Economy stimulation. Due to reduced taxes, a person has an extra $ 1 , 200 in spendable income. If we assume that the person spends 65 % of this on consumer goods, and the producers of these goods in turn spend 65 % on consumer goods, and that this process continues indefinitely, what is the total amount spent (to the nearest dollar) on consumer goods?
Economy stimulation. Due to reduced taxes, a person has an extra $ 1 , 200 in spendable income. If we assume that the person spends 65 % of this on consumer goods, and the producers of these goods in turn spend 65 % on consumer goods, and that this process continues indefinitely, what is the total amount spent (to the nearest dollar) on consumer goods?
Solution Summary: The author explains how to calculate the total amount spent on consumer goods, given that due to reduced taxes, a person has 1200 as spendable income.
Economy stimulation. Due to reduced taxes, a person has an extra
$
1
,
200
in spendable income. If we assume that the person spends
65
%
of this on consumer goods, and the producers of these goods in turn spend
65
%
on consumer goods, and that this process continues indefinitely, what is the total amount spent (to the nearest dollar) on consumer goods?
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Chapter B Solutions
Finite Mathematics for Business, Economics, Life Sciences and Social Sciences Plus NEW MyLab Math with Pearson eText -- Access Card Package (13th Edition)
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