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LiRa [457]
3 years ago
5

The crowding out effect will be greater than

Business
1 answer:
ELEN [110]3 years ago
6 0

Answer:

The correct answer to the following question is option B) .

Explanation:

Crowding effect refers to a situation where due to the increase in interest, there is a decrease in investment ( private investment spending ), which in turn leads to decrease in initial increase in investment. Here the interest rate have increased because of the expansionary fiscal policy implemented by the government, where they have increased their spending. A high magnitude of crowding effect can lead to decrease in the money supply in economy.

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In the United States, what does the general level of a family’s income have to do with the amount of cash the family is likely t
Sophie [7]

Answer:

The general level of family's income is directly proportional to the amount of cash a family is likely to hold

Explanation:

Of the three motives of money, transactional motives of money relates to holding money(whether at hand or at bank) to meet daily transaction e.g buying of fuel/gas, transport fare to work place.

If the level of income of a family increases, other things being equal, the family tends to hold more money for their daily transaction. The level of income is directly proportional to amount of cash a family holds...

For example, family A earns $100 per week and holds $30 to meet daily transaction or unforeseen circumstances. If his pay increases to$150, it is intuitive for Mr A to hold higher money, lets say $50

6 0
3 years ago
The Chief Financial Officer of Five Star Food Distributors has asked you to evaluate the building of a new warehouse. As an astu
salantis [7]

The answer is<u> "net present value".</u>


Net Present Value (NPV) is the estimation of all future cash flows (positive and negative) over the whole existence of a venture limited to the present. Net Present Value examination is a type of natural valuation and is utilized widely crosswise over back and representing deciding the estimation of a business, speculation security, capital task, new pursuit, cost decrease program, and anything that includes income.

8 0
3 years ago
An agreement between the owner of a brand and another company or individual who pays a royalty for the use of the brand in assoc
levacccp [35]

Answer:

<u>Licensing.</u>

Explanation:

Brand licensing occurs when there is an agreement between companies to use a brand and its characteristics such as name, logo and image, upon payment of royalts for the use.

It is a strategy that occurs on a large scale worldwide due to the ease of use and the added benefits of using a consolidated brand in the market, which already has an established public, and added value, which generates an economic strengthening in companies that use this strategy. as well as increased reliability and profitability.

7 0
3 years ago
If person A and B are well informed and intelligent player, A have available choices :
AfilCa [17]
Idisksjsisisiisisososk sjsjskdjdjjsjssjbsjsjsjs sjsu’s
5 0
3 years ago
In each of the following cases, determine how much GDP and each of its components is affected, if at all:
Elanso [62]

Answer:

Follows are the solution to this question:

Explanation:

In option A, Its increase in consumption and GDP is $200.

In option B, Investment decisions increase about $1800, net exports drop by $1800 and therefore GDP should remain constant.

In option C, GDP or investment wasn’t increasing only at present because estimates were produced last year.

In option D, Market growth is $470 million, options trading is rising by $30 million but GDP is growing by $500 million.

GDP is just a misleading indicator, it does not take into account recreation, environmental protection, education and health rates, non-market behaviors, changes in wealth disparity, increases of variety or rises in innovation. HDI's social progress Index could be used to highlight a need for people or their ability to assess national growth as the supreme requirement.

5 0
3 years ago
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