Answer:
Tax law uncertainty.
Explanation:
The “Tax law uncertainty” is the correct answer because it can be seen in the question that Congress has disallowed the deductions for advertisement in the future tax years. Since the decisions that the government takes are confidential and only a few people are aware of the decisions before its formal announcement. So the same case is here, Jolsen had a contract of $375000 annually and it will estimate that after obtaining the tax deduction, the advertisement cost will be lower. But the changes in the tax laws result in underestimated after-tax cost by Jolsen.
For entrepreneurs, the closer the solution relates to the actual problem the customer is experiencing, the more likely that there will be immediate sales upon completion of product development.
<h3>Reason for early sales</h3>
When a particular products meet the demand of people, there is possiblity of sales immediately after the product is release.
Hence, product should be targeted towards demand.
Therefore, For entrepreneurs, the closer the solution relates to the actual problem the customer is experiencing, the more likely that there will be immediate sales upon completion of product development.
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Answer:B. Opponents of active stabilization policy believe that significant time lag in both fiscal and monetary policy often excercebate economic fluctuations.
C. Advocate of active stabilization policy believe that the government can adjust monetary and fiscal policy to counter waves of excessive optimism and pessimism among consumers and business.
Examples of automatic stabilizer
A. Corporate income taxes
B. Personal income taxes
Explanation:
Stabilization policy helps to stabilize the economy during expansionary or deficit period however a lag in the implementation will surely affect getting the right outputs from the implementation.
The economy has inbuilt stabilizer s that tend to correct excessiveness in economy such as the personal and corporate tax . The federal fund rate will be adjusted as the need be to stabilizer the economy even though it can be used as a stabilizer but it's not an automatic stabilizer.