Answer:
<h2>C. Makes domestic consumer worse off. </h2>
Explanation:
A tariff is levied on the exports and imports between two countries. It is meant to regulate the foreign trade and encourage the domestic industries and safeguard them from the competition of foreign goods. Tariffs are source of income for states. Tariffs and import export quotas are most used instruments of protectionism. Tariffs are fixed or variable.
It can put the domestic consumer in an advantageous position as due to tariffs they would not be able to get less costly products.
Benefits of small amounts of inflation include more expansionary monetary policy, the placebo effect, and the facilitation of relative price changes.
<h3>What is meant by inflation?</h3>
Inflation is the term used to describe the rate of price rise for goods and services.
It is sometimes used to categorize inflation according to cost-push, demand-pull, and built-in factors.
The two most popular inflation measures are the Consumer Price Index and the Wholesale Price Index.
Inflation can be viewed favorably or badly depending on the perspective and rate of change.
Inflation may be advantageous for those who own tangible assets since it will raise the value of their holdings, such as real estate or goods that are kept in storage.
Inflation's primary causes include:
- Consumer-driven inflation
- Price-driven inflation
- more money available
- Devaluation
- increasing pay
- Regulations and policies
Benefits of Inflation: In order to meet increasing demand, production must increase. Additionally, debtors benefit from inflation because they can return their loans with funds that are less valuable than the funds they borrowed. This promotes borrowing and lending, which boosts expenditure on all levels once more.
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Unsafe because you dont interlock them or sercure them therefore it could fall over hurt you or someone else standing by
Answer:
Check the explanation
Explanation:
a1.Present value of $8500=$8500
the Present value of $3000 a year for 5 years=$3000*Present value of annuity factor(9%,5)
the Present value of annuity=Annuity[1-(1+interest rate)^-time period]/rate
=$3000[1-(1.09)^-5]/0.09
=$3000*3.889651263
=$11668.95(Approx)
The Present value of $41000=$41000*Present value of discounting factor(rate%,time period)
=$41000/1.09^5
=$26647.19(Approx).
Therefore $41,000 received at end of five years is a better value.
Answer:
<u>lower return </u>
Explanation:
an additionl unit of capital will have a <u>lower return</u> in Alpha compared to Beta
The diminishing return theory explains that if a factor is added, while the other remains the same, the return for each additional quantity added will be lower. So if both countries have the same amount of factor, Alpha adding more capital will not have the same return as doing it in Beta
ΔCapital/(40,000 + labor + land) < ΔCapital/(5,000 + labor + land)
That's because the divisor ir greater in Alpha it is required a higher amount of capital to produce the same return.
