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
malfutka [58]
3 years ago
9

Suppose that the level of GDP increased by $100 billion in a private closed economy where the marginal propensity to consume is

0.5. Aggregate expenditures must have increased by $5 billion. $100 billion. $50 billion. $500 billion.
Business
1 answer:
____ [38]3 years ago
3 0

Answer:

$50 billion

Explanation:

To find the change in aggregate expenditures, we need to find the change in consumption. For this, we will use the marginal propensity to consume formula:

MPC = ΔC/ΔY

Where:

MPC = Marginal propensity to consume

ΔC = Change in consumption

ΔY = Change in output (GDP)

We know that out MPC is 0.5, and our ΔY is $billion. We plug these amounts into the formula:

0.5 = ΔC / 100 billion

And we rearrange the equation to solve for ΔC

ΔC = $ 100 billion x 0.5

ΔC = $50 billion

So the change in consumption is $50 billion, which is also the change in aggregate expenditure.

You might be interested in
Tom is talking to his friend Bob, who has an interest in Freedom, LLC, about purchasing his LLC interest. Bob's outside basis in
olga55 [171]

Answer: $12,900

Explanation:

From the question, we are told that Tom is talking to his friend Bob, who has an interest in Freedom, LLC, about buying his LLC interest. Bob's outside basis in Freedom, LLC, is $7,000 which includes his $1,900 one-fourth share of the LLC's debt. Bob's 704(b) capital account is $14,000. We are further told that Tom bought Bob's LLC interest for $11,000.

Tom's outside basis be in Freedom, LLC will be the amount that he paid for Bob's LLC interest plus the share of LLC’s debt. This will be:

= $11,000 + $1,900

= $12,900

4 0
4 years ago
Which of the scenarios best reflects the meaning of the term inflation targeting? a) In anticipation of the upcoming election, t
zvonat [6]

Answer:

b) A central bank is expected to achieve a 3% annual inflation rate

Explanation:

Inflation targeting is a type of monetary policy where the central bank of a country sets an inflation rate as its goal or target.

5 0
3 years ago
Yolanda is the new restaurant manager in a major hotel. When considering changes in the restaurant that will increase value to c
Rama09 [41]

Answer:

Improve products and services at the same cost

Explanation:

According to my research on different ways of improving business, I can say that based on the information provided within the question Yolanda will likely attempt to either provide the same quality at a lower cost or Improve products and services at the same cost. This can be said because it is the only other logical option in order to increase value to the customers. Since by improving the quality of the products and services but still charging the same amount you are providing your customers with a great increase in value.

I hope this answered your question. If you have any more questions feel free to ask away at Brainly.

5 0
3 years ago
An order for 140 units of Product A has been placed. There are currently 20 units of Product A on hand. Each Product A requires
lions [1.4K]

Answer:

Order for unit B = 440

Explanation:

Given:

Order for unit A = 140 units

Units A in hand = 20 units

Units B in hand = 40 units

1 unit A required 3 units of B

Find:

Order for unit B

Computation:

Total unit of A = 140 + 20

Total unit of A = 160 units

Total unit B required = 160 x 3

Total unit B required = 480

Order for unit B = Total unit B required - Units B in hand

Order for unit B = 480 - 40

Order for unit B = 440

5 0
3 years ago
A soldier was drinking at a training seminar. Although he was told to leave his car at the seminar, he disobeyed orders and drov
kozerog [31]
No because he should of followed orders
3 0
3 years ago
Other questions:
  • During the last year of operations, Theta’s accounts receivable increased by $10,000, accounts payable increased by $5,000, and
    5·1 answer
  • What does 'charge-off as bad debt' mean?
    8·1 answer
  • Daniel is the owner of a footwear manufacturing company. To increase the production of footwear on a weekly basis, he orders his
    10·1 answer
  • 10. An Accounting Standards Update A. is authoritative, but has less authority than the Codification. It is used to make changes
    12·1 answer
  • Purves Corporation is using a predetermined overhead rate that was based on estimated total fixed manufacturing overhead of $121
    8·1 answer
  • Dewey, Cheatum, and Howe is a car company that makes four models, a hybrid sport utility, a sports car, a four-door sedan, and a
    10·2 answers
  • You buy a house for $220,000 in a neighborhood where home prices have risen 5% annually on average. You suspect that growth in h
    9·1 answer
  • Projects A and B are mutually exclusive and have an initial cost of $78,000 each. Project A has annual cash flows for Years 1 to
    6·1 answer
  • In the United States, because worker membership in labor unions has been ________ union impact has been decreasing in the labor
    15·1 answer
  • Why are certain policy decisions (like those undertaken by the federal reserve) best informed by using the core inflation index
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!