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
lisov135 [29]
3 years ago
9

Assume the MPC is 0.6. If government were to impose $10 billion of new taxes on household income, consumption spending would ini

tially decrease by
Business
1 answer:
mihalych1998 [28]3 years ago
4 0

Answer:

$6 billion

Explanation:

Calculation to determine what consumption spending would initially decrease by

Using this formula

Decrease in Consumption spending=MPC * New taxes on household income

Let plug in the formula

Decrease in Consumption spending=0.6*$10 billion

Decrease in Consumption spending=$6 billion

Therefore consumption spending would initially decrease by $6 billion

You might be interested in
A global recession might limit the benefits of diversifying your investments because:________
Natasha2012 [34]

A global recession might limit the benefits of diversifying your investments because most investments may perform poorly if all countries are in a recession

A prolonged period of worldwide economic contraction is referred to as a global recession. As a result of trade links and international financial systems, economic shocks and the effects of recession spread from one nation to the next, causing more or less synchronized recessions in many national economies.

A decline in global per capita gross domestic product (GDP) is one of the factors the International Monetary Fund (IMF) employs to identify global recessions. The IMF defines this decline in global output as having to occur at the same time as a deterioration of other macroeconomic indices, such as trade, capital flows, and employment.

Learn more about global recession here

brainly.com/question/12483358

#SPJ4

6 0
1 year ago
One criticism of servant leadership is question 6 options: researchers have been unable to reach a consensus on a common definit
kati45 [8]
One criticism of servant leadership is that RESEARCHERS HAVE BEEN UNABLE TO REACH A CONSENSUS ON A COMMON DEFINITION. The servant leadership hypothesis is of the opinion that servant leadership consist of various abilities, traits and behaviors. Up to date, researchers have not agree on a common definition or theoretical frame work for servant leadership.
4 0
3 years ago
Based on the following information: Rate of Return If State Occurs State of Probability of Economy State of Economy Stock A Stoc
Sonja [21]

The expected return for stock A and B is 8.55% and 15.11% respectively.

<h3>What is the Expected return?</h3>

= (Probability of Recession × Return during recession) + (Probability of normal × Return during normal) + (Probability of boom × Return during boom)

Expected return for stock A:

= (0.20 * .05) + (0.57 * 0.08) + (0.23 * 0.13)

= 0.0855

= 8.55%

Expected return for stock B:

= (0.20 * 0.20) + (0.57 * 0.09) + (0.23 * 0.26)

= 0.1511

= 15.11%

Therefore, the expected return for stock A and B is 8.55% and 15.11% respectively.

Read more about Expected return

<em>brainly.com/question/25821437</em>

#SPJ1

3 0
2 years ago
What is the most fastest car in the world
gtnhenbr [62]

Answer:

Bugatti Chiron Super Sport

Explanation:

The Bugatti Chiron Super Sport can go 304 MPH

7 0
2 years ago
Fiscal policy would be more effective if: a. crowding out occurred more often. b. the government could change taxes and expendit
Elodia [21]

Answer:

B) the government could change taxes and expenditures rapidly.

Explanation:

Fiscal policy is the government's spending and taxation policies carried out to influence the country's economy. The government can carry out an expansionary fiscal policy by reducing taxes or increasing spending to try to boost the economy, or it can carry out a contractionary fiscal policy that increases taxes and reduces spending to try to cool down the economy.

Expansionary fiscal policies are carried out to try to increase total aggregate demand, but it also increases the government's deficit and national debt. The main gals of fiscal policy should be to lower unemployment rate and achieve a sustainable economic growth.

4 0
3 years ago
Other questions:
  • ​Moe's Pizza Shop sells a large pizza for​ $12.00. Unit variable expenses total​ $8.00. The breakeven sales in units is​ 7,000 a
    15·1 answer
  • What is the 5 stage plan for productive meetings? - Why is this important and how will it improve the success of developing a ch
    7·1 answer
  • 1.Which might NOT be an option for increasing your present income?
    6·1 answer
  • In order to hire graduates and postgraduates of microbiology, Arthur, the human resource (HR) manager at Kartholfen, a pharmaceu
    13·1 answer
  • 9. How are industrial goods different from consumer goods? Explain.
    9·1 answer
  • What is meant by "tax allocation within a period"? What is the justification for such practices?
    13·1 answer
  • 3A. The Waffle House pays a constant annual dividend of $1.25 per share. How much are you willing to pay for one share if you re
    13·1 answer
  • Orders for clothing from a particular manufacturer for this year's Christmas shopping season must be placed in February. The cos
    9·1 answer
  • 50 POINTS AND BRAINLIEST
    11·1 answer
  • question mode multiple choice question a company is currently selling 10,000 units of product for $40 per unit. the unit contrib
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!