Investment is more stable than consumption

Assignment Help Business Economics
Reference no: EM13733534

Answer true or false:

1. When you buy 100 shares of IBM it is an investment according to economists.

2. If consumers have few durable goods, this will lower the C line, all other things equal.

3. A corporation is a legal person separate from the owners.

4. Investment is more stable than consumption.

5. Consumption is about 2/3 of overall spending each year in the US.

6. Net investment is gross investment minus depreciation.

7. High interest’s rates discourage business investment, all other things equal.

8. A bond holder is a part owner of a company.

9. High consumer debt would lower C line, all other things equal.

10. Income is the largest determinant of consumption.

Reference no: EM13733534

Questions Cloud

Research paper-impact on an organization marketing ovrerseas : As with any company, Cochlear must take into account the varied macro and micro factors when deciding on their target market and then developing the appropriate marketing mix.
Inflation represents a decline in average real income : Most economists want a 0% target for unemployment. The current natural rate of unemployment is thought to be somewhere around 5%. If the economy is above full employment it causes higher than normal unemployment. In a closed economy, inflation repres..
Describe the ethical decision-making framework : In reflecting on the limited international laws and regulations and the differences between the US and other countries, briefly discuss some guidelines (principles and concepts) that you would have in your code of conduct (ethical/social responsib..
Start with population-kick out all those not in labor forces : The following information is for the US economy in 1998: Find the US labor force, the number unemployed and the unemployment rate for 1998. Numbers are in millions. Hint: start with population and kick out all those not in the labor forces.
Investment is more stable than consumption : When you buy 100 shares of IBM it is an investment according to economists. If consumers have few durable goods, this will lower the C line, all other things equal. A corporation is a legal person separate from the owners. Investment is more stable t..
Using the concept of diminishing marginal utility : Pretend that you have just been surprised with a genuine e-mail that says you have just been selected by your favorite pizza delivery company that every day for the next month you will receive your favorite pizza for lunch and another of that same fa..
Calculate the expected profit rate : A firm expects to earn $14,000 a year on $112,000 investment. Calculate the expected profit rate. Show work. This firm would be willing to make this investment provided the interest rate is lower than what?
Describe the rise of persia and zoroastnanism : Describe the rise of Persia and Zoroastnanism. Ata minimum include Cyr, Me Great. Croesus of Lydia. Cambyses. Dan. I. Xerxes. Anmemes.
How america governing principle limit power of federal govet : How does america's governing principles limit the power of the federal government?

Reviews

Write a Review

Business Economics Questions & Answers

  What did classical economists assume about flexibility

Illustrate what did classical economists assume about flexibility of prices, wages and interest rates. Illustrate what did this assumption imply about self-correcting tendencies in an economy in recession.

  Develop and maintain high level of customer service

To continue growth in sales by providing information on product demand, markettrends, competitors' action and technological developments.

  Find the new optimal solution

Electrocomp incurred an oversupply of fans in the preceding period, management also insists that no more than 80 fans be produced during this production period. Resolve this product mix problem to find the new optimal solution.

  Q1 pick one important business decision and discuss why

q1. pick one important business decision and discuss why knowledge of the state of the economy using macroeconomic

  Loved one child more than the other

Gary has two children, Kevin and Dora. Each one consumes "yummiest" and nothing else. Gary loves both children equally.

  Describe an experiment that would quantify

Describe an experiment that would quantify these two effects. Randomly select n students who have taken test only one time.

  How would foreign direct investment

How would Foreign Direct Investment (FDI) cause an increase in Growth in Developing Countries (GDP)? Your two to three page response should focus on selecting and organizing.

  Compute the price elasticity cross price elasticity

Assuming that wheat and barley both sell for $1, and income is $20, compute the price elasticity, cross price elasticity and income elasticity for wheat."

  Explain multiplier concept as it applies in this case

Congress is considering a tax credit program for those who purchase wind or solar-powered products. Explain multiplier concept as it applies in this case.

  Elucidate the benefits and costs of this tariff

Elucidate how are the benefits and costs of this tariff distributed among consumers and producers.

  How the product has changed in price and explain

Describe how the product has changed in price and explain whether the price change is due to supply or demand. Did the change in price affect your decision to purchase the item?

  Concept of t-bills and t-notes

Treasury funds national debt by a mix of T-bills, T-notes, and T-bonds with maturities of 10-30 years. During President Clinton's administration Treasury proposed that by issuing more T-bills

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