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Defi ne carefully the difference between movements along the AD curve and shifts of the AD curve. Explain why an increase in potential output would shift out the AS curve and lead to a movement along the AD curve. Explain why a tax cut would shift the AD curve outward (increase aggregate demand).
As a teacher how would you draw on learners wealth of knowledge and experiences to support their leaning of english on an effective manner. Discuss three strategies you would use
To counteract the fact that an economy is performing above its potential, then to cool down the economy the central bank could:
a. buy government securities/bonds on the open market and reduce the reserve requirement
b. sell government securities/bonds on the open market and increase the reserve requirement
c. buy government securities/bonds on the open market and raise the discount rate
d. sell government securities on the open market and lower the discount rate
How many moles of O2 are needed to react with 2.83 moles
Now, what if, instead, you sold the house for less than you paid for it—say, for $187,500? The same equation can be used to calculate your loss, or the negative rate of return, on the transaction.
Say that you buy a house for $250,000 (for simplicity let's assume you pay 100% cash). Six years later, you decide to sell the house maybe your family is growing and you need to move into a larger place. You are able to sell the house for $335,000, after deducting any realtor's fees and taxes. Find simple rate of return on the purchase and sale of the house.
Brigham Tea, Inc., is a processor of low acid tea. The company is contemplating purchasing equipment for an additional processing line. The additional processing line would increase revenues by $90,000 per year. Incremental cash operating expense would be $40,000 per year. The equipment would cost $180,000 and have a nine-year life. No salvage value is projected.
Which of the following would not be included in aggregate demand/GDP spending?
a. an increase in firms’ inventories.
b. purchases of goods by households.
c. depositing money at a bank.
d. firm's’ purchases of newly produced machinery
Total spending in the economy is most likely to increase by the largest amount if which of the following occur to government spending and taxes, all things equal?
Government Spending Taxes
a. Decrease Increase
b. Decrease No change
c. Increase Increase
d Increase Decrease
For a bank,
a. loans granted are liabilities and deposits by individuals are assets
c. both loans granted and deposits by individuals are assets
c. both loans granted and deposits by individuals are liabilities
d. loans granted are assets and deposits by individuals are liabilities
An expansionary monetary policy aimed at increasing economic activity will
a. decrease the money supply and increase the interest rate
b. increase the money supply and decrease aggregate demand
c. increase the money supply and decrease the interest rate
d. increase both the money supply and the interest rate
#340153 on Dec 2023