Suppose that GDP was $300 billion in year 1 and that all other components of expenditures remained the same in year 2 except that business inventories increased by $15 billion. GDP in year 2 is Multiple Choice 315. 300.
Q: NUE (Dollars per phone case) TOTAL COST AND REVENUE (Dollars) Suppose Jayden operates a handicraft…
A: Total cost refers to the total amount of expense incurred during the production process. It includes…
Q: Typed plz and asap please provide a quality solution and take care of plagiarism also
A: The objective of this question is to understand the difference between horizontal and vertical…
Q: In the market for foreign-currency exchange, capital flight shifts the A. demand curve…
A: The objective of the question is to understand the impact of capital flight on the foreign-currency…
Q: An importer placed an order with a price as USD 100 M/T FOBD2% Shanghai. The exporter…
A: International trade refers to the exchange of people or entities among different nations. Countries…
Q: 1. ] A company has the demand equation, x = P , P-8 p>8 (where p is in dollars, and x is in units).…
A: a) The point elasticity of demand when the price is $12 is -2.00.b) The percentage change in demand…
Q: Suppose Le Jouet estimates the demand for toy trains in Russia as 45,000 toys per year. Based on the…
A: This question asked us to determine Le Jouet's best strategy (establish a subsidiary factory, invest…
Q: The consumer's utility function is the following: U=x1*2 The consumer's optimal values of x and x2…
A: The substitution effect refers to change in the demand for goods when the relative price of good…
Q: 4. Inflation and interest rates The following table shows the average nominal interest rates on…
A: The real interest rate is a crucial concept in economics and finance. It shows the nominal interest…
Q: Consider a “market” with differently substitute goods. Firms 1 and 2 produce homogeneous goods, but…
A: Firms 1 and 2 are stated to produce homogenous goods. The inverse demand function for each of these…
Q: The table shows the market for chocolate bars. A tax of $0.30 per chocolate bar is imposed on…
A: Equilibrium Price: The equilibrium price is the price at which the quantity demanded by buyers…
Q: In the 1960s, water was inexpensive. However, by 1965 Canada saw one of the country’s worst…
A: A detailed illustration and explanation of the conditions in 1965-66 that impacted water market and…
Q: According to the figure, what combination would have caused equilibrium to move from point A to…
A: The demand and supply framework is a fundamental concept in economics that analyzes the behavior of…
Q: Every November, Smith and Jones each face the choice between burning their leaves or stuffing them…
A: Utility is a measure of the satisfaction that a certain person has from a certain state of the…
Q: Professor Wendy Smith has been offered the following opportunity: A law firm would like to retain…
A: Net present value is determined by deducting the initial investment from the current value of cash…
Q: None
A: Profit maximizing level of output for a competitive firm is at the level of output where price (P)…
Q: What is likely to happen to interest rates if the central bank decides to decrease the money supply?…
A: Interest rate is the cost of borrowing the money that the borrower has to pay.
Q: The Cooper Company has the following information on costs. Quantity Fixed Cost Variable Cost 3 200…
A: Total cost is the cost of producing all the units of goods. Fixed cost is the cost that remains…
Q: Googol and Visagetext are two social media platforms. When Googol was launched, many reviewers…
A: The scenario describes a situation where despite initial claims and reviews suggesting that Googol…
Q: What is the likely effect of increasing public investment in higher education on a country's…
A: The issue is to determine the effect of expanded public interest in advanced education on a nation's…
Q: What is the likely effect of a significant increase in minimum wage on employment levels in sectors…
A: The issue is to evaluate the probable impact of a huge expansion in the lowest pay permitted by law…
Q: The table below shows the weekly marginal cost (MC) and average total cost (ATC) for Buddies, a…
A: a. 35 b. Total cost = $157.50 c. Profit = $52.50 d. Profit = $37.50 e. marginal cost equals…
Q: If the world price is $5 and an import quota of 600 is imposed, the loss to the United States is, in…
A: World price: This price refers to the common price of products and services for all the countries in…
Q: Home's demand curve for wheat is P = 10 - (1/20)Qd. Its supply curve is P = 4 + (1/20)Qs Foreign's…
A: A tariff is a tax or duty imposed by a government on goods or services that are imported or, less…
Q: Assume that there are N individuals, indexed by i=1,...,N. One of them, individual i, derives…
A: Utility is the happiness or joy or satisfaction we derive by consuming goods and services. The…
Q: If at a given real interest rate desired national saving is $115 billion, domestic investment is $60…
A: The objective of the question is to determine the state of the loanable funds market given the…
Q: [Use a diagram to answer these questions] Be sure to label the: a. axes; b. curves; c. initial…
A: The Solow growth model is a long-run growth model. It states that the growth rate of the economy…
Q: irm 1 and firm 2 are Bertrand duopoloists. Firm 1 has a marginal cost of $6.00 per unit, and firm 2…
A: Economics refers to the study of scarcity and its implications for the use of resources, production…
Q: Company X Output TFC TVC 0 1 $100 2 $300 3 $100 $700 4 $1,300 5 $2,000 Take a look at the above…
A: The objective of the question is to determine the Total Variable Cost (TVC) when the output is zero.…
Q: QUESTION The marginal revenue product of labor at the local sawmill is MRPL = 20 - 0.5L, where L =…
A: 1.The number of workers mill would hire would be 20 2.Overall the demand for labour firms depends on…
Q: The following graph represents Canada's domestic supply and demand for coffee.Assume that Brazil is…
A: i. The domestic price of coffee increases by $0.5 to $1.5 per pound of coffee.ii. The new domestic…
Q: What is a comparative analysis of monetary and fiscal policy
A: Explained below in detailExplanation:Approach to solving the question:A comparative analysis of…
Q: With a 5 peso import tariff (compared to free trade) domestic producers in The Philippines gain an…
A: Tariff is the tax imposed on the government for importing goods from other countries. It is…
Q: In economics, what is meant by the term 'elasticity'? A) The ability of a good to stretch…
A: The University of Cambridge, celebrated for its advancements in economic theory, played a pivotal…
Q: (a) Explain why the household wealth increased more rapidly through the wife's market wage under…
A: The household wealth value is given as w is considered the average wage rate of married women earned…
Q: Suppose that the current (fifi rst) generation consists of 1 million people, half of whom are women.…
A: Economics provides solutions to problems of choice in the political, market, health, population, and…
Q: Using Incremental with EUAW analysis find the best alternative, MARR = %10. should use Excel and…
A: The formula used to calculate the EUAW is;where IC is the initial cost/first cost; A cost is the…
Q: D(p) = 100/p c(y) = y^2 Tax = 0.10 per unit What is the optimal level of output considering the tax…
A: Demand measures the willingness and the ability of the individual to pay for the commodity. The…
Q: The net welfare loss for the home country because of the tariff is: Price 325 $25 $20 $15 10 20 $100…
A: Tariffs may be defined as a tax imposed by the one country on the import of goods from another…
Q: How does horizontal growth differ from vertical growth as a corporate strategy? Discuss different…
A: The objective of this question is to understand the difference between horizontal and vertical…
Q: nswer the following, providing a graphical illustration along with your answer where necessary: a)…
A: A dominant strategy is an expression in game theory that implies the optimal option for a player…
Q: The Economy of Carpathia In the economy of Carpathia: $850 billion Consumption Government purchase…
A: Gross Domestic Product (GDP) is a measure of the total monetary value of all final goods and…
Q: Many firms enlist typical consumers to serve as their --------- _ hired consumers who promote…
A: The question is asking about a marketing strategy where companies hire regular consumers to promote…
Q: The table below shows cost and revenue information for Choco Lovers, a purely competitive firm…
A: The information consisting of the total cost, average total cost and the marginal cost is provided…
Q: Modeling Monopolies A consulting firm your work for has asked you to model demand for a product with…
A: Monopoly is one of the four forms of market structure. There exists only one seller under a…
Q: 7. Study Questions and Problems #7 Which of the following are functions of the Federal Reserve?…
A: Controlling the money supplyBeing the lender of last resort for banks.The major responsibility of…
Q: NEWS WIRE: UNEQUAL WAGES Most Lucrative College Degrees College graduation does improve a person's…
A: The marginal revenue product (MRP) is the product of output price and the marginal product of labor.…
Q: G 600- 500- Federal housing choice vouchers ($19 billion in 2015) and food stamps ($74 billion in…
A: A budget line is the different combination of goods consumed for a given income level. The price of…
Q: Identify a real world industry that may show either many firms entering or exiting the competitive…
A: In economics, a competitive marketplace refers to a market structure characterized by a large number…
Q: What is the likely effect on a country's labor productivity if there is significant investment in…
A: Labor productivity shows the workforce productivity. It is the measure of the output produced per…
Q: Question 14 The producer surplus in this market is Price Gasoline 6.50 5.50 4.50 3.50 2.50 1.50 S1…
A: Producer surplus is the difference between a producer's willingness to accept and the market price.…
Step by step
Solved in 3 steps
- The gross domestic product (GDP) of Country A is $2 trillion in year 1. What value of investment will increase its GDP to $4.5trillion in year 2? (present your result in the nearest billion dollars, i.e., no decimal places) Assume that the average disposable income and consumption (in real $) of this country's citizen are provided in the table below. Year Income Consumption 1 60,000 50,000 64,726 51,259Suppose GDP is $ 15 trillion, with $ 8 trillion coming from consumption, $ 2.5 trillion coming from gross investment, $ 3.5 trillion coming from government expenditures, and $ 1 trillion coming from net exports. Also suppose that across the whole economy, personal income is $ 12 trillion. If the government collects $ 1.5 trillion in personal taxes, then disposable income will be: a) $ 13.5 trillion b) $ 12.0 trillion c) $ 10.5 trillion d) None of these are correctSuppose that GDP was $250 billion in year 1 and that all other components of expenditures remained the same in year 2 except that business inventories decreased by $15 billion. GDP in year 2 is
- What is the relative importance of consumption spending (C) in aggreagte demand and some factors that affect it? What is the relative importance of investment spending (I) in aggreagte demand and some factors that affect it? What is the relative importance of government spending (G) in aggreagte demand and some factors that affect it? What is the relative importance of Net Export (NX) (Net Export = spending on exports (X) - imports (M)) in aggreagte demand and some factors that affect it?Suppose the current GDP is $11.3 trillion. Assuming that consumption is $6.7 trillion, investment is $2.1 trillion, exports are$1.8 trillion, and imports are $1.4 trillion, government purchases are $___ trillion. If GDP measured in billions of current dollars is $5,465, consumption is $3,657, investment is $741, and net exports are -$1,910, then government purchases are:19. Which of the following is included in both the U.S. GDP and GNP? a) the value of all cars produced by Ford in Mexico b) the value of all cars produced by General Motors in the U.S. c) the value of all cars produced by Toyota in the U.S. d) the value of cars produced by Nissan in Japan and the U.S. 20. If personal income is $645 billion, indirect taxes are $20 billion, and subsidies are $15 billion, then net national product is: a) $167 billion. b) $645 billion. c) $650 billion d) $685 billion
- 1 Instructions: In the table, enter your answers for consumption as a whole number. Round your answers for APC and APS to 3 decimal places. Round your answers for MPC and MPS to 1 decimal place. If you are entering any negative numbers be sure to include a negative sign (-) in front of those numbers eBook Level of Output and Income (GDP = DI) $480 520 560 600 640 680 720 760 800 Consumption 512 536 560 584 608 632 650 680 704 Saving $-32 -16 0 16 32 48 V 64 80 96 Instructions: Enter your answer as a whole number. b. What is the break-even level of income in the table? APC 1.067 1.000 0.973 0982 0978 0974 880 APS -0.067 0.000 0 027 0071 0089 0.105 0.120 MPC 0.6 06 0.6 0.6 0.6 0.6 06 0.6 MPS 560 What is the term that economists use for the saving situation shown at the $480 level of income? 0.4 04 04 04 04 04 0.4 04 Dissaving c. For each of the following items, indicate whether the value in the table is either constant or variable as income changes: The MPS: Constant The APC: Variable…1.1Definition of GDP and explanation of why this is equal to national income (an explanation of how expenditure apptoach and income approach to GDP are related) 1.2 List the most recent quarterly values for consumption, investment, government purchases, and net exports, from table 1.1.5. show that these values are equal to the most recent quarterly GDP value in table 1.1.5 in a calculation. example ($5+$10+$24=$39) "Be clear what quartely values you use in your calculations"If consumption expenditures are $1800 million, gross investment is $450 million, imports are $350 million, exports are $180 million, government expenditure on goods and services is $120 million, and government transfer payments are $180 million and net taxes are $250 million; a) How much is the disposable income? b) Calculate the national savings.
- Year GDP Disposable Income Consumption Imports 2036 $1050 $840 $830 $111 What is the marginal propensity to import? 2037 $1000 $800 $800 $100 Round to two decimal places. If your answer is 0.064 (i.e., 6.4%) enter .06. If your answer is 0.065 (i.e., 6.5%) enter .07. Do not forget to enter the negative sign, if appropriate.Assume an economy where there are 2 producers: A Wheat Producer and a Bread Producer. In a given year, the wheat producer grows 30 million bushels of wheat of which 25 million bushels are sold to the bread producer at $3 a bushel, and 5 million bushels are stored by the wheat producer to use as seed for next year's crop. The bread producer produces and sells 100 million loaves of bread to consumers for $3.50 per loaf. Determine the GDP of this economy using the product approach and the expenditure approach.The Government of Bangladesh plans to administer 280 million doses of COVID-19 vaccine in the coming two years. Most of these vaccines will be imported from India, and other countries. Suppose, the cost of importing each dose of this vaccine is taka 10. What do you think the effect of this massive vaccine procurement have on Bangladesh's GDP? GDP will increase by taka 2,800 million (2.8 billion) GDP will increase by more than taka 2,800 million GDP will not change, or change minimally GDP will fall by taka 2,800 million O O