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.
What's on the list? I need to know so I can answer :)
If you multiply $299.70x 62- 14,000months you get = 4,581.4 so yeah
Answer:
The correct answer is D that it is a record.
Explanation:
Record is the term which is described as keeping a track of the items which is necessary for the business by recording them and can be use a proof if something wrong happen in the business.
So, keeping the documents as well as the receipts on the servers, under the UETA, information which is inscribed, stored in any form is a record.
<h2>
<u>Disclamer:</u></h2>
As it ask to run simulations the values calculates will difer even if you follow the same step as I did.
Answer:
Mean Profit: $ 4,295
Probability of loss: 29.80%
As the product has a mean profit it will on average generate gains
but:
as the standard deviation of the simulation was $ 7,778.40
<u>we should not invest on the product as it is to variable</u>
<u>Explanation</u>:
We are going to use the =RAND() function of excel
which, generates a random number between 0 and 1
This will be done 1,000 times 500 for the variable cost
and 500 for the demand.
Then we copy and paste this numbers to get them fixed.
Then, we convert them into actual cost and demand in units considering their distribution
using excel dist.norm.inv
Now, with this values we solve for profit on each one.
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FOr the complexity I attached the excel file as the plataform interface cannot handle large tables.