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Darya [45]
3 years ago
9

What is the marginal propensity to consume when consumption changes from 7 to 6 and disposable income changes from 5 to 3? If di

sposable personal income is 10 and consumption is 12, what is personal savings? What does this mean? What is the multiplier when the change in equilibrium level of real GDP in the aggregate expenditures model is 9, and change in autonomous aggregate expenditures is 3? What is the multiplier when the marginal propensity to save is 1/3? What would happen to the marginal propensity to save when a tax cut was enacted causing the multiplier to change to 5?
Business
1 answer:
Nataliya [291]3 years ago
4 0

Answer:

Explanation:

First,

MARGINAL PROPENSITY TO CONSUME (MPC) is the rate of change of an individual's consumption, with change in his income.

1. What  is the MPC when consumption falls from 7 to 6 units, as disposable income changes from 5 to 3 units?

Change in Consumption/ Change in income = (7-6) / (5-3)

MPC = 1/2 = 0.5

2. If personal income is 10 units and personal consumption is 12 units, what is personal savings?

Personal Savings = Personal Income - Personal Consumption

Savings = Income - Consumption

The personal savings is = -2

3. What does the above mean?

The above answer means that the individual is dissaving; either drawing up on former savings or borrowing. It shows he consumed more than this particular income.

As for the other questions, the values or coefficients of all components of the model are needed.

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Answer:

The correct answer is Clickstream.

Explanation:

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6 0
4 years ago
___________ started the profession of advertising in the u.s. by using newspaper advertisements.
jenyasd209 [6]
I think it was Francis Ayer
3 0
4 years ago
Why would a business ower lower the price of a product
Ray Of Light [21]

Answer:

he would do so becaus the canadiens wer smugling syrup and it was making trhe price go yeet, so ppl who didnt sell at thaat price had to lower or go ot of business!1

Explanation:

7 0
3 years ago
Read 2 more answers
Bitcoin fails to satisfy which two of the three functions of money? Question 3 options: A) medium of exchange and unit of accoun
mojhsa [17]

Answer:

The correct answer is letter "D": unit of account and store of value.

Explanation:

Bitcoin is the first decentralized digital currency. It is also referred to as a virtual currency or a crypto-currency. Bitcoins are held in a digital wallet and can be sent over the internet. Bitcoin transactions are authorized using a digital signature. The transactions are verified usually within minutes by a network of miners. Once verified, the transaction is permanently stored on a public ledger known as The BlockChain.

Three are the functions of money: <em>medium of exchange, store of value, </em>and <em>unit of account</em>. In order to boost its use, a few merchants have started to accept Bitcoin as a medium of exchange but it still is not considered a unit of account since most items in the real world are valued in monetary terms. Also, it is not considered a store of value because, unlike money, Bitcoin cannot be saved in bank accounts earning interest. Bitcoins must be sold (at profit) to provide the holder revenues.

3 0
3 years ago
You have assigned the following values to these three firms: Price Upcoming Dividend Growth BetaEstee Lauder $50.00 $1.70 16.50%
satela [25.4K]

Answer and Explanation:

The formula to compute the required rate of return using the CAPM and constant growth model is as follows

Under CAPM

The Required rate of return = Risk-free rate of return + Beta × (Market rate of return - risk-free rate of return)

Constant growth model = Dividend ÷ Price + Growth rate

For Estee lauder,

Under CAPM = 4% + 0.74 × (10% - 4%)

= 4% + 0.74 × 6%

= 4% + 4.44%

= 8.44%

Under the Constant growth model

= $1.70 ÷ $50 + 16.50%

= 19.90%

For Kimco realty,

Under CAPM = 4% + 1.51 × (10% - 4%)

= 4% + 1.51 × 6%

= 4% + 9.06%

= 13.06%

Under the Constant growth model

= $1.68 ÷ $82 + 11%

= 13.05%

For Estee lauder,

Under CAPM = 4% + 1.02× (10% - 4%)

= 4% + 1.02 × 6%

= 4% + 6.12%

= 10.12%

Under the Constant growth model

= $0.60 ÷ $10 + 13%

= 19.00%

8 0
3 years ago
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