1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Mashcka [7]
3 years ago
11

The country of Lilliput has low unemployment and high consumer spending, and small businesses are thriving. However, prices are

starting to rise throughout the economy. What should Lilliput's government do to prevent inflation from happening? (5 points)
Lower the income tax, which gives citizens less money to spend, and buy services from civilian-owned businesses, which creates more jobs.
Lower the income tax, which gives citizens more money to spend, and buy more services from civilian-owned businesses, which creates more jobs.
Raise the income tax, which gives citizens less money to spend, and stop buying services from civilian-owned businesses, which eliminates jobs.
Raise the income tax, which gives citizens less money to spend, and buy more services from civilian-owned businesses, which creates more jobs.
Business
1 answer:
lara31 [8.8K]3 years ago
7 0

Answer:

Raise the income tax, which gives citizens less money to spend, and buy more services from civilian - owned businesses, which creates more jobs.

Explanation:

To prevent inflation, Lilliput's government should raise the income tax, which gives citizens less money to spend and buys more services from a civilian-owned business, which creates more jobs.

In this way, it can increase employment and reduce consumer spending which in turn will prevent inflation.

You might be interested in
Ashton Construction assembles residential houses. It uses a​ job-costing system with two​ direct-cost categories​ (direct materi
Dimas [21]

Answer:

Instructions are listed below.

Explanation:

Giving the following information:

In December 2016​, Ashton budgeted 2017 ​assembly-support costs to be $8,300,000 and 2017 direct​ labor-hours to be 166,000.

With this information, we can calculate the budgeted indirect cost rate. <u>However, we can't calculate the actual indirect cost rate. I will provide the formula for both and a small example of the actual indirect cost rate.</u>

To calculate the budgeted indirect cost rate, we need to use the following formula:

Budgeted indirect cost rate= total estimated indirect costs for the period/ total amount of allocation base

Budgeted indirect cost rate= 8,300,000/166,000= $50 per direct labor hour.

Let's suppose that actual indirect cost was of 8,000,000 and actual direct labor hours of 175,000:

Actual indirect cost rate= total actual indirect costs for the period/ total amount of allocation base

Actual indirect cost rate= 8,000,000/175,000= $45.71 per direct labor hour

7 0
3 years ago
A direct cost is a cost that is____________.
Nookie1986 [14]

Answer:

The correct answer is letter "D": Traceable to a single cost object.

Explanation:

Direct Cost for finished goods is referred to the costs of the items and services directly used in production that can be allocated to a single cost object. Other costs including rent and production site insurance are indirect costs. The cost of the finished goods may be assigned to indirect costs, but they are not direct costs because they do not change with production levels.

5 0
3 years ago
An economy is employing 2 units of capital, 5 units of raw materials, and 8 units of labor to produce its total output of 640 un
beks73 [17]

Answer:

$0.1  

Explanation:

The per unit cost of a production is the sum of variable cost and fixed cost divided by the total number of units produced. The per unit cost is given by the formula:

Per unit cost = (Variable cost + Fixed cost) / Number of units produced

Variable cost = Cost of raw material = Units of raw material × Cost of each unit of raw material = 5 units × $4/unit = $20

Fixed cost = Cost of labor + Capital =(Units of capital × Cost of each unit of capital) + (Units of labor × Cost of each unit of labor)  = (8 units × $3/unit) + (2 units × $10/unit) = $24 + $20 = $44

Variable cost + Fixed cost = $20 + $44 = $64

Per-unit cost of production = (Variable cost + Fixed cost) / Total output = $64 / 640 = $0.1  

3 0
3 years ago
Truman Co. sells a large number of common household items, while Stapleton sells a small number of expensive items. The two comp
slava [35]

Answer:

Truman has a higher inventory turnover ratio and Stapleton has a higher gross profit ratio ( D )

Explanation:

Truman sell a large number of common household items ( assuming 100 unit )

while Stapleton sells a small number of expensive items ( assuming 20 units )

lets assume : Truman sells at $5 per unit and Stapleton sells at $50 per unit

with the above assumptions

Truman gross profit ratio = $5 * 100 units = $500

Stapleton gross profit ratio = $50 * 20 units = $1000

from the above assumptions you can deduce that the gross profit made by Stapleton is higher although he sells a smaller amount of goods while Truman has a higher Turnover because of its higher number of sold units

4 0
3 years ago
Consider three closed economies. In the first economy, households spend $0.50 of each additional dollar they earn and save the r
aleksklad [387]

Answer:

b. In the first economy, the spending multiplier is greater than in the second economy. In the third economy, the spending multiplier is undefined

Explanation:

This can be easily understood by going through some calculations in a spending multiplier formula.

WORKINGS

The formula for Spending Multiplier = \frac{1}{MPS}

Spending Multiplier

Economy 1: Multiplier = \frac{1}{0.5} = 2

Economy 2: Multiplier = \frac{1}{1} = 1

Economy 3: Multiplier = \frac{1}{0} = undefined

Note: MPS can be abbreviated as Marginal propensity to save

As we can see here economy 1 is 50% greater than economy 2 and economy 3 is undefined because they spend whole dollar they earn additionally.

On behalf of the above calculations,  option B is a perfect match!

4 0
3 years ago
Other questions:
  • The most likely promotion objective among companies in the Top 20 of sports spending is to inform and educate because they are i
    11·1 answer
  • What does it mean to say that quantity supplied and price have a direct relationship
    10·1 answer
  • Which is not something you should look for in a saving account?
    9·1 answer
  • The cost-benefit principal states that
    15·1 answer
  • You have a lot of free time after school. You applied for a temporary job to save money for college. Two companies called to off
    10·2 answers
  • A producer is someone who _____________. A. Makes a commodity available for sA producer is someone who _____________. A. Makes a
    15·1 answer
  • A banking system with a reserve ratio of 20% and a change in reserves of $1 million can increase its total demand deposits by:A.
    5·1 answer
  • Banking is a general term for what?
    12·2 answers
  • Foreign investment in U.S. companies continues to be strong. When Belgian-based In-Bev purchased the largest beer company in the
    14·1 answer
  • The Baldwin Company has just purchased $40,900,000 of plant and equipment that has an estimated useful life of 15 years. The exp
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!