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Suppose that Congress enacts a lump-sum tax cut of $750 billion. The marginal propensity to consume is equal to 0.75. Assuming that Ricardian equivalence holds true, what is the effect on equilibrium real GDP? On saving?
Suppose a firm's average cost is R30 at 5 units of output and R32 at 6 units of output. The marginal cost of producing the sixth unit is R42. Is it true or false.
determine intellectual analysis and incisive. Write down a brief essay of about one page on the impact of labor migration.
Professional sports players are generally paid much more than farmers, factory workers, engineers also teachers.
At this level of pollution, what is the marginal cost of pollution control.
Find Equilibrium GDP (Y). If potential GDP is 1950, is the economy in a recessionary or inflationary gap. Suppose that the MPC, falls to 0.75, so C = 0.85DI. Find Equilibrium GDP.
It is possible for a company with positive retained earnings to be unable to pay cash dividend since they may not have the cash supply.
Explain the difference between a person's nominal income and their real income. Why is real income more important to that person.
Over the course of this month he has to deliver to 50 spots. To do this job he has 4 possible combinations of output that he can use
The Australian government administers two programs that affect the market for cigarettes
Describe economics and Describe the economic perspective, including definitions of scarcity, opportunity cost, purposeful behavior.
If government imposes a $5 specific tax to be collected from sellers, what is the price consumers will pay. Explain how much tax revenue is collected.
What would be additional effects follow from this initial effect. What is the total effect of the tax cut on aggregate demand.
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