catch up to Richland.

Explanation:

Given data:

The GDP increase in Poorland per year = 1 %

The GDP increase in Richland per year = 3 %

Calculations:

Step 1: For Richland:

The formula for calculating the per year GDP increase for Richland is:

GDP = 10,000 + (10,000 x (1/100)) ---- (1)

GDP for first Year = 10,100$

GDP for second Year = 10,201 $

Similarly using the formula (1) we calculated the values for 10 and 20 years

GDP for 10th Year = 11046.2$

GDP for 20th Year = 12201.9$

Step 2: For Poorland:

The formula for calculating the per year GDP increase for Poorland is:

GDP = 5,000 + (5,000 x (3/100)) ---- (1)

GDP for first Year = 5,150$

GDP for second Year = 5,304.5 $

Similarly using the formula (1) we calculated the values for 10 and 20 years

GDP for 10th Year = 6719.6$

GDP for 20th Year = 9030.6$

Step 3: When will Poorland catch up to Richland:

By calculating values using the above formulas, we have found that for 38th year, Poorland will catch upto Richland and will have more GDP.

Poorland GDP for 36th Year = 14491.4$

Richland GDP for 36th Year = 14307.7$

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3 years ago

The lower a firm's inventory turnover, the longer it takes the firm to collect payment on its sales. a. faster the firm collects

Doss [256]

Answer:

The answer is C. longer inventory sits on the firm's shelves

Explanation:

The Inventory turnover is the number of times inventory is sold or used during a given period of time.

The formula is:

cost of goods sold/average inventory.

A lower inventory turnover means weak sales(declining sales) and excess inventory remaining in the warehouse while a higher inventory turnover means it is taking a firm short time to sell its goods(inventory)

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3 years ago

Choosing products that do not harm the environment and gathering information about a product's quality are examples of _____.

Nady [450]

Answer:

consumer responsibility. This is when consumers purchase goods that would not harm the environment or would not be hazardous to one’s health. They make healthy and environment-friendly choices in buying items that they need. These are usually people who are concerned about what they buy and how it would affect not only them but the area surrounding them.

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2 years ago