Answer:
$750
Explanation:
If I pick $1,000, and the Marginal Propensity to Consume (MPC) is 0.75, it means that while travelling the state, I will have spent $750 on goods and services either produced and traded in that state, or only traded in that state (while having been produced in other place). This is the total impact that I will have made on the economy of this state.
The remaining $250 that I will have saved will only impact the economy of the state if I deposit or invest the money in a financial institution located in the state. If instead, I invest those saving in some other state, or put the money under the mattress in my house (located in another state), my savings will not impact the economy of the state in any way whatsoever.
The marginal propensity to save is 0.2. equilibrium gdp will decrease by $50 billion if the aggregate expenditures schedule decreases by:$10 billion.
<h3>
Aggregate expenditures schedule</h3>
Using this formula
Aggregate expenditures schedule=Marginal propensity to save×Equilibrium gdp
Where:
Marginal propensity to save=0.2
Equilibrium gdp=$50 billion
Let plug in the formula
Aggregate expenditures schedule=0.2×$50 billion
Aggregate expenditures schedule=$10 billion
Therefore the marginal propensity to save is 0.2. equilibrium gdp will decrease by $50 billion if the aggregate expenditures schedule decreases by:$10 billion.
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Answer:
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Answer:
Because everyone , regardless of their income is paying the same percentage of their income as tax, the local government is following a flat tax system.
Explanation:
Answer:
Business is affected by different factors which collectively form the business environment. These include economic, social, legal, technological and political factors. ... Business environment are categorized into three main categories; internal environment; operational environment; and general/external environment.
