Answer:
Choice A would be the right response to either the following statement.
Explanation:
- This theory seems to be a hypothesis that implies that shareholders will seek a higher rate of return as well as premiums on high-term securities with significantly increased risk maturity since, if all other considerations are similar, investors choose cash and perhaps other extremely liquid assets.
- Even if there is an excess of capital, the inflation rate would have been over stability, as well as the amount of money needed would have been too increasing for stability.
The other choices are not relevant to the situation in question. So choice A is the right one.
Answer:
5% approx
Explanation:
Given that
Number of people in the world = 6.25 billion
And the number of people live in North America = 310 million
So, the percentage of the world population lives in North America would be
= (Number of people live in North America ÷ Number of people in the world) × 100
= (310 million ÷ 6.25 billion) × 100
= 5% approx
Answer:
increases the price level and real output, and then reduces short-run aggregate supply such that the economy returns to the full-employment level of output.
Explanation:
In the case of New classical economists, if there is an increase in aggregate demand i.e. non expected would rise the level of price and real output. After this decrease the aggregate supply i.e. short run in order to get the economy return to the full employement output level
Therefore as per the given situation, the first option is correct
And, the rest of the options would be incorrect
Answer:
A. Deadweight loss = 125 units.
B. Deadweight loss = 25 units.
Explanation:
In a free market and completely efficient economy, the consumer surplus equals the producer surplus. Both benefits of free trade. When consumers o producers have a minor surplus, necessarily implies a loss on eficiency, usually caused by government regulations like taxes or price ceilings.
The amount of welfare lost is measure by the difference between consumer and producer surplus.
In the first case:
|Consumer surplus - producer surplus| = 25 units
|250- 125| = 125 units
And in the second case:
|180- 155| = 25 units