Based on the economic data given, and the fact that the government is running a deficit, the equilibrium GDP will be 336.67.
If government spending is cut to balance the budget, the new level of GDP will be 321.67.
The effect of balancing the budget will be a decrease in GDP and a slower recovery from the recesssion.
<h3>What is the equilibrium GDP?</h3>
This is given by the variable "Y" so we can find the equilibrium GDP by solving for it:
C = 50 + .7(Y – T)
Y = C + I + G - XN
C = Y - I - G + XN
Solving gives:
Y - I - G + XN = 50 + .7(Y – T)
Y - 40 - 35 + 10 = 50 + 0.7Y - 14
Y - 0.7Y = 50 + 40 + 35 - 10 - 14
0.3Y = 101
Y = 101/0.3
= 336.67
<h3>What is the new GDP if government spending is cut?</h3>
Government spending will have to be cut to a size that would make it equal to taxes so government spending becomes 20.
New GDP becomes:
= C + I + G - XN
= ( 50 + .7(Y – T)) + 40 + 20 - 10
= 271.67 + 40 + 20 - 10
= 321.67
Find out more on GDP at brainly.com/question/1384502.
Answer:
b. 23.8%
Explanation:
For computing the percentage difference, we have to compute the Pre-tax income of both corporations and the partnership
For corporations:
Pre-tax income = (1 - corporate tax rate) × (1 - personal tax rate)
= (1 - 0.34) × (1 - 0.30)
= 0.66 × 0.70
= 0.462 or 46.2%
For partnership:
Pre-tax income = (1 - personal tax rate)
= (1 - 0.30)
= 0.70 or 70%
So, the difference would be
= 70% - 46.2%
= 23.8%
Answer:
8,000 m²
Explanation:
you must first change the size of your lot from acres to square miles = 2.2 acres / 640 acres per square miles = 0.0034375 square miles
now we can convert to square kilometers = 0.0034375 miles x 2.56 square kilometers per square miles 0.0055 square kilometers
there are 1,000,000 m²´per km², so you have 0.0088 km² x 1,000,000 = 8,800 m²
Answer:
The correct option is B.
Explanation:
Emergency managers and planners are professionals, who are experts in the art of analyzing problems, making appropriate decisions and taking necessary actions that will solve the problems on ground.
The decision making process usually begin before the occurrence of emergency, this is called the planning stage. At this stage, an organization usually make decisions about how it is going to react to certain emergency situations that might occur in the future.
An effective and deliberate planning prior to emergency will greatly enhance the ability of the organization to respond effectively during emergency situations. The number and the size of decisions and problems that need to be addressed during an emergency situation depend largely on the quality of the decisions that were made (or were not made) during the planning process.
