Answer:
An increase in government spending of $300 billion and a tax cut of $300 billion will have <u>EQUAL</u> effects on the budget balance and <u>UNEQUAL</u> effects on real GDP.
Explanation:
Both actions will increase the budget deficit by $300 billion each.
But the total effect of government spending in the aggregate demand is determined by the government spending multiplier = 1/marginal propensity to save (MPS).
On the other hand, the effect of the tax cut will be determined by the marginal propensity to consume (MPC).
I believe the answer is: Use concrete language with specific detail
Concrete language refers to a form of language that give clear understanding regarding the content of the message to the audiences. Expert communicators tend to do this by making sure that the term or lingo that they use is appropriate and could easily be received by the audiences.
D) All states have a flat state tax.
The answer is false. The investment is profitable if the total of all the adjusted cash inflows and the outflows is higher than zero. The Positive net cash inflow additionally indicates that the rate of return exceeds the 5% discount rate.
The required rate of return (RRR) for a stock with a high beta in relation to the market should be higher for investors utilizing the inflows CAPM calculation. The Investors must be compensated for the increased level of risk associated with investing in the higher beta stock by the greater RRR in comparison to other the investments with low betas.
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Answer:
"Progressive" would be the correct answer.
Explanation:
- A Progressive tax was indeed determined by the capability of the tax authorities to charge or compensate. It wants to inflict a lower corporate rate of taxation on low-wage earners unlike those with maximum income levels.
- This would be generally accomplished by establishing taxation levels for the group of tax-paying citizens based on income frequencies.
That is why the aforementioned seems to be the correct approach.