Answer:
Capital is an important factor of production because it's what allows labor and land to be purchased.
Explanation:
capital can be the money that companies use to buy resources, as well as the physical assets companies use when producing goods or services, such as factories and machinery.
Answer:
In the simple Keynesian model, inflation becomes a problem only if demand increases at full employment.
Explanation:
In the Keynesian view, price inflation is mainly the result of relative changes in supply and demand, which lead to price changes. Changes in the money supply have no direct influence here. According to this school, the money supply is the result of money creation by the banking system; but this plays only a limited role in the process.
In this vision, a distinction is made between:
-
Demand inflation: Inflation occurs when the aggregated demand for goods and services increases, with an initially constant supply.
-Cost inflation: Inflation occurs if there is a sudden decrease in supply when demand remains the same.
Answer:
$ 317,000
Explanation:
Octuber Production: 200,000
Variable Overhead: $ 0.80 per unit
Fixed Overhead: $ 157,000
<u>Factory Overhead Budget for Octobe</u>r:
Octuber Production x Variable Overhead = <em>200,000 x 0.80 = 160,000</em>
Variable Overhead: <em>$ 160,000</em>
+
Fixed Overhead: <em> </em><em><u> $ 157,000</u></em><em> </em>
Total Overhead:<em> </em> <em> </em><em>$ 317,000</em><em> ( $ 160,000 + $ 157,000 ) </em>
D. making profits on sales
Answer:
A) the firm should hire additional workers.
Explanation:
if the marginal production of the tenth worker is 5 units or output and the price of each unit is $4, the the workers total marginal product revenue (MPR) = 5 units x $4 per unit = $20
Since the cost of hiring that tenth worker is $15 (less than MPR), then the company should hire more additional workers until the MRP = labor cost
