Marginal propensity to save

Assignment Help Business Economics
Reference no: EM131405551

Assume an economy with no foreign sector, a marginal propensity to save of MPS = 0.1 and a marginal income tax rate of t = 1/3. If autonomous saving decreases by 300, which of the following is true?

Reference no: EM131405551

Questions Cloud

Large telecommunications firm that went bankrupt : Derek worked for a large telecommunications firm that went bankrupt last year due to a recent recession. He has since tried to find work with one of the firm's competitors, but good jobs are currently hard to come by.
Does the machine appear to be in need of maintenance : At the 0.01 level of significance, does the machine appear to be in need of maintenance and calibration? Determine and interpret the p-value for the test.
Examine some of the causes and symptoms of employee burnout : Examine some of the causes and symptoms of employee burnout. Propose steps that management can take to reduce the possibility of employee burnout.
Carry out an appropriate hypothesis test : The supplier claims that no more than 2% of the items in the shipment are defective. Carry out an appropriate hypothesis test and comment on the credibility of the supplier's claim.
Marginal propensity to save : Assume an economy with no foreign sector, a marginal propensity to save of MPS = 0.1 and a marginal income tax rate of t = 1/3. If autonomous saving decreases by 300, which of the following is true?
Describe the adaptive work that needs to be accomplished : Describe the adaptive work that needs to be accomplished. Analyze your approach to resolving the problem. Be certain to include questions that would arise, and what trade-offs may be required in your analysis.
Describe test including the null and alternative hypothesis : Unhappy with this percentage, the dealer has heavily revised the procedure by which predelivery mechanical checks are carried out.
Identify what would constitute a type i error : If a transit employee provides a strand of hair for drug testing, state the null and alternative hypotheses in verbal terms, then identify what would constitute a Type I error and a Type II error in this situation.
Determining the organization marketing department : Scenario: You have been asked to assist your organization's marketing department to better understand how consumers make economic decisions.

Reviews

Write a Review

Business Economics Questions & Answers

  Analysis of a private-government funded

Complete a SWOT (Strengths, Weaknesses, Opportunities & Threats) Analysis of a private, government funded or non-profit hospital within your state (Northwestern Memorial Hospital,IL).

  A bond is bought at par and market yields rise

A bond is bought at par and market yields rise after purchase. If the bond is held to maturity, the rate of return at maturity will be _____ the yield at purchase.

  Discuss pros and cons of having a high cigarette excise tax

If a political candidate said that if she were elected to Congress, she would work toward cutting federal government spending by one-third over the next four years; would she stand much chance of fulfilling her promise? Why or why not? Discuss the pr..

  What is the equilibrium impact on education

Graph these functions and find the non-zero equilibrium. Prove that the equilibrium at (0,0) is not stable. Suppose that school inputs improve by one unit, from 10 to 11. What is the immediate impact on education (before health can adjust)? What is t..

  Consumers marginal level of satisfaction

Which of the following statements about indifference curves is true.. The higher an indifference curve is for a? consumer, the greater that? consumer's marginal level of satisfaction. The higher an indifference curve is for a? consumer, the greater t..

  Explain why a dramatic rise in the wage rate occurred

In the 1980s, a shortage of registered nurses in the United States led to an increase of almost 21 percent in the real average hourly earnings of RNs from 1981 to 1989 (Pope and Menke, 1990). This increase was the highest of any occupational group. U..

  What ate the taxi fixed costs

Suppose a taxi company wishes to start a new business that requires a license from NY City for $30,000. The taxi license is transferable, but only 15,000 is refundable within 15 days of the date of purchase. What ate the taxi’s fixed costs? Suppose t..

  Why do people accept money-does not have intrinsic value

Why do people accept money that does not have intrinsic value?

  Capital and labor causes output to increase

If a 10 percent increase in both capital and labor causes output to increase by less than 10 percent, the production function is said to exhibit decreasing returns to scale. If it causes output to increase by more than 10 percent, the production func..

  Cutting down production and raising oil prices

It is unclear to a economic novice like me why OPEC is not cutting down production and raising oil prices. I have read several journalists commenting upon this on the internet but perhaps an economist can explain this current fact better.

  Qthe world is composed of two economies the european union

q.the world is composed of two economies the european union and the united states. one of the european firms has a

  Consider solows model when the production function

Consider Solow's model when the production function is Y = 1000K0.3 L0.7 . The population growth rate is 2%, ? = 0.1 is the depreciation rate and s = 0.25 is the savings rate. Suppose this economy was in its steady state when unexpectedly Total Facto..

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