arold's MPC is .70. Harold has just received a birthday card with $100 inside. How much will Harold spend buying a gift for himself? $70 $100 $125 $0
Q: Use the following table to calculate the price elasticity of supply for computers. Quantity Supplied…
A: Price elasticity of supply is measurement of the responsiveness to the supply of a good or service…
Q: Suppose that average incomes today were $53,468 and are expected to grow at 2.9% each year for the…
A: Given Today's Average income P =$53,468 Expected growth rate GE = 2.9% Growth rate if the policy is…
Q: Making a large number of goods that are the same O inflation mass production corporation deflation
A: A decrease in the average price level of all goods and services over time in a particular economy is…
Q: The seasonally adjusted data below depict the performance of the U.S. economy in four quarters of…
A: real gdp is calculated at base price level whereas nominal gdp is calculate dat current year price…
Q: The following table shows prices and quantities in the hypothetical economy of Lowlands for two…
A: Here, the given table provides information about the price and output produced in a two-time economy…
Q: Suppose a firm faces a short-run total cost function of SRTC = 20 + 3Q + 2Q2 . a) Write the firm’s…
A:
Q: A person deposits a sum of $20,000 at the interest rate of 18% compounded annually for 10 years.…
A: Given information: Deposit amount = $20000 Interest rate = 18% Time period = 10 years
Q: The data from 200 machined parts are summarized as follows: y yes depth of bore E, no above below…
A: Hi! Thank you for the question, As per the honor code, we are allowed to answer three sub-parts at a…
Q: treaming Company streams TV shows to subscribers in the US and Canada. Demand is Qus= 50- (1/3)Pus…
A: Introduction,
Q: Exhibit: Demand and Price Elasticity 2 Price 58 is price inelastic s price elastic has a slope of…
A:
Q: Identify and discuss briefly three (3) Cost Drivers that may impact the costs incurred in the…
A: Let's look at the top three cost factors affecting the Caribbean airline industry's costs.
Q: Keynesia: Government expenditure 400 Exports 250 Autonomous imports 50 Autonomous consumption…
A:
Q: s the assistant manager of a restaurant, how many t formation for Saturday night's dinner menu:…
A: Given Demand = 91dinners per hour Server target utilization = 90% Service rate = 15 dinners/hour
Q: Q3: The annual rainfall was measured in the Western Desert during a period of one year, and the…
A: Frequency distribution: It is a recurrence dissemination table is an extensive approach to…
Q: A monopolist with constant average and marginal cost equal to 8 (AC = MC = 8) faces the demand Q =…
A: A monopolist maximizes profit where : Marginal Revenue = Marginal Cost Total Revenue =…
Q: 3. Is monopolistic competition efficient? Suppose that a firm produces wooden train engines in a…
A: Monopolistic competition happens when an industry has many firms offering items that are comparative…
Q: A company is considering buying a new piece of equipment for $40,000. It is expected to save $12,000…
A: The decision of the company regarding the buying of the machine can be analysed by calculating its…
Q: Suppose that the market for cashmere sweaters is a competitive market. The following graph shows the…
A: The provided graph is:
Q: 15 Discuss TWO (2) types of unemployment and provide a relevant example for each.
A: We know that When an individual belonging to the labor force of the economy, from the age group of…
Q: 1. Suppose the production function for sea waters during a particular period is represented by…
A: Q = F(K,L) = 6000 K2 L2 - 1000 L3This is a given production function which explains the relationship…
Q: Economics students often confuse (a) diminishing returns related to the variable factors of…
A: The return to scale and economies of scale are two different concepts. The law of diminishing…
Q: Exhibit: Demand and Price Elasticity 2 Price 58 2222 is price inelastic is price elastic 6 8…
A: To solve this question, we have to find the price elasticity of demand as we move on demand curve…
Q: Why is there so much informal finance in the Asian countries but not in the industrial countries?
A: Informal finance: It refers to a system under which money lenders or private owners offer money or…
Q: The article above states that "The Malaysia Competition Commission (MCC) will investigate the merger…
A: In this situation:- The Malaysia Competition Commission (MCC) will investigate the merger between…
Q: As the price level falls, the purchasing power of households' real wealth will rise remain the same…
A: Hi! thanks for the question but as per the guidelines, we answer up to three parts at a time. Kindly…
Q: 7.) State the Law of Demand. Discuss the relationship between Price of the good and its Quantity…
A: Demand is a fundamental concept in economics that affects both the individual and the economy.…
Q: Suppose the production function for widgets is given by q=kl-0.8k².0.21² where q represents the…
A: "Production function, in economics depicts the relationship between factor inputs and the amount of…
Q: Transfer payments are included in the gross domestic product or GDP. a. True b. False c. Maybe
A: Governments make economic investments, but they also give people transfer payments. There is no…
Q: monopsonist's demand for labor can be written as VMPE = 40 – 0.005ED. Labor is supplied to the firm…
A: Unemployment rate is characterized as that portion of individuals who are with practically no work.…
Q: ssume two book producers, Bookworm and Bookia are allowed to sell books in a fair. They may either…
A: As per the law of demand price and quantity demanded are inverse to each other which is visible from…
Q: Consumers will divide their income among all goods so that: the ratio of marginal utility to…
A: Answer: A consumer maximizes its utility where the ratios of marginal utility to the price of the…
Q: The table below shows the annual change in the average nominal wage and inflation rate since 2008.…
A: Here, the given table shows the change in annual inflation and annual nominal wages of the people in…
Q: What are the economic and accounting costs of higher education?
A: Economic cost is usually determined to be as the combination of the losses of any services or goods…
Q: Government spending is used for the nation's defense, infrastructure, health, and _________…
A: Government spending is used for the nation's defense, infrastructure, health, and _________…
Q: Use the following table to calculate the price elasticity of supply for computers Use the following…
A: Elasticity is a term used in economics to describe how the quantity required or provided changes as…
Q: 1 If the elasticity of demand for a product is -0.2, the demand curve is relatively ________ and an…
A: NOTE: We’ll answer the first question since the exact one wasn’t specified. Please submit a new…
Q: What is the present worth (to the nearest dollar) of a series of equal weekly payments of $2,000 if…
A: Given Weekly payment A =$2000 We have to calculate the present worth (a) r = 6% compounded…
Q: ed to yield 5%. The investor plans to sell the bond years once the second coupon payment is received…
A: *Answer: Par Value of Bond is $1000 Coupon rate is 7.5% Yield is 5% Time to maturity is 5 years…
Q: Disposable Income (YD) $ 0 200 400 600 800 1,000 Consumption (C) $ 150 300 450 600 750 900
A: In an economy, the consumption function is used to explain the overall consumption behavior of…
Q: Which of the following is a correct interpretation of this cartoon? OA. The budget will not be…
A: In economics, the term balanced budget means the revenue and expenditures of a country are the same.…
Q: Consider the competitive market for titanium. Assume that, regardless of how many firms are in the…
A: Marginal cost is the cost added by producing one more unit of output. Average total cost is the sum…
Q: If the price elasticity of demand for medical care is estimated to be 0.3, then doctors can raise…
A: Elasticity measures the responsiveness of quantity demanded to changes in price.
Q: 5. Explain, using an example, how policies aimed at increased GDP affect: a) Economic growth. b) A…
A: Answer: Demand-side policies that lead to an increase in GDP are expansionary fiscal policy and…
Q: Suppose that a researcher collects data on houses that have sold in a particular neighborhood over…
A: Standard errors are reported in brackets. Coefficient is significant if null hypothesis is rejected.…
Q: own experiences to describe when you were part of a transaction that resulted in a positive…
A: Externality refers to the activity done by an individual that may result in cause to society but not…
Q: 3. An economy shows the following features Consumption, C = 50 + 0.9Yd Tax Revenue, T = 100…
A: Answer: Given, Consumption, C = 50 + 0.9YdTax Revenue, T = 100Investment, I = 150 – 5iGovernment…
Q: National Company borrows from a bank a certain loan at a stated discount rate of 12% per annum. The…
A: An effective annual interest rate is the genuine profit from an investment account or any…
Q: Month January February March April Pasta (dollars per Yogurt (dollars per pound) $1.83 1.90 2.07…
A: Given that, Hanna's parents buy each month 32 pounds of pasta 79 packages of yogurt 22 bottles of…
Q: (10 points) Spring Assignment Suppose the price of gasoline rises from $1.89 to 2.17 per gallon, and…
A: elasticity of demand refers the change in demand due to change in price , and total revenue is the…
Q: Exhibit: Demand and Price Elasticity 2) The demand curve going from point D to E Os price inelastic…
A: Note - Hi! thanks for the question but as per the guidelines of the company we are not allowed to…
-
Harold's MPC is .70. Harold has just received a birthday card with $100 inside. How much will Harold spend buying a gift for himself?
$70
$100
$125
$0
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Show that if the multiplier is one, the slope of the savings schedule is one.TRUE OR FALSE The higher the responsiveness of income to interest rates the higher the expenditure multiplierIf consumers save 21 cents out of every dollar received, the Multiple Choice marginal propensity to save is 0.21. multiplier is 0.21. marginal propensity to consume is 0.21. marginal propensity to save is 0.79.
- Choose the correct answer: . If consumption is $25,000 when income is $26,000, and consumption increases to $25,900 when income increases to $28,000, the marginal propensity to consume is: 0,59. (B) 0.65. (C) 0.55. (D) 0.45. 2) Suppose consumption is $10,000 when income is $9,000 and the marginal propensity to save equals 0.1. When income increases to $9,500, consumption will be: $8,500. (B) $10,450. (C) $10,500. (D) $10,050.If the MPS = 0.1, then the value of the spending multiplier equals?How does the MPC differ from the MPS?
- Which one of the following statements relating to marginal propensity to consume is INCORRECT? (a) Marginal propensity to consume for a given consumption function is usually less than 1; (b) If the people in a country save 30c out of every rand they earn, the marginal propensity to consume in this country is said to be 0.7; (c) If the marginal propensity to consume is given as 0.622, then the value of the simple multiplier will be 2.5; (d) The larger the value of the marginal propensity to consume, the steeper the consumption function will be.If a $200 billion increase in investment spending creates $200 billion of new income in the first round of the multiplier process and $120 billion in the second round, the MPS in the economy is 0.2. 0.3. 0.6. 0.4.If the MPC equals 0.5, and real GDP is $14 trillion with potential real GDP $14.5 trillion, how much would governmentpurchases would need to increase by to restore the economy to potential real GDP?
