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atroni [7]
3 years ago
12

Consider the following information:

Business
1 answer:
Stolb23 [73]3 years ago
7 0

Answer:

The individual will plan to spend or consume more of his wages than usual; since he believes there'll be a tax cut.

Explanation:

C = consumption

W = wages

Note: No graph is attached to the question so we can't make use of certain information in the question.

Suppose there is an announced change in tax policy - a tax cut/reduction - and a tax increase later; <em>what is the impact of this policy on consumption if the consumer believes that the policy will be implemented?</em>

<em />

Reasoning as an economist, the first reaction of a rational consumer is to begin to consume more since he believes the tax reduction policy will be implemented.

NOTE that sometimes the government or financial ministry in a country intentionally announce policies just so citizens can begin adjusting their consumption and investment patterns in line with them. They do not necessarily follow up with implementation of the policies.

So for a consumer who believes that there'll be a tax cut, he'll be excited and will either consume more of his present wage or consume all and borrow or dissave.

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Suggest the appropriate functional forms for the relationships between the following variables, and explain your reasoning, keep
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Answer:

B is you answer

Explanation:

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What are the six segments of the travel industry? Give examples of each. <br> Actual examples please
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Carow Corporation purchased on January 1, 2020, as a held-to-maturity investment, $60,000 of the 8%, 5-year bonds of Harrison, I
tigry1 [53]

Answer:

Entries are given below

Explanation:

Requirement A.

On January 1, 2020 Carrow purchased held to maturity investment, $60,000 of the 8% 5year bonds of Harrison, Inc for $65,118

Entry                                                DEBIT   CREDIT

Held-to-maturity securities            $65,118

cash                                                                $65,118

Requirement B.

The receipt of semiannual interest and premium amortization

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cash (60,000 x 8% x 6/12)             $2,400  

held to maturity sercurities                            $446

interest revenue(65,118 x.6% x6/12)             $1,954

6 0
2 years ago
A grocery store has three open checkout lanes. On average, 45 shoppers arrive at these lanes per hour. The coefficient of variat
jonny [76]

Answer:

The percentage decrease in utilization is 83.33%

Explanation:

According to the data, we have the following:

Coefficient of variance, m = 3

Arrival rate, ra = 45 per hour

Service rate, re = 18 per hour per lane

Therefore, in order to calculate the percentage decrease in utilization when one more checkout lane is added to the system, we have to use the following formula:

So, percentage decrease in utilization = ra / (m.re)

                                                                = 45 / (3*18) = 0.833

The percentage decrease in utilization is 83.33%

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