1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
weqwewe [10]
3 years ago
11

Imagine that an economic recession erodes consumer confidence. As a result, the marginal propensity to consume drops from .8 to

.6. If the government tries to stimulate the economy by increasing government spending, will the spending be more or less effective at MPC?
Business
1 answer:
Serga [27]3 years ago
8 0

Answer:

Increased government spending will be less effective for raising the Marginal Propensity to Consume.

Explanation:

The Marginal Propensity to Consume depends on disposable income, and disposable income is the money that individuals have after paying tax.

If the government increases spending, it will also increase taxes to finance spending, and if taxes are higher, people will have less disposable income, and even if their marginal propensity to consume increases, because they now have less money, the will spend less in total.

You might be interested in
Corporation includes $200,000 of $1 par common stock and $400,000 par of 6% cumulative preferred stock. The board of directors o
vlabodo [156]

Answer:

The amount of dividends paid to common stockholders in 2021 $18000.

Explanation:

The cumulative preferred stock is the stock that accumulates dividends when the dividends are partially or not paid at all in a certain year. The dividends must be paid in the future.

The common stock holders are paid after the preferred stockholders are paid.

The preferred stock dividend per year = 400000 * 0.06 = $24000 per year

As the cash dividends paid in 2019 and 2020 are $20000 each,

The dividend outstanding on preferred stocks for 2019 is = 24000 - 20000 = $4000

Similarly, the dividends outstanding on preferred stocks for 2020 is = 24000 - 20000 = $4000

The total dividends outstanding at start of 2021 = 4000 + 4000 = $8000

Preferred dividend for 2021 = 24000

Total dividend on preferred stock = 24000 + 8000 = $32000

The amount of dividends that common stock holders will receive in 2021 = 50000 - 32000 = $18000

4 0
3 years ago
An _______________ is a network link that uses internet technologies to interconnect the intranet of a business with the intrane
Usimov [2.4K]
I believe the answer would be Intranet, but I am not 100% sure.
7 0
3 years ago
"Uterine family" is the phrase Margery Wolf uses to describe the family a woman makes by having children though they are not off
AlekseyPX

Answer:

a. True

Explanation:

The uterine family represents the individual mother and mother children. in other way, it is you, your mother, your siblings, etc

The Uterine family implies the family description that shows the women have the children but they are not officially recorded as a members of the similar lineage

Therefore the given statement is true

3 0
3 years ago
The productivity gains achieved by specialization are due to A. comparative advantage. B. lower opportunity costs from switching
Ronch [10]

Answer:

Comparative advantage.

Explanation:

Comparative advantage is the ability to produce good and services at a lower opportunity cost compared to others , leading to lower selling price and competitive advantage over others .

Specialization is about concentrating on producing a few products in order to

build brands , expertise and gain maximum productivity leading to a reduction in selling price and  a comparative advantage.

4 0
3 years ago
Read 2 more answers
System testing:
yarga [219]

Answer:

C) tests the functioning of the system as a whole.

Explanation:

System testing refers to a process in which a complete system is evaluated to make sure that it works properly and fulfills the requirements. According to this, the answer is that system testing tests the functioning of the system as a whole.

The other options are not right because system testing doesn't separate components or programs as it involves the actual evaluation of the whole system to find defects and it is done before the acceptance testing.

3 0
3 years ago
Other questions:
  • On January 1, 2019, Shay Company issues $400,000 of 10%, 12-year bonds. The bonds sell for $391,000. Six years later, on January
    7·1 answer
  • What two skills work together to make managers good role models?
    12·1 answer
  • A large company produces paint and other home decorating products. Its goal is to choose the marketing channel arrangement that
    5·1 answer
  • g Jannusch Corporation makes one product. Budgeted unit sales for July, August, September, and October are 10,000, 11,600, 13,30
    15·2 answers
  • LO 1.3The Certified Management Accountant (CMA) certification:
    14·1 answer
  • On January 1, 2012, Porter Corporation signed a five-year noncancelable lease for certain machinery. The terms of the lease call
    13·1 answer
  • Acme, Inc., incurs the following costs during May:
    13·1 answer
  • ou were hired as a consultant to Quigley Company, whose target capital structure is 35% debt, 10% preferred, and 55% common equi
    6·1 answer
  • Many organizations use the same process capability standard for all their products or services (e.g., 1.33), but some companies
    13·1 answer
  • Economics can be divided into microeconomics and macroeconomics. One of these areas studies large units or groups and one studie
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!