Aggregate demand will increase or decrease and by how much

Assignment Help Business Economics
Reference no: EM13155775

assume the tax multiplier is estimated to be 1.5 and the aggregate supply curve has its usual upward scale. suppose the government lowers taxes by 150 million. aggregate demand will increase or decrease and by how much?

Reference no: EM13155775

Questions Cloud

In a one factor anova : In a one factor ANOVA, there are 3 independent samples, with n1 = 10, n2 = 12 and n3 = 9. The calculated F-statistic is F = 3.31. At the 0.025 level of significance:Use the tables in the text to determine the critical value of the test.
Problem related to direct write-off method : Tech Savvy, a computer consulting firm, has decided to write off the $8,375 balance of an account owed by a customer. Illustrate the effects on the accounts and financial statements to record the write-off (a) assuming that the direct write-off me..
How many moles of al2(so4)3 are present : If a sample of Al2(SO4)3 is found to contain 863 mol of Al3+ ions how many moles of Al2(SO4)3 formula units are present?
Explain the heat of fusion of ice : whose temperature is 95 C and which contains 130g of liquid. Assume the specific heat capacity of the coffee is the same as that of water. The heat of fusion of ice
Aggregate demand will increase or decrease and by how much : assume the tax multiplier is estimated to be 1.5 and the aggregate supply curve has its usual upward scale. suppose the government lowers taxes by 150 million. aggregate demand will increase or decrease and by how much?
Difference between phytoplankton and zooplankton : What is the difference between phytoplankton and zooplankton and why would you expect different colored seaweeds to grow at different depths?
Respective joint costs assigned each unit of products : Product X can be sold for $5 and Product Y for $4. Joint costs for the two products totaled $4,000 for January for 600 units of X and 500 units of Y. What are the respective joint costs assigned each unit of products X and Y if the sales value at ..
What mass of oxygen will react : What mass of oxygen will react with 2.64g of magnesium? 2Mg(s)+O2(g)-->MgO(s)
Aristotle : Consider what Aristotle would say about the purpose and structure of a college education – what he would say should be the goals of eduction for young adults and how he would say these goals should be achieved. Do you think he is correct about this i..

Reviews

Write a Review

Business Economics Questions & Answers

  Explain swedish labor-force participation rate

Using the net benefit ratio method of Deaton, please tell us whether a 10% increase in output price will increase or decrease the economic welfare of each of the following three agricultural households, by how much, and why (be sure to show your w..

  Cousin edgar

Cousin Edgar is always thinking of the next business idea. This time, he plans to invest in buying two gas stations. He reckons American consumers have come to accept the high gasoline prices, and estimates world prices for gasoline to increase even ..

  Inhabits only this stretch of beach

What are price indexes designed to measure. Outline how they are construed. When GDP and other and other income figures are compared across time periods.

  Business of manufacturing dolls

The trade or business of manufacturing dolls and accessories

  Sony pricing if clients have now become dissimilar

Illustrate what difference will it make to Sony pricing if clients have now become dissimilar?

  Elucidate how an economist could use the slope of the yield

Elucidate how an economist could use the slope of the yield curve to analyze the probability that a recession will occur and why the spread may matter.

  Illustrate what happens to equilibrium income

Government increases its spending by $2 billion and raises taxes by $1billion. Illustrate what happens to equilibrium income.

  Describe the profit maximizing input use

The market demand function is Q=80-p. Describe the profit maximizing input use, the output price, and the monopolist's profit.

  Compare the column for average total cost

Fill in the column of marginal products. What pattern do you see. How might you explain it. Compare the column for average total cost and the column for marginal cost. Explain the relationship.

  Evaluate the factors which managers must consider

To one side maximizing profits evaluate the factors which managers must consider when making judgment to outsource or integrate forwards/backwards considering which factor would be mainly significant for decision-making.

  Change of consumer and producer

How does the change of consumer and producer surplus compared to the tax revenue.

  Profit maximizing prices

The marginal cost of servicing a skier of either type is $10. If Snow City Ski Resort (third-degree) price discriminates then the profit maximizing prices

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd