A personal retirement plan in which earnings are taxed at withdrawal is traditional ira. Option A is correct. This is further explained below
<h3>What is a traditional IRA?</h3>
A standard IRA allows individuals to divert pre-tax income into tax-deferred assets.
In conclusion, traditional IRA a personal retirement plan in which earnings are taxed at withdrawal?
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Answer:
3. Fisher effect
Explanation:
According to the Fisher Effect the real interest rate equals the Nominal Interest rate minus the expected Inflation rate. For example if they say you will have 5% as the Nominal Interest rate per year and in that year the expected Inflation rate is 3%, the Real interest rate will be 2% at the and of that year
Answer: See explanation
Explanation:
a. This is a balanced budget. A balanced budget is when the government expenditure and the revenue generated are thesame. In this case, government expenditure (G) and revenue gotten from taxes (T) are both 2000.
b. The equilibrium value of Y will be:
Y = C + I + G
Y = 250 + 0.75(Y - 2000) + 750 + 2000
Y = 250 + 0.75Y - 1500 + 750 + 2000
Y - 0.75Y = 1500
0.25Y = 1500
Y = 1500/0.25
Y = 6,000
c. The value of the autonomous consumption (c0) will be:
c0 = 250
d. MPC = 0.75 ,
Note that MPS = 1 - MPC
= 1 - 0.75
= 0.25
e APC = C/YD
= 3250/4000
= 0.8125
APS = S/YD
= 750/4000
= 0.1875
f. Private Saving = 750
Public saving = 0
Then, the National Saving will be:
= Public savings - private savings
= 750 - 0
= 750
The answer is C. entry by new firms