Countries with higher personal saving rates tend

Assignment Help Business Economics

Reference no: EM13978296

Countries with higher personal saving rates tend also to have higher rates of business investment and capital accumulation. Explain why this fact does not provide a justification based on social efficiency for policies that increase U.S. personal saving.

Reference no: EM13978296

Questions Cloud

What level of excess reserves does the bank now have : Third National Bank has reserves of $10,000 and checkable deposits of $100,000. The reserve ratio is 10 percent. Households deposit $20,000 in currency into the bank and that currency is added to reserves. What level of excess reserves does the bank ..

Sales tax on goods where the price elasticity of demand : Governor Brown, from the state of Taxifornia, wants to increase sales taxes to bring in badly needed revenue to support state operations. He is looking at taxing various goods and services. Will the state tax revenue be greater if the state imposes a..

In the neoclassical growth model we express the investment : Plot the saving function, i= sf(K) and output function y=f(k)=k1/2, where s=0.3and values of k vary between 4 and 9

Total savings by contributors to IRAs increased : From 1983 to 1987, a period of rapid economic growth in the U.S., total savings by contributors to IRAs increased by approximately the amount of their IRA contributions. Does this show that virtually all of their IRA savings were “new” savings—money ..

Countries with higher personal saving rates tend : Countries with higher personal saving rates tend also to have higher rates of business investment and capital accumulation. Explain why this fact does not provide a justification based on social efficiency for policies that increase U.S. personal sav..

What values would be assigned to ending inventory and cost : If Devine uses the first-in, first-out (FIFO) inventory method (periodic approach), what values would be assigned to ending inventory and cost of goods sold? How much is gross profit? If Devine uses the last-in, first-out (LIFO) inventory method (per..

Advertising for loans : Arrows up or down. In the application on consumer loans in South Africa, the loan uptake rate _________ as the interest rate decreased and _________ when the model on the offer was switched from a man to a woman. Advertising for Loans. Consider the n..

Gasoline is inelastic and supply is relatively elastic : Assume that the demand for gasoline is inelastic and supply is relatively elastic. The government imposes a sales tax on gasoline. The tax revenue is used to fund research into clean fuel alternatives to gasoline, which will improve the air we all br..

The firm makes a profit and pre-tax profit : A firm makes and sells a computer for $1000. The variable cost to produce a computer, for the range of production of the firm, is $3000 per unit. The total fixed costs per year to make the computer are $4.0 million. How many computers must be made an..

User Account

All Pages