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CaHeK987 [17]
4 years ago
11

If the MPC in an economy is 0.8, government could close a recessionary expenditure gap of $100 billion by cutting taxes by

Business
1 answer:
QveST [7]4 years ago
8 0

Answer:

cutting taxes by $125 billion

Explanation:

given data

economy = 0.8

expenditure gap = $100 billion

to find out  

cutting taxes

solution

we get here cutting or reduce taxes that is express as

cutting taxes = \frac{expenditure\ gap}{MPN\ economy} ......................... 1

cutting taxes = \frac{100}{0.8}    

solve we get cutting taxes

cutting taxes = $125 billion

so cutting taxes by $125 billion

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Explanation:

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The likely result of this decision by Rose is that there will be a boost in the effectiveness of the workers and effectiveness utilization of their potentials. This is vital for the growth of the company and for the company to boost its profit and also gain competitive advantage over its competitors.

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4 years ago
A source for conducting formal research would include _____. a. observations b. interviews c. written reports d. personal ideas
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How does Ingenuity fly on Mars? (20 points)
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Suppose the price of Twinkies is reduced from $1.45 to $1.25 and, as a result, the quantity of Twinkies demanded increases from
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Answer:

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Explanation:

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3 years ago
Rhoades Tax Services began business on December 1, 2015. Its December transaction are as follows.
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