Answer:
11.63 million dollar
Explanation:
In 2005 the construction cost index was 1746 , in 2015 , it was 3260.
change in index in 10 years = 3260-1746 = 1514
change in 5 years ( estimated ) = 757
Estimated index in 2010 = 1746 + 757
= 2503
Estimated index in 2020 = 3260 + 757
= 4017
Value of building in 2010 = 1746 million dollar
Value of similar building - X
X / 1746 = index in 2020 (probable ) / index in 2010
X / 7.25 = 4017 / 2503
X = 11.63 million dollar
Answer: c. interest rate falls; investment rises
Explanation:
The Fed buying treasury securities from banks is an expansionary policy when the government wants to increase the money in circulation and increase economic growth.
When the Fed buys Treasury securities from banks, this will lead to availability of funds as prices will be pushed higher and there will be a reduction in the interest rate.
Since there is reduction in interest rate, investment will increase as investors will borrow from banks.
I think this is important without a doubt . You might need to use that money someday for yourself but won't have it because you spent it on a HUGE list of groceries. If you put some money aside for yourself, you will have money that your allowed to do anything with (saving, buying clothes, buying cars, etc.) You should always save some of your payment that way you always have extra money in case of any money emergenies or such.
True, profits of a large corporation are taxed twice, once a corporate income and again as personal income of stockholders. This is because the corporation is taxed when they earn the profit but then the stockholders are taxed as it is paid out as income/earnings.
Households would provide factors of production to firms.
- The circular flow demonstrates the movement of money in the economy.
- The two-sector model of circular flow comprises households and firms.
- Money first flows from producers to households in return for production services in the form of wages.
- Finally, return to producers back in the form of payment for the purchase or expenditure made by households.
<h2>What do you mean by circular flow of money?</h2>
- The circular flow model demonstrates how money moves through society.
- Money flows from producers to workers as wages and flows back to producers as payment for products.
- In short, an economy is an endless circular flow of money.
<h2>What are the two types of circular flow?</h2>
There are two types of circular flow:
- Real flow: The term real flow means the flow of factor services from households to firms.
- Similarly, the flow of goods and services from firms to households.
- Money flow: The money flow refers to the flow of factor payments from firms to households for factor services.
Learn more about the circular flow of money here:
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