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worty [1.4K]
3 years ago
7

(Life-Cycle Hypothesis) According to the life-cycle hypothesis, what is the typical pattern of saving and spending for an indivi

dual over his or her lifetime? What impact does this pattern have on the saving rate in the overall economy?
Business
1 answer:
hammer [34]3 years ago
7 0

Answer & Explanation:

Modiglani's Life cycle Hypothesis depicts spending & consumption pattern of people, in order to stabilise / or smoothen their consumprtion. The theory has following phases :

  • Early (Non Working) Age, Low Income stage : Borrowings are done, to cover up for lack of income that yields desirable stable consumption level.
  • Youth, Earning (Working) Age : Savings are done, through surplus of income level over desirable stable consumption level.
  • Old, Post retirement (Non working age) : Dissavings are done, funds from previous savings are used to cover for lack of income that yields desirable stable consumption level.

Implication rate for entire economy saving rate : It implies that economy's savings rate is high, if more population comprises of middle aged working population.

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How do u become happy
emmainna [20.7K]

Answer: You can be happy by doing things you always wanted to do or just do your hobbies

Explanation:Have a good day!

5 0
3 years ago
A $1,000 bond matures in 15 years and carries a 5 percent coupon. The bond is callable in 5 years at a premium equal to one year
masha68 [24]

Answer:

The formula is

Price of the bond = [ $25 x ( 1 - ( 1 + 2.35% )^-30 )/ 2.35% ] + [ $1,000 / ( 1 + 2.35% )^30 ]

Explanation:

To calculate the price of the bond, use the following formula

Price of the bond = [ Coupon payment x ( 1 - ( 1 + Semiannual market rate )^-numbers od periods )/ Semiannual market rate ] + [ Face value / ( 1 + Semiannual market rate )^numbers of periods ]

Where

Coupon payment = $1,000 x 5% x 6/12 = $25

Semiannual market rate = 4.7% x 6/12 = 2.35%

Numbers of periods = 15 years x 12/6 = 30

Face value = $1,000

Placing values in the formula

Price of the bond = [ $25 x ( 1 - ( 1 + 2.35% )^-30 )/ 2.35% ] + [ $1,000 / ( 1 + 2.35% )^30 ]

6 0
3 years ago
Discuss and develop a theoretical network architecture for a small business in the area that wishes to expand into new facilitie
SVETLANKA909090 [29]

Answer:

The responses can be defined as follows:

Explanation:

The placement is essentially a network infrastructure facility in which a company can charge rent for servers as well as other equipment. A company can choose a site to build a server farm. However, one of the key drivers is the operating expenses for the building, maintenance, and updating of a computer system. We acquire and own the hardware (servers) as well as the software to support your presence online with the collocation, and thus are responsible for the correct setup and customization of a two. According to your needs, it may be possible to also buy a computer network or two to control traffic out into your servers (switching, router, firewalls, VPN devices, etc). The cost of the work for business continuity was often used by private companies over the years. Today, cloud providers particularly attractive among cools.

3 0
3 years ago
Which franchise model do automobile dealerships usually follow?<br> (plato)
sergij07 [2.7K]
Automobile dealerships usually follow “product distribution franchises”

Product distribution franchises meaning: Distribution Franchise, these product-driven franchises are where the franchisee distributes the parent company products and some related services. The parent company provides the use of its branded trademark, but not typically an entire system for running a business.
3 0
3 years ago
The designers at Fhontrake, a designer tailor shop, are organized into departments such as men's wear, women's wear, children's
Kruka [31]

"Customer departmentalization" organizational structures Fhontrake most likely follow.

<u>Explanation:</u>

Such departmentalization of consumers is where the operations of the company are prepared to respond and communicate with individual customers or groups of customers.

This hierarchical style is used when you put strong emphasis on representing various types of customers successfully, thus understood as customer departmentalization. For an enterprise that has products or services tailored to specific market segments, the customer-based structure is optimal, particularly if that company has specific knowledge of those segments.

8 0
4 years ago
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