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nexus9112 [7]
3 years ago
10

How does consumer spending stimulate economic growth? Consumer spending pays funds directly into households. Consumer spending i

ncreases withdrawals from an economy. Consumer spending allows firms to flourish and new businesses to develop. Consumer spending prevents a factor that can be an obstacle to production.
THE ANSWER IS C!
Business
1 answer:
Nesterboy [21]3 years ago
5 0

Answer:

  • <em><u>Consumer spending allows firms to flourish and new businesses to develop. </u></em>

<em><u /></em>

Explanation:

Suppliers and <em>consumers</em> are the two agents of an economy that  keep a constant and dynamic activity that is mutually dependent.

Suppliers are the agents who provide the goods and services.

<em>Consumers</em> are the agents who purchase and use those goods and services.

When <em>consumers</em> purchase a good or service, they pay and the money ends up in the accounts of  the suppliers (except for taxes). The more the consumers buy the more the suppliers can invest (in the same or other business), the more can produce, the more can hire more employees, the more,  in turn, can purchase more raw material from other suppliers, . . . all of this is <em>economic growth</em>.

Hence, as the third statement correctly asserts, <em>the consumer spending  allows firms to flourish and new businesses to develop.</em>

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Countries are interconnected today as never before. From eating foods from different countries to singing along to songs perform
Nuetrik [128]
This is tough to answer in 3-5 sentences, and tends to also be a heavy identifier of your possible political leanings.  You'll have to apologize if some of mine leak out in the response, but this is a question we debate hotly more frequently than every 4 years.

In general, international trade can help increase the GDP and overall profits for US-based corporations.  However, if all we do is export, and we don't import, other countries don't look favorably upon that and may heavily tax our goods to counter this.

I believe we do need to be thoughtful about the amounts and kinds of international trade that we engage in.  For example, farming is always a hotly debated issue for international trade, in part because farmers in other countries with a dramatically lower cost of living OR farmers in countries with a favorable currency rate (exchange from their currency to our dollars gives them an advantage) can undercut our farmers here in the US, many of whom are already struggling.

There are also those who are worried that when we import produce from countries that have not outlawed pesticides we know are carcinogenic, for instance, this creates not only a disadvantage for US farmers, but also for consumers who may be concerned about health issues.

As another example of this, many countries outlawed import of US beef during the Mad Cow Epidemic.  We in turn also placed bans on importing beef from the UK.  

These are examples of why it's important to be thoughtful about trade, but there are certainly many others, including decline in production jobs within the US that have left cities like Detroit a ghost town (this was formerly the hub of our automotive industry production).
5 0
3 years ago
According to the Uniform Commercial Code's rule, when forms are not exchanged, _____. acceptance cannot materially vary from the
Likurg_2 [28]

Answer:

According to the Uniform Commercial Code's rule, when forms are not exchanged, acceptance cannot materially vary from the offer

Explanation:

Then UCC code was established because it was becoming increasingly difficult for companies to transact business across state lines given the various state laws.

The Uniform Commercial Code (UCC) is important since it helps companies in different states to transact with each other by providing a standard legal and contractual framework.

According to the Uniform Commercial Code's rule,  

  • Firm offers (offers to buy or sell goods and promising to keep the offer open for a period of time) are valid without only when it is signed by the offeror.
  • An offer to buy goods for shipment invites acceptance by either prompt shipment or a prompt promise to ship.

Therefore, when forms are not exchanged, acceptance cannot materially vary from the offer.

6 0
2 years ago
A video game manufacturer is planning to market a new machine. The fixed costs are $550,000 and the variable costs are $120 per
tresset_1 [31]
Divide 550,000 by 140 and thats the amount need to break even, anything greater will earn $20 in profit per machine

6 0
3 years ago
Daniela is a 25% partner in the JRD Partnership. On January 1, JRD makes a proportionate distribution of $16,000 cash, inventory
ololo11 [35]

Answer: The answer is as follows:

Explanation:

Given that,

Cash = $16,000

Inventory = $16,000 fair value (inside basis $8,000)

Accounts receivable with a fair value = $8,000 (inside basis of $12,000) to Daniela

Daniela's basis = $20,000

JRD basis = cash + inventory + accounts receivables

                = 16,000 +  2,000 + 2,000

                =$20,000

Out of $20,000,

Pending amount for inventory and accounts receivable allocation:

= JRD basis - Cash basis

= $20,000 - $16,000

= $4,000

This pending amount is allocated equally among the inventory and accounts receivable i.e, $2,000 is allocated to inventory and $2,000 is allocated to accounts receivable.

8 0
3 years ago
If Supply and Demand have the normal shapes (not perfectly elastic or inelastic), a "tax on sellers" (as defined by Mankiw) will
Oxana [17]

Answer:

The answer b false

Explanation:

The effect of the tax on the supply-demand equilibrium is to shift the quantity toward a point where the before-tax demand minus the before-tax supply is the amount of the tax. The price the buyer pays rises, but generally by less than the tax.

6 0
2 years ago
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