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Natali [406]
3 years ago
6

Select the true statement or statements regarding the loanable funds market. Foreign entities cannot save in the United States.

Savings refers to savings accounts held in banks only. The purchase of stocks and bonds is considered savings. Savings from households are used by firms and governments to finance investment.
Business
1 answer:
Shalnov [3]3 years ago
3 0

<u>Solution: </u>

The following are the correct and incorrect options

<u>Correct option</u>: Households used to save and those savings are utilized for investment through the intermediaries like bank. Firms and governments take those funds for their investment acts.

<u>Correct option</u>: Foreigner can invest in the US (suppose foreign direct investment) but can’t save here, since there is difference in currency (suppose a foreigner earns in pond can’t save in US dollar).

<u>Other options are not correct: </u>

<u>Incorrect option</u>: Savings means personal savings, which are not yet kept into a bank.

<u>Incorrect option</u>: such purchases are investments but not savings.

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mihalych1998 [28]

Not sure what the options for the answer are (if there are any), but an appropriate entry in this box is "common goals," among other answers. Please let me know if you have any questions and provide me with the answer options if there are any.

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3 years ago
Connor and Duncan have two passions: video games and economics. The two have an ongoing debate: Connor argues that video game co
LuckyWell [14K]

Answer:

d. Patents give firms an incentive to spend money on research and development.

Explanation:

Connor argues that the consumers are worse off due to the high prices as a result of patents. The prices would be much lower if patents were not applicable because the MC per unit is always low.

But as Connor argues patents provide an uncentive to producers to invest in R & D whch benfits the consumers in the LR both in terms of product variety and cost reduction.

8 0
3 years ago
The right to ____ is never directly granted to all shareholders of a publicly held corporation.
Deffense [45]

The <u>right to declare </u><u>dividends </u><u>on the common stock </u>is never directly granted to all shareholders of a publicly held corporation. To declare dividends on the common stock.

When a corporation declares a dividend, it offers the amount of the dividend and the elegance of stocks for which the employer will pay the dividend. every person keeping shares of dividend-paying common inventory has a right to the dividend as long as he holds the inventory at the "report" date.

The board of administrators issues a declaration declaring how a whole lot can be paid out and over what timeframe. This statement implies liability for the dividend payments.

Legally, businesses must have a credit score stability in Retained earnings with a purpose to claim a dividend. Nearly, a employer must even have a coins balance huge enough to pay the dividend and nevertheless meet upcoming desires, including asset growth and payments on existing liabilities.

Learn more about business here: brainly.com/question/24448358

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7 0
2 years ago
Emily works in an orphanage and strongly believes that what she does is important and adds real values to the lives of others. S
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Answer: EMPATHY

Explanation: Empathy can be defined as the ability of an individual to understand the feelings of other individuals. It is the capacity of experiencing the difficulties that the others are facing.

In the given case, Emily works in an orphanage and believes what she do is important. Emily understands the feeling of loneliness that those orphan children experiences even though she is not an orphan herself. Hence , we can conclude that she is reflecting empathy.

3 0
4 years ago
Read 2 more answers
The market price of a share of common stock is $55. The dividend just paid is $3, and the expected growth rate is 4%. Using the
Step2247 [10]

Answer:

r = 0.09672 or 9.672%

Explanation:

Using the constant growth model of dividend discount model, we can calculate the price of the stock today. The DDM values a stock based on the present value of the expected future dividends from the stock. The formula for price today under this model is,

P0 = D0 * (1+g) / (r - g)

Where,  

D0 is the dividend paid recently

D0 * (1+g) is dividend expected for the next period /year

g is the growth rate

r is the required rate of return or cost of equity

55 = 3 * (1+0.04)  /  (r - 0.04)

55 * (r - 0.04) = 3.12

55r - 2.2 = 3.12

55r = 3.12 + 2.2

r = 5.32 / 55

r = 0.09672 or 9.672%

4 0
3 years ago
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