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Galina-37 [17]
3 years ago
12

The purpose of growth accounting is to estimate the contribution each component of the aggregate production function makes to ov

erall economic growth. estimate the growth rate of an economy. use the change in total factor productivity to estimate the growth rate of an economy. estimate the extent to which growing costs are affecting the overall performance of an economy.
Business
1 answer:
Paul [167]3 years ago
4 0

Answer:

Estimate the contribution each component of the aggregate production function makes to overall economic growth

Explanation:

Growth accounting is a quantitative tool used to estimate the contribution each component of the aggregate production function makes to overall economic growth.

Growth accounting was first developed by Robert Solow.

The growth accounting equation is :

Capital Growth*(Weight of Capital's Contribution) + Labour Growth*(Weight of Labour's Contribution) + Technological Advancement

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An item that is recycled requires less energy than the disposal and manufacture of a new item. As a result, it can limit the waste of nonrenewable resources such as fossil fuels. More efficient use of nonrenewable resources increase their lifetime reserves, making them more comparable in logetivity to renewable resources.
6 0
3 years ago
Commercial banks are funded through which of the following?
Artemon [7]
A. Commercial banks lend mi way to consumers in the form of car loans, mortgages and personal loans. The money distributed for these loans comes from deposits of other bank customers.
3 0
3 years ago
Read 2 more answers
When immigration adds to the size of the domestic labor pool, which is likely to occur? minimum wage increases. wages decrease p
Grace [21]

Answer:

wages decrease

Explanation:

Labor is a factor of production and has a price like all other inputs. In the economy, labor is a commodity whose price is determined by the forces of demand and supply.  When there is an oversupply of labor, its equilibrium price will decrease.

The equilibrium price of labor is the prevailing wage rate, where  demand matches supply. When immigration adds to the labor force, it means an additional supply of able and willing workers in the markets. There will be many sellers or workers offering to supply labor services to the existing job openings. As a result, the price of labor will reduce as buyers or employers can lower the wage rate and still get the labor services they require.

8 0
3 years ago
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A corporation can earn 7.5% if it invests in municipal bonds. The corporation can also earn 8.30% (before-tax) by investing in p
Kryger [21]

Answer:

32.13%

Explanation:

The computation of the break-even corporate tax is shown below:

As we know that

Municipal bond return = preferred stock return before tax  × [1 - (1 - dividend exclusion) × Break even corporate tax]

7.5 = 8.30 ×  [1 - ( 1 - 0.70) × Break even corporate tax ]

7.5 ÷ 8.30 = 1 - 0.30 × Break even corporate tax

0.9036 = 1 - 0.30 × Break even corporate tax

0.30 × Break even corporate tax = 1 - 0.9036

So, Break even corporate tax is

= 0.0964 ÷ 0.30

= 32.13%

Basically we applied the above formula

3 0
3 years ago
. Suppose that a car dealer has a local monopoly selling Volvos. It pays w to Volvo for each car that it sells, and charges each
kicyunya [14]

Answer:

The dealer will sell 15 Volvos

Explanation:

Consider the following formulas to calculate the Q of which optimize the exercise.

Profit = Q*p

Profit = (30-q)*q

Profit = 30q - q^2

Differentiating with respect to q, we get

30-2q = 0

2q = 30

q=15

The dealer will sell 15 Volvos

6 0
3 years ago
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