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lesya [120]
3 years ago
13

. Initially, the economy is in long-run equilibrium. The aggregate demand curve then shifts $50 billion to the left. The governm

ent wants to change its spending to offset this decrease in demand. The MPC is 0.80. Suppose the effect on aggregate demand from a change in taxes is 4/5 the size of the change from government expenditures. There is no crowding out. What should the government do if it wants to offset the decrease in aggregate demand?
Business
1 answer:
Romashka [77]3 years ago
3 0

Answer

the correct answer is

Reduce taxes by $5.56 billion dollars. Increase expenditures by $5.56 billion dollars.

good luck ❤

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30points
koban [17]

Answer: C

Explanation:

8 0
2 years ago
A matrix organization for project management has a distinct advantage because:A) Dual hierarchies mean two bosses.B) A significa
Zanzabum

Answer:

D) Project importance is enhanced by setting authority equal to that of functional departments.

Explanation:

A matrix organization is characterized by, multiple command system and overlapping of command, control and behavioral pattern.

Here, temporary project groups are created so as to handle short term projects. Personnel are drawn from functional department and their activities are controlled and coordinated by a project manager.

Once a project is completed, the structure is disbanded and the personnel return to their original departments i.e functional department.

During the project duration, a person is responsible and reports to two bosses, one being the project manager and secondly to the functional boss. Thus, under such a structure exists dual reporting.

Under matrix structure for project management, the project manager is not allowed to use resources exclusively for the project i.e like in project management. Rather, such a manager is required to share resources with the organization.

8 0
2 years ago
Continuing the analysis of Ginnie's Gym Refreshment Bar:
Irina18 [472]

The bundle that is going to maximize profit is going to be Late

<h3>How to find the bundle that would maximize profit</h3>

we have the net profit from early to be 7 + 5 = 12

We have the net profit from late to 6 + 10 = 16

We can see that the value for late is greater at 16 compared to that of the early.

Hence we can say that late has the greatest profit.

Next we have to solve for the profit that is made. This is the net profit.

The solution is given as 16 - 12 = 4

<h3>What is profit maximization</h3>

This is the process where by businesses would try to get the best output possible from the given inputs that they would use in the business. It goal is to be able to maximize the returns that they would make.

Read more on profit maximization here:

brainly.com/question/13464288

#SPJ1

8 0
2 years ago
How do changes in the environment affect businesses and thus consumers?
fiasKO [112]

Answer:

If the environment changes then the businesses will make products you need in that environment so consumers will buy more of that product because they need it. For example, if it's summer you need new summer clothes so companies will start to make summer clothes so people will buy them instead of winter or fall clothes because of the environment. So businesses are getting money and the consumers are getting what they need or want.  

8 0
1 year ago
If a limited partnership must liquidate, the distribution of assets is first made to the?
Mumz [18]

Answer:

Explanation:

i think the answer is  third party creditors

3 0
1 year ago
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