Crowding out occurs when expansionary fiscal policy causes unemployment to rise inflation to rise inflation to fall interest rates to rise interest rates to fall

Q: Which is the interest rate at which banks borrow from the Federal Reserve? the federal funds rate…

A: Federal reserve, known as Fed, is the central bank of U.S. which controls the monetary  policy of…

Q: Question 67 Which of the following is most likely to result in accelerated economic growth? O Higher…

A: Economic growth: - economic growth is the increase in the quantity of goods and services in an…

Q: Che-Che bought his brother a laptop 5 years ago which has a cost of around 25,000PhP. The laptop’s…

A: The given variables are: Initial cost = PhP 25,000 Life = 10 years Semi annual maintenance after 5…

Q: Write about the stages of building an economic model (econometrics methodology

A: The quantitative application of statistical conclusions, economic theory, and mathematical models to…

Q: Which statement about business cycles in the United States is most accurate? Multiple Choice…

A: The economy of the United States alternates between periods of expansion, when employment and…

Q: On January 10, 2017, a man in Lebanon, Virginia, frustrated with the DMV bureaucracy, paid his DMV…

A: Answer is given below

Q: ne . Question 1 Question 2 Question 3 O www.wa + 188 Price P P Slide 2 of 6 A ECO-205 As...) O'Neill…

A: Demand curve shows a negative relationship between price and quantity demanded. Supply curve shows a…

Q: Assume a government has $28,667 in tax revenues and $40,094 in total government spending. What is…

A: Answer; Government budget balance= Tax revenue-total expenditure Here, Tax revenue = $28,667 and…

Q: A company purchased equipment for $30,000 cash and obtained a bank loan for $20,000 for the balance…

A: Financial transactions coming into or out of your enterprise are recorded in journal entries. All of…

Q: Concent of competitive advantag the aspect of qualify LOW COST technology and other

A:

Q: If nominal GDP is $1,000 and the money supply is $250 then money velocity is

A: Given money supply = 250 $ Nominal GDP = 1000 $ Velocity of money = Nominal GDp / Money supply =…

Q: price levels. Assume that this effect is independent of the price level, that is, the AD curve has a…

A: The correct answer is given in the second step.

Q: All of the following statements are true EXCEPT: Graph A Graph B Price Level LRAS SRAS Price Level…

A: Equilibrium in the short run occurs at the intersection of AD and SRAS curves.

Q: The growth in the velocity of M2 has been steady at about 2% since 1950 so we figure it will stay…

A: Answer; We Know That   Inflation in Future ( P)= 5%   Rate Of Growth Of Real Output (Y) =…

Q: The Shell Corporation has a 34% tax rate and owns a piece of petroleum-drilling equipment that costs…

A: iven information First cost=$119000 Annual revenue=$33100 Salvage value=$31600 CCA rate=30% Tax…

Q: The Aggregate Demand line slopes down for a few reasons, one of which is ... Group of answer choices…

A: Aggregate demand shows an inverse relationship between price level and real output. It slopes…

Q: Suppose a discriminating monopolist is selling a product in four separate markets in which demand…

A: Given, the demands in the monopolistic firms: Q1 = 300 – P1; P1 = 300 - Q1 Q2 = 200 – 0.5P2;  P2 =…

Q: Consider the following cost function: Total Cost = 50+5Q^3 and demand curve Price= 5000-275*Q Given…

A: The profit is maximum at MR=MC MR=5000-550Q ....... An MR curve is double sloped than an inverse…

Q: A company purchased equipment for $30,000 cash, obtained a bank loan for $20,000, collected $100,000…

A: Investment activity as the word itself suggest means that investing in purchase or sale of any fixed…

Q: All of the following are drivers of globalization except

A: Globalisation is the free movement of people, capital, technology and trade from one country…

Q: Suppose a closed economy with no government spending or taxing is capable of producing an output of…

A: Consumption is the sum of Autonomous consumption and induced consumption. Autonomous consumption…

Q: Suppose that all investors have the disposition effect. A new stock has just been issued at a price…

A: Given,  Stock issued at a price of $50 A year later the stock will be take over price will be : $60…

Q: Explain the similarities of the experiences of at least two racial and ethnic groups.

A: Definition Race is a powerful social reality as well as a significant and long-lasting aspect of…

Q: 5. The role of brand names and advertising Which of the following statements about expenditures on…

A: Answer: (1). Advertising is done to provide a signal to consumers about the superior quality of the…

Q: A corporation decides whether to undertake a project that requires an investment of $150 million now…

A: Answer;

Q: The strong recovery in US domestic demand has spilled over to the rest of the global economy. The…

A: Demand is an economic notion that refers to a consumer's desire to buy things and services as well…

Q: Consider an AS AD diagram.  What would happen in the model if Stock values decreased? Group of…

A: AD-AS model is used to determine equilibrium real GDP and price level.

Q: The average price for a 16" pepperoni pizza in the U.S. Is USD 10. The average price for a similar…

A: Given for 16 pepperoni pizza average price in US = 10 USD the average price in Ukraine = 28 UAH…

Q: Given that fixed cost=230 and variable cost=12Q; the total cost of producing 30 units of output is?…

A: Total fixed cost = $230 Total variable cost = 12Q Units = 30 units  Total cost = ?

Q: What is the basic economic philosophy behind the conclusion that “a big shock to consumer spending…

A: Unemployment: - unemployment is that portion of the labor force that is able to do work and looking…

Q: Che-Che bought his brother a laptop 5 years ago which has a cost of around 25,000PhP. The laptop's…

A: The given variables are: Initial cost = PhP 25,000 Life = 10 years Semi annual maintenance after 5…

Q: Suppose real GDP is growing at a rate of 3%, and money supply is growing at 6%. What is the…

A: Answer; Answer = 3percentage

Q: In theory, fiscal policy can be as effective in stabilizing the economy as is monetary policy. What…

A: Fiscal policy is the policy that is made to achieve the stability by the government by using its…

Q: Question 8 In which situation is the real interest rate lowest? O The nominal interest rate is 8%…

A: The real interest rate of a bond or loan is calculated by adjusting the actual interest rate to…

Q: A firm has a short-run total cost function given as STC =q³5q² + 25q. a. If P = 100, identify the…

A: Answer; a)   Profit maximising quantity , q = 15   Profit = 1125   b)   Profit…

Q: Which of the following is true of market social equilibrium if third parties, people outside the…

A: Externality refers to spill-over effect of a good on third party which is not involved in either…

Q: Retirement Benefits. How are the retirement benefits under Social Security calculated? Describe some…

A: 1. The most common method for calculating Social Security benefits is to use "average indexed…

Q: Consider the following game, which is played simultaneously: B 1 1 -1 A 2 1 What type of game this…

A: Player A and B are heading in the same direction.

Q: One reason the CPI is monitored very closely by government, businesses, and workers is that Multiple…

A: Answer :-    Option 2nd is correct :-  Some wages, interest rates, tax rates, and government…

Q: Suppose the inflation rate is 3 percent, and the output gap is 2 percent. Using the Taylor rule…

A: Depositories (typically banks) lend and borrow money from one another in the overnight market. This…

Q: Which of the following is a macroeconomic topic? a. Whether the army should buy more tanks or more…

A: Macroeconomic topics are topics that relate to the economy as a whole.

Q: Suppose that the central bank observed a drop in real GDP, but does not know what caused this drop.…

A: The real business cycle theory explains two major industries Money supply concepts include: The…

Q: The maker of a leading brand of low-calorie microwavable food estimated the following demand…

A: * SOLUTION :-    Given that ,

Q: Which of the following statements about adjustable-rate mortgages is TRUE? Interest rates can't…

A: A mortgage with an adjustable rate of interest. Based on changes in an index rate, the rate…

Q: The following diagram presents a circular-flow model of a simple economy. The outer set of arrows…

A: Circular flow of income shows flow of goods and services and products between households and firms.

Q: 4. Working with Numbers and Graphs Q4 The face value of a bond is $6,000, and the annual coupon…

A: Answer; The coupon rate is 3%.

Q: Consider two air-conditioning systems with the cash flow estimates as given below. Use AW analysis…

A: The measure that depicts equivalent uniform annual worth of all costs and receipts being estimated…

Q: The money multiplier is the ratio of O the money supply to the monetary base OM2 to M1 O deposits to…

A: The money multiplier can be described as the disproportionate increase in the amount of money in a…

Q: The cost of grading and spreading gravel on a curvy rural road is expected to be $300,000. The road…

A: The benefit-cost ratio (BCR) is used to characterise the overall relationship between the relative…

Q: Will the monopolist produce an output level that is technically efficient?

A: The effectiveness with which a given set of inputs is utilised to produce an output is known as…