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Vika [28.1K]
3 years ago
7

A constant debt-to-GDP ratio in a growing economy is consistent with:

Business
1 answer:
Cloud [144]3 years ago
5 0
Is consistent with : a continual surplus

Debt-to-GDP ratio represent the ratio between a country's government debt and its GDP. Low debt to GDP ratio indicates an economy which could produce a great amount of goods and service while still able to pay their debt.

If the debt to GDP ratio is constant while the economy is growing, it's mean that that country always has a surplus.
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As an oligopoly firm produces at a higher output, economies of scale allow the costs per unit (atc) to _____________ significant
asambeis [7]

As an Oligopoly firm produces at a higher output, economies of scale allow the costs per unit (ATC) to <u>decline</u> significantly.

When firms in an oligopoly market individually chooses production in order to maximize profit, a quantity of output is produced by them which is higher than the level produced by monopoly and lesser than the level produced by competition.

The existence of economies of scale in certain industries can lead to oligopolistic market structures in those industries. This oligopoly market structure refers to a market form in which there are only a few sellers and they sell similar products.

The Oligopoly firm produces at a higher output, and so the costs per unit here decline significantly. Oligopoly firms are also able to take advantage of economies of scale that reduce production costs and prices.

Thus, when the oligopoly firm produces at a higher output, economies of scale allow the costs per unit (ATC) to decline significantly.

To learn more about the Oligopoly market here:

brainly.com/question/15243178

#SPJ4

4 0
2 years ago
Dukes Corporation used a predetermined overhead rate this year of $2 per direct labor-hour, based on an estimate of 20,000 direc
astraxan [27]

Answer:

Under allocation= 1,000 underallocated

Explanation:

Giving the following information:

Dukes Corporation used a predetermined overhead rate this year of $2 per direct labor-hour, based on an estimate of 20,000 direct labor-hours to be worked during the year. Actual costs and activity during the year were: Actual manufacturing overhead cost incurred $ 38,000 Actual direct labor-hours worked 18,500

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Allocated MOH= 2*18,500= $37,000

Real overhead= 38,000

Over/under allocation= real MOH - allocated MOH

Under allocation= 38,000 - 37,000= 1,000 underallocated

5 0
3 years ago
The crowding out effect will be greater than
ELEN [110]

Answer:

The correct answer to the following question is option B) .

Explanation:

Crowding effect refers to a situation where due to the increase in interest, there is a decrease in investment ( private investment spending ), which in turn leads to decrease in initial increase in investment. Here the interest rate have increased because of the expansionary fiscal policy implemented by the government, where they have increased their spending. A high magnitude of crowding effect can lead to decrease in the money supply in economy.

6 0
3 years ago
Decision-Making Scenarios Scenario 1 Football season starts this weekend and Steve is excited about his school’s first game. He
pickupchik [31]

Explanation:

Being a son, Steve should obey his parents and stay at home to babysit his six year old brother, because it is always the duty of children to give respect to their parents' decisions. Though he was super excited about the football match in which his school team was going to play against the long term rivals, but because his parents' friends had a call for meeting them after so long, they asked him to stay at home as he could have many more chances of seeing such matches.

But being a parent, I should respect my son's program of watching the football match, and take the baby with me, so that the program of both son and parents would not be disturbed.

7 0
4 years ago
Libby Company purchased equipment by paying $6,700 cash on the purchase date and agreed to pay $6,700 every six months during th
vladimir1956 [14]

Answer:

The answer is $53,732.

Explanation:

The value of the equipment reported on Libby Company's balance sheet is equal to:

Cash payment at purchase + Present value of 8 equal semiannual payment, $6,700 each discounted at 3% ( because semiannual payment is made for 4 years so we have 2 x4 = 8 payments; and annual borrowing rate is 6% so we have discount rate = 6% /2 = 3%).

with:

Cash payment at purchase = $6,700;

Present value of 8 equal semiannual payment, $6,700 each discounted at 3% = (6,700/3%) x ( 1 - 1.03^(-8) ) = $47,032 ( that is, apply the formula to find present value of annuity).

we have:

The value of the equipment reported on Libby Company's balance sheet = 6,700 + 47,032 = $53,732.

5 0
3 years ago
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