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strojnjashka [21]
3 years ago
13

The production possibilities frontier provides an illustration of the principle that a. people respond to incentives. b. trade c

an make everyone better off. c. governments can sometimes improve market outcomes. d. people face trade-offs.
Business
1 answer:
Mekhanik [1.2K]3 years ago
7 0

Answer:

d. people face trade-offs.

Explanation:

The production possibility frontier shows all the combinations of two goods an economy can produce when all its resocurces are fully employed.

At one extreme of the curve, the highest possible amount of one good is produced while zero quantity of the second good is produced . To produce more quantity of the second good, one has to produce less quantity of the first good. This illustrates trade off.

I hope my answer helps you

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Scenario: Fiscal Policy Consider the economy of Arcadia. Its households spend 75% of increases in their income. There are no tax
nika2105 [10]

Answer:

less than the government spending multiplier

Explanation:

Given :

Percentage spends  by a households for the increase in the income = 75%

So the mpc = 0.75

Potential output = 600 billion arcs

The government multiplier is = $\frac{1}{1-0.75}$

                                                $=\frac{1}{0.25}$

                                                = 4

The tax multiplier is = $\frac{c}{1-c}$

                                 $=\frac{0.75}{0.25}$

                                 = 3

Thus we see that the tax multiplier is less than the government spending multiplier.

7 0
3 years ago
How can a reduction of​ in-transit inventory be​ encouraged?
sukhopar [10]

Supplier location near plants is the thing you must do for the reduction of in-transit inventory.Good in transit is to merchandise and other types of inventory that had left in the sales or the shipping dock seller, but not yet reached the receiving dock of the buyer. The answer in this question is supplier location near plants.
5 0
3 years ago
suppose your club is selling candles to raise money. It costs $100 to rent a booth from which to sell the candles.If the candles
Viefleur [7K]

Answer:

Number pf candles is equal to 25

Explanation:

We have given cost of rent = $100

Cost price of one candle = $1

And selling price of one candle = $5

Let the number of candles = x

So total expense =100+x\times 1=100+x

Total earning =5\times x=5x

According to question expense is equal to earning

So 100+x=5x

4x=100

x = 25

So number pf candles is equal to 25

6 0
4 years ago
Explain the mainstream theory of the business cycle. The mainstream business cycle theory is that​ ______ grows at a steady rate
aksik [14]

Answer:

The correct answer are 1. potential​ GDP; aggregate demand; 2. an inflationary; a recessionary.

Explanation:

The dominant theory of the business cycle is a theory about the business cycle, developed by economists at the Austrian School, including Friedrich Hayek and Ludwig von Mises. Explain the relationship between bank credit, economic growth and massive investment errors that accumulate in the bullish phase of the cycle, exploding with the bubble and destroying value.

On the other hand, the conventional theory of the economic cycle is a series of phases through which the economy passes and that happen in order until reaching the final phase in which the economic cycle begins again. It goes through periods of recession and periods of expansion. This phenomenon has been common throughout economic history, becoming known as "commercial cycles" or "cyclical fluctuations".

4 0
3 years ago
Consumers benefit from monopolistic competition by
Free_Kalibri [48]

Hey Friend

Monopolistic competition are markets with many buyers and sellers, easy to enter and leave, but with differentiated products. Therefore, the answer is (C).

6 0
3 years ago
Read 2 more answers
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