Morgan D. decides to go on a vacation for which he withdraws $2,500 from his savings account (NOT his checking account. Recall, saving accounts are part of M2 and M1 is a part of M2). As a result of this transfer by itself O M1 increases by $2,500 and M2 stays the same. O M1 decreases by $2,500 and M2 decreases by $2,500. O M1 decreases by $2,500 and M2 stays the same. O M1 increases by $2,500 and M2 decreases by $2,500.

Morgan D. decides to go on a vacation for which he withdraws $2,500 from his savings account (NOT his checking account. Recall, saving accounts are part of M2 and M1 is a part of M2). As a result of this transfer by itself O M1 increases by $2,500 and M2 stays the same. O M1 decreases by $2,500 and M2 decreases by $2,500. O M1 decreases by $2,500 and M2 stays the same. O M1 increases by $2,500 and M2 decreases by $2,500.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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B9
What are the Revenue projects?
There is a bar on Off‐Main Street called the Rock‐n‐Roll Bar. All the people that go to that bar like to listen to rock‐n‐roll music, and they love live bands. If the bar owner brings bands in to play music on a Saturday night, she will make a lot of money. However there are tenants in this building who get annoyed by the loud music. The benefits/costs to the owner/tenants of having zero, one, two or three bands on a Saturday night are listed below. If the tenants have the right to be free of loud music enforced through aproperty rule, how many bands will play in Rock‐n‐Roll Bar on a Saturday night? A. ZeroB. OneC. TwoD. ThreeE. It depends on transaction costs
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1
3 Calculate the income taxes that a person has to pay considering the table below- If a person's income is $6,500, how much does he pay in taxes? If a person's income is $13,500, how much does she pay in taxes? (a) (b) Taxable Up to $5,000 $5,001-$10,000 $10,001-$15,000 Income Taxes 10% of taxable income 14% of taxable income 16% of taxable income
Output TFC 0 $500 2 500 4 CO 00 6 8 10 500 500 500 500 TVC $0 200 340 590 1000 1650 TC $500 700 840 1090 1500 2150
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