The variable that connect the market of money and the market of goods via investment spending is: a The MPC b The interest rate c The MPS d The CPI

Q: Savings must be invested in order to bridge the gap between:    a. a drop in both income and…

A: Saving money is very important for creating wealth and having a secure financial future. Saving…

Q: If net exports are $300 and in the country the exports are double that of imports Calculate the…

A: According to the above mentioned question, the values are:- Net exports = $300 million Also the…

Q: Frank is lending $1,000 to Sarah for two years. Frank and Sarah agree that Frank should earn a real…

A: Given: The amount frank lands to Sarah for two years is = $1,000 The real rate of return is = 4…

Q: A small economy produces three main products, products A, B, and C. The following table indicates…

A: Use the below formula to find the real GDP: Real GDP = Base year price x Current year quantity

Q: Calculate the value of income if APC is 0.51 and the consumption expenditure is $6400

A: The given information is as follows:- Average propensity to consume = 0.51  Consumption expenditure…

Q: Calculate APC if income is $1000 and consumption is $390

A: Given: Income=$1000 Consumption=$390 To find: APC

Q: How is GDP affected by the nominal and effective interest rate

A: GDP refers to the total monetary value or market value of all the finished Products and services…