Name two criminal justice careers that require a similar skill set and explain how this skill set aids in job performance

Since taxes are not a direct component of aggregate demand changes in taxes do not have multiplier effects on income.

Damm [24]

Components of aggregate demand in a closed economy are consumption(C), investment(I), and government expenditure(G).

So, AD = C + I + G

And consumption is a function of disposable income(Yd) which means

C = C1 + b(Yd)

Where disposable income Yd = (Y - T ). So, disposable income is the remaining income after paying the tax to the government.

So, the AD = C1 + b(Y - T) + I + G. For simplicity we can consider investment and government expenditure as constant.

At equilibrium Y = AD so, Y = C1 + b(Y - T) + I + G.

At period 0, when tax increases ΔT amount then it will decrease consumption at b* ΔT amount. So for any given level of Y, planned expenditure is now lower than income. So initially equilibrium Y decreases by b* ΔT amount. In period 1 this change in income will decrease the consumption at a rate of b(b* ΔT) amount. So Y also decreases by amount b2 * ΔT amount and so on.

So the total change in Y is = b* ΔT + b2 * ΔT + .....

= b* ΔT ( 1 + b + b2 + .....)

= b* ΔT [ 1/ (1- b)]

So, ΔY = b* ΔT [ 1/ (1- b)]

or, ΔY/ ΔT = b / (1-b)

So even if tax is not a direct component of aggregate demand it has a multiplier effect on income. If tax decreases then it will increase disposable income and so as the consumption. An increase in consumption has a positive effect on income in that period and that increased income has a positive effect on consumption in the next period and so as the income. This process will go on.

Learn more about components at

brainly.com/question/25175983

#SPJ4

7 0

2 years ago

To get a job as a web content manager at Glentap, an e-commerce site, one must be organized and excellent at meeting deadlines,

meriva

Answer:

Option D is the right answer. The company will conduct a personality test to select the right candidate.

Explanation:

The Glenap is an e-commerce organization, and they believe that organized and hardworking candidate is likely to succeed at the job and these skills cannot be developed through training. In order to assess the capability of a candidate to meet the deadlines and how hardworking a candidate is, the personality test is the right technique to pick the right person for the job.

4 0

3 years ago

The internal financial statements of Vera Incorporated show that their beaded purses incurred an operating loss in the most rece

brilliants [131]

Answer:

Vera Incorporated

Change in annual operating income from discontinued business:

Annual Operating Income would reduce by $78,000.

Explanation:

a) Calculation of the Net Income Lost:

Loss of Contribution ($99,000)

Avoidable fixed cost $21,000

Reduction of Income ($78,000)

b) The line of purses contributes $80,000 towards the company's fixed cost. Therefore, discontinuing this line of business would lead to the loss of this steam of income. The amount of reduced operating income will be $78,000 ($80,000 - 2,000).

4 0

3 years ago

ABC Corporation offered a four-for-one stock split. The number of outstanding shares before the split was 15,000, and the par va

svetoff [14.1K]

<u>Answer:</u> D. 60,000 shares at $5 per share

<u>Explanation:</u>

The company has 15,000 shares and offers to split the stock four-for-one. It means that the there will be four times the number of shares but the total value of the shares, before and after the split, would remain the same.

The total value of shares = $15,000 x 20 = $300,000

Since the stock split is 4-for-1, the number of shares would be = 15000 x 4

= 60,000 shares

Therefore the total value of shares divided by the number of shares will give us the par value of the shares:

300,000 / 60,000 = $5

8 0

3 years ago

Read 2 more answers

The shares of preferred stock issued by Saturn Corporation can be exchanged for common stock. However, any dividends in arrears

MArishka [77]

Answer:

a. Convertible, d. Noncumulative

Explanation:

The feature that it can be exchanges for common stock means that the holders of these preferred share have an option to convert their preferential holdings to common stock at and within predetermined period of time.

However since it says " the dividends in arrears are lost", it means that these preferred shares are non-cumulative. As the holder of this type of shares, you have no right to receive past dividends should the company begin to issue preferred dividends again. If the issuing company incurs losses in that year, it can choose to skip paying dividends on these convertible, non-cumulative preferred shares.

4 0

3 years ago

Read 2 more answers