The answer is 8.80%.
Explanation:
To answer this question we should use either the formula of present value (PV) or Future value (FV) . Either of them will give the answer because they are inverse to each other.
FV = PV(1 + r) ^t
Solving r, we get
r = (FV/FV)^(1-t) - 1
r = ($1,630,000 / $270)^(1-102) - 1
r = 0.0891 or 8.91%
CA has nothing to do with FDI. Countries often engage in FDI in industries where the country they invest in has a comparative disadvantage.
When a nation's businesses make investments abroad, it promotes comparative advantage CA in the same sector at home.
What is comparative advantage -
The ability to create goods and services at a lower opportunity cost, not necessarily at a higher volume or quality, is referred to as having a comparative advantage.
What is FDI-
An entity based in another country makes an investment in the form of controlling ownership in a company in another country. This investment is known as a foreign direct investment (FDI).
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Based on the coordinates of point x and those of point y on the linear production possibilities curve, the opportunity cost of producing one watch is 2 fewer clocks.
<h3>What is the opportunity cost of producing one watch?</h3>
The opportunity cost of producing one watch is the number of clocks that needs to be given up per watch.
This will therefore be the slope of the linear production possibilities curve which can be found as:
= (Y₂ - Y₁) / (X₂ - X₁)
Solving gives:
= (80 - 20) / (20 - 50)
= 60 / -20
= -2 clocks
This means that for every watch produced, there will be 2 clocks that will be foregone to make that watch.
In conclusion, the opportunity cost is 2 clocks.
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Due to a recession, Lauren was laid off by her organization. To avoid having Lauren and other laid-off workers stop spending money and thus deepen the recession, <u>Unemployment Insurance</u> will help them maintain some income.
<h3>What is unemployment insurance? </h3>
Unemployment insurance (UI), also called unemployment benefits, is a type of state-provided insurance that pays money to individuals on a weekly basis when they lose their job and meet certain eligibility requirements.
Why in this situation, unemployment insurance will help them maintain some income?
This type of insurance, will cover people who lose their job but mainly it's not because employees's fault. One of the requirement is that these people lose their job because the condition at the market or recession in the whole country. While these people get laid off, so mostly it happens without any prior notice, they need help to cover their living expense. There, the unemployment insurance will help to cover their expenses while they are looking for a new job.
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I think the correct answer from the choices listed above is option D. All of these are open-system characteristics except circular causation. It is a<span>n action that is controlled or affected by its own status-change or result . Hope this answers the question. Have a nice day.</span>
