1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Norma-Jean [14]
3 years ago
13

Compared to a country with an MPS of 0.05, a country with an MPS of 0.2 would have to change government expenditures by ________

_ as much to have the same impact on real GDP.
Business
1 answer:
const2013 [10]3 years ago
8 0

Answer: Four times.

Explanation:

Based on the information given, the government expenditure multiplier in this case goes thus:

K = ∆Y/∆G = 1/1-MPC = 1/MPS

For the first country with a MPS of 0.05, K = 1/MPS = 1/0.05 = 20

For the first country with a MPS of 0.2, K = 1/MPS = 1/0.2 = 5

Therefore, 20/5 = 4.

Therefore, the answer is four times.

You might be interested in
I got a 50 the first time taking this, don’t know what I got wrong.
loris [4]

Answer:

Price elasticities of demand and supply

Explanation:

Tax is a compulsory amount levied on goods and services by the government  or an agency of the government.

taxes increases the prices of goods and services

Deadweight loss of tax refers to a reduction in quantity demanded and supplied as a result of tax.

Price elasticity of demand measures the responsiveness of quantity demanded to changes in price of the good.

Price elasticity of supply measures the responsiveness of quantity supplied to changes in price of the good.

If demand or supply is elastic, the deadweight loss of tax is higher. If demand or supply is inelastic, the deadweight loss of tax would be lower.

8 0
3 years ago
Which of the following two methods are typically used for initial screening of​ investments, rather than for​ detailed, in-depth
OLga [1]

Answer:

A. payback and accounting rate of return

Explanation:

  • The initial screen is a practice method of excluding the investments form the portfolio basis on the social environment and governance and the screening is mot applicable to the investments.
  • Such as the mutual funds and the privately co-mingled funds. A positive screening means to exclude the companies that are environmental friendly have a socially responsible business practice.
4 0
3 years ago
Holly's Ham, Inc. sells hams during the major holiday seasons. During the current year 11,000 hams were sold resulting in $220,0
aalyn [17]

Answer:

The break-even point in sales dollars is: C. $32,000

Explanation:

During the current year 11,000 hams were sold resulting in $220,000 of sales revenue, $55,000 of variable costs, and $24,000 of fixed cost.

Contribution margin ratio = (Sales - Total Variable cost)/Sales = ($220,000 - $55,000)/$220,000 = 0.75

The break-even point sales dollars is calculated by using following formula:

Break-even point in sales dollars = Fixed cost/Contribution margin ratio = $24,000/0.75 = $32,000

4 0
3 years ago
The following is TRUE about Inventory:________.A. Firms decrease inventory because there is a risk of significant and unpredicta
Aleks [24]

Answer:

The correct answer is option (c).

Explanation:

Solution

From the question sated above the answer is, Firms or organisation decrease inventory because the more we spend on inventory, the more we will need to spend on the other related inventory expenditures.

The reason is because if the inventory is kept full or complete, then the cost related or connected with the maintenance of the inventory increases or goes up and it is not beneficial for the company itself.

7 0
3 years ago
I NEED HELP ASAP!!! A country recently had $800 billion worth of domestic investment and its residents purchased $400 billion wo
Mama L [17]

Answer: $500 billion

Explanation:

The country's savings will be explained below:

Savings = Domestic Investment + Net Capital Outflow

where, the net capital outflow will be:

= exports - imports

= $100 billion - $400 billion

= $-300 billion

Therefore, the country's savings will be:

= Domestic Investment + Net capital Outflow

= 800 + (-300)

= 800 - 300

= $500 billion

7 0
3 years ago
Other questions:
  • Kelly Corp. barters with Ace Corporation for goods that are similar in nature and value. The value of the goods was $1,000. The
    5·1 answer
  • In florida, an element of an insurance transaction would be
    12·1 answer
  • Please help me!! What is a good?
    14·2 answers
  • On April 17, 2014, Naughton Ltd. received an order from a customer for a delivery to be made in May 2014. Naughton Ltd. does not
    11·1 answer
  • Based upon the following data, what is the cost of the land? Land purchase price $196,981 Broker's commission 18,718 Payment for
    13·1 answer
  • A shift towards a higher proportion of sales of products with a higher contribution margin per unit will most likely result in a
    12·1 answer
  • Charles delivers flowers. He aerns $5.57 to deliever a flower arrangement. Last week he made $746.38. How many arrangements did
    8·1 answer
  • As it applies to corporations, employee-owner separation means that many employees
    15·1 answer
  • Which is an example of qualitative investment research?
    14·1 answer
  • Describe the nature of the following major categories of risk (1) Financial Risks (2) Political Risks (3) Environmental Risks​
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!