Homework Answers
Add Answer to:
Questions 28-30 1. Assume that investment expenditures () increase by a multiple of 10 dollars for...
Assumethatinvestmentexpenditures(I)increasebyamultipleof20dollarsforeach1 percentage point decrease in Kappa’s only rate of interest (i). Kappa’ssimple(noinflation)GDPmultiplieris5. Kappa’smoneymultiplier(nocurrencydrainage)is5. WhenKappa’smoneysup
Assumethatinvestmentexpenditures(I)increasebyamultipleof20dollarsforeach1 percentage point decrease in Kappa’s only rate of interest (i). Kappa’ssimple(noinflation)GDPmultiplieris5. Kappa’smoneymultiplier(nocurrencydrainage)is5. WhenKappa’smoneysupplychangesby$10,therateofinterest(i)changesby1 percentage point. What change in investment expenditures (I) is required to bridge Kappa’s current recessionary gap of $200? a) an increase of $30 b) a decrease of $30 c) an increase of $40 d) a decrease of $40. What change in the rate of interest (i) is required to generate the change in investment expenditures in question 26? a) an increase of 2 percentage points b)...
Questions 1-5 Beta's National Accounts in 2019 1. Net Domestic Product 2. Exports 3. Personal income...
Questions 1-5 Beta's National Accounts in 2019 1. Net Domestic Product 2. Exports 3. Personal income taxes 4. Government expenditures 5. Consumption expenditures 6. Gross investment 7. Imports 8. Corporate profits before taxes 9. Personal disposable Income 10. Net Investment 11. Capital stock on January 1, 2019 Billions of $ 2250 100 300 600 1400 250 75 350 1900 225 30000 1. GDP was a) $2175 billion b) $2275 C) $2300 d) $2325. Depreciation was a) So billion b) $25...
(1) Other things being equal, which of the following will increase aggregate expenditures? Group of answer...
(1) Other things being equal, which of the following will increase aggregate expenditures? Group of answer choices An increase in domestic prices relative to foreign prices A decrease in the interest rate A decrease in real wealth An increase in income taxes A decrease in government purchases of goods and services (2) If the current unemployment rate is 5 percent and the natural unemployment rate is 6 percent, then the economy is Group of answer choices producing a level of...
26. are The four components of planned aggregate expenditures a. Consumption, investment, inventories, and government purchases....
26. are The four components of planned aggregate expenditures a. Consumption, investment, inventories, and government purchases. b. Consumption, planned investment, unplanned changes in inventory, and exports. c. Consumption, investment, government purchases, and net exports. d. Consumption, investment, exports and imports. 27. The aggregate demand (AD) curve slopes downward indicating that a. an increase in the general price level will reduce the aggregate quantity of goods and services demanded. b. an increase in the general price level will increase the aggregate...
IV. Calculations 2 questions 10 points-20 points ) 1. Assume the following simplified balance sheet for...
IV. Calculations 2 questions 10 points-20 points ) 1. Assume the following simplified balance sheet for the Baotou Bank Unit: Billion USS Assets Liabilities. Rate-sensitive assets T Rate-sensitive liabilities Fixed-rate assets Fixed-rate liabilities Using gap analysis, what is the effect of a 1 percent decrease in interest rames? What is the effect of a percent increase in rates? How to deal with the expected to unfavorable interest rate changes? 2. If the required reserve ratio is 10% , currency in...
What will happen to real GDP given a $30 billion increase in the money supply under...
What will happen to real GDP given a $30 billion increase in the money supply under the following assumptions? Each $5 billion increase in the money supply reduces the rate of interest by 0.50 percentage point. Each 1 percentage point decline in interest rates stimulates $100 billion worth of new investment. The spending multiplier is 2.5. Assume that the aggregate supply curve is so flat that the price level does not rise noticeably when aggregate demand increases.
What happens when the price level rises? a. Interest rates rise, so firms increase investment. b. Interest rates...
What happens when the price level rises? a. Interest rates rise, so firms increase investment. b. Interest rates rise, so firms decrease investment. c. Interest rates fall, so firms increase investment. d. Interest rates fall, so firms decrease investment. 44. Which of the following shifts money demand to the left? a. an increase in the price level b. a decrease in the price level c. an increase in the interest rate d. a decrease in the interest rate 45. If the world real interest rate exceeds the Canadian real interest...
Investment Problem: 1. Assume the MPC is 3/4, if investment spending increase by $50 billion, the...
Investment Problem: 1. Assume the MPC is 3/4, if investment spending increase by $50 billion, the level of GDP will: 2. Assume the MPC is 2/3, if investment spending decreases by $30 billion, the level of GDP will: Export Problem: 3. If the multiplier in an economy is 4, a $50 billion increase in exports will: 4. If the multiplier in an economy is 3,a $30 billion decrease in exports will: Balanced Budget Problem: 5. If the MPC is .75...
1. To stimulate economic activity during a severe recession, the strongest appropriate fiscal policy is: a....
1. To stimulate economic activity during a severe recession, the strongest appropriate fiscal policy is: a. an increase in taxes and/or an increase in government spending b. an increase in taxes and/or a decrease in government spending! c. a decrease in taxes and/or an increase in government spending d. a decrease in taxes and/or a decrease in government spending e. a decrease in government purchases and/or a decrease in transfer payments 2. An increase in income tax rates: a. makes...
answer these 4. will rate after Assume that the required reserve ratio is 20%. If the...
answer these 4. will rate after
Assume that the required reserve ratio is 20%. If the Federal Reserve buys $10 million worth of government bonds from the public, the maximum change in the money supply will be: more than 10 million. $2 million. O less than 10 million. o less than 2 million. Assume the reserve ratio is 25 percent and there are $40,000 in new deposits in the banking system. As a result, the money-creating potential of the commercial...
Questions 1-5 Beta's National Accounts in 2019 1. Net Domestic Product 2. Exports 3. Personal income taxes 4. Government expenditures 5. Consumption expenditures 6. Gross investment 7. Imports 8. Corporate profits before taxes 9. Personal disposable Income 10. Net Investment 11. Capital stock on January 1, 2019 Billions of $ 2250 100 300 600 1400 250 75 350 1900 225 30000 1. GDP was a) $2175 billion b) $2275 C) $2300 d) $2325. Depreciation was a) So billion b) $25...
26. are The four components of planned aggregate expenditures a. Consumption, investment, inventories, and government purchases. b. Consumption, planned investment, unplanned changes in inventory, and exports. c. Consumption, investment, government purchases, and net exports. d. Consumption, investment, exports and imports. 27. The aggregate demand (AD) curve slopes downward indicating that a. an increase in the general price level will reduce the aggregate quantity of goods and services demanded. b. an increase in the general price level will increase the aggregate...
IV. Calculations 2 questions 10 points-20 points ) 1. Assume the following simplified balance sheet for the Baotou Bank Unit: Billion USS Assets Liabilities. Rate-sensitive assets T Rate-sensitive liabilities Fixed-rate assets Fixed-rate liabilities Using gap analysis, what is the effect of a 1 percent decrease in interest rames? What is the effect of a percent increase in rates? How to deal with the expected to unfavorable interest rate changes? 2. If the required reserve ratio is 10% , currency in...
1. To stimulate economic activity during a severe recession, the strongest appropriate fiscal policy is: a. an increase in taxes and/or an increase in government spending b. an increase in taxes and/or a decrease in government spending! c. a decrease in taxes and/or an increase in government spending d. a decrease in taxes and/or a decrease in government spending e. a decrease in government purchases and/or a decrease in transfer payments 2. An increase in income tax rates: a. makes...
answer these 4. will rate after
Assume that the required reserve ratio is 20%. If the Federal Reserve buys $10 million worth of government bonds from the public, the maximum change in the money supply will be: more than 10 million. $2 million. O less than 10 million. o less than 2 million. Assume the reserve ratio is 25 percent and there are $40,000 in new deposits in the banking system. As a result, the money-creating potential of the commercial...
Most questions answered within 3 hours.
-
A coach uses a new technique to train gymnasts. Seven
gymnasts were randomly selected and their...
asked 1 hour ago -
While rotating the tires on your car you notice a rock [mass =
0.1 Kg] stuck...
asked 3 hours ago -
Using MARS simulator, write MIPS programs according to
the following scenarios: Receive a positive integer number...
asked 5 hours ago -
An object in front of a concave mirror has a real image that is
11.5 cm...
asked 5 hours ago -
Consider the reaction, C3 H8 + O2 --> CO2 + H2O. How many
moles of O2...
asked 7 hours ago -
You and your opponent both roll a fair die. If you both roll the
same number,...
asked 8 hours ago -
In a study of the accuracy of fast food drive-through orders,
Restaurant A had 257 accurate...
asked 8 hours ago -
Identify and describe in detail the four categories of
institutions that could be included in a...
asked 8 hours ago -
In python
class Customer:
def __init__(self, customer_id, last_name, first_name, phone_number, address):
self._customer_id = int(customer_id)
self._last_name =...
asked 8 hours ago -
What is an example of a limitation in implementing a new
ERP system and how it...
asked 8 hours ago -
In a section of 9.7cm of an artery with a radius of 2.6mm there
is a...
asked 8 hours ago -
the two carboxylic acid groups of aspartic acid have different
acidities with pKa values of 2.1...
asked 8 hours ago