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Illusion [34]
3 years ago
11

In certain economy pple save part income in financial sector and use remaining part for consumption the govt decides to increse

tax rates for evryone in that economy what effects will the tax increase have on savings and invwestment in the economy
Business
1 answer:
notsponge [240]3 years ago
7 0

Answer: Savings decrease, and investment decreases

Explanation:

A tax is referred to as a levy which is imposed on the people in a particular country so that the government can generate revenue.

When there's an increase in the tax rate, it simply means that the government wants to generate more money. This will have an effect on the consumption, savings and investment of the individuals in the economy as their savings will be reduced, consumption reduces and investment reduces as well.

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To the extent that a firm is able to standardize its products across country borders, use the same or similar production facilit
OlgaM077 [116]

Answer: True

Explanation:

When a firm is able to use the same or similar processes across different countries to produce goods and services, they will get more adept at using them and will be able to acquire resources at a cheaper rate because they acquire the required resources in huge quantities.

This will lead to optimum economies of scale because costs would be saved from both knowing how to be more efficient across various nations and being able to acquire resources at the lowest prices.

6 0
3 years ago
Required Information
il63 [147K]

Answer:

$1140.28

Explanation:

The computation of the net present value of this investment is shown below:-

= Annual Cash flows × Present Value of Annuity Factor (r , n) - Initial Investment

as

Annual cash flows = $8600

Present Value of Annuity Factor (r , n)

r = 10% and n = 4 years

So, the Present Value of Annuity Factor will be the sum of the present value of 4 years at 10%

For Year 1 = 0.9091

For Year 2 = 0.8264

For Year 3 = 0.7513

For Year 4 = 0.6830

Total = 3.1698

Therefore,

Net Present Value = (Cash inflow × Total) -

Initial Investment

= ($8600 × 3.1698) - $26,120  

= $27,260.28 - $26,120

= $1140.28

6 0
3 years ago
What is the screening effect?
Vlada [557]

Answer:

it's the theory that the completion of college indicates do employers that a job applicant is intelligent and hard-working

4 0
3 years ago
The strength of patent protection is that it___________.
Tatiana [17]

The strength of patent protection is that it D) grants a monopoly on underlying concepts and ideas.

4 0
4 years ago
A subsistence economy is one that ________. A subsistence economy is one that ________. meets its needs without working for wage
BigorU [14]

Answer:

The options in the question are not well aligned,find below question with properly aligned options:

A subsistence economy is one that ________.

a. meets its needs without working for wages and purchasing necessities  

b. meets its needs by overfishing lakes and rivers

c. purchases resources for immediate use

d. meets is needs while causing ecosystem destruction

e. purchases goods and services from others

Hence the correct option is A,meets its needs without working for wages and purchasing necessities  

Explanation:

In a subsistence economy,every household provides for its own basic needs,without any need for specialization that leads to exchange.

Specialization is act of engaging in what one knows how to do best, that way efficiency and effectiveness are guaranteed, as every output would have been given a professional touch.

Exchange is the process by which individuals buys their needs from others using money earned from their own specialty as a medium of exchange

5 0
3 years ago
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