Answer:
The correct answer is the option A: International trade agreements such as the North American Free Trade Agreement (NAFTA).
Explanation:
To begin with, the name of <em>"North American Free Trade Agreement" </em>or NAFTA, refers to the comercial agreement between the three nations of the countries of the norht of America that established that there is a bloc of free trade among Canada, Mexico and the United States that will benefit the three parties whose bloc have formed one of the largest trade blocs in the world by gross domestic product. Moreover, the agreement came into force in 1994 and since then the main purpose of it is to encourage the increase and development of international trade.
Answer:
The surplus of the goods will rise, meaning that the availability of the such good will increase over time as both the supply and demand curves become more elastic.
Explanation:
Due to the presence of the black market, people are going to buy it from the black market at a lower cost, thus the availability will rise and the total surplus will rise due to market equilibrium.
The answer is Increase/Increase
As people and businesses become more confident in the economy, they will want to invest more. They will also not be afraid to take out a loan and develop a new unit or buy new land since they are optimistic about the economy and are expect good years ahead.
In the case real interest rates, they will also increase. As businesses and individuals are more confident they will want to invest rather than save money.
While interests rates were pretty low in the last few years to encourage investment, the government will gradually move away from this policy.
Answer:
Explanation:
1. Credit History to ascertain your loan worthiness.
2. There have to consider your source of income to be able to ascertain if really you can be able to pay back the loan you are requesting for.
3. Collateral.
Answer:
≅40.5 years
Time for Both countries have same Real GDP per capita is 40.467 years≅40.5 Years
Explanation:
In case of US:
Present Value=$56,000
Increase=r=1.5%=0.015
Future GDP=
where:
t is time
Future GDP=
In case of China:
Present Value=$8,000
Increase=r=6.5%=0.065
Future GDP=
where:
t is time
Future GDP=
We have to find time t when both countries have same future GDP:
=
Dividing equation by 8000:
Taking Natural log (ln) on both sides:
Time for Both countries have same Real GDP per capita is 40.467 years≅40.5 Years
