Answer:
The correct answer is : Nominal GDP is 1800, real GDP is 2000, and GDP deflator is 90
Explanation:
This is what evaluates the current market prices. It includes the changes presented in market prices that have occurred during the current year. It analyzes as well the inflation or deflation. Also, it measures the value of all services and finished goods and produced by a country
Answer:
a) Kate will produce 100 tomatoes and 0 heads of lettuce.
b) Jim will produce 0 tomatoes and 180 heads of lettuce.
Explanation:
As climatic conditions are better for tomatoes at Kate's plot of land, she should choose to grow those because of better quality. Also, production of lettuce per square-foot is lower at Kate's land compared to Jim's (3 heads vs 6 heads of lettuce). So on 20-squire-foot Kate could produce 60 heads and Jim - 120 heads of lettuce (2x more). So Kate should avoid production of lettuce due to quality and quantity.
Same explanation can be applied to Jim's production of tomatoes. If Jim produce tomatoes, he will only have quantity of 60 tomatoes at 20-square-foot plot, compare to Kate's 100 tomatoes. So he should avoid production of tomatoes.
Answer:
Option (a) is correct.
Explanation:
Manufacturing cost:
= Direct materials + Direct labor + Variable overhead + Fixed overhead
= $80,000 + $100,000 + $30,000 + $60,000
= $270,000
Purchase from outside:
= Fixed overhead + Purchase price
= $60,000 + (50,000 × $10)
= $60,000 + $500,000
= $560,000
Effect on income = Purchase from outside - Manufacturing cost
= $560,000 - $270,000
= $290,000
Therefore, the above calculations shows that income will decrease by $290,000.
Answer:
The country has closed economy; it means there is no other trading relation with, outside countries. Export imports do not affect the economy of the country, and here is no government interference as mentioned in the question. This is a self sufficient country, its demand fulfilled from inside of the country. So its aggregate price levels and interest rate are fixed. MPC or the marginal propensity to consume indicates whether there is an increase in disposable income or increase in consumption. Here consumption increases equal to the increase in the income.
MPC = ΔC /ΔY which is constant here.
The increase in income in this country is mostly permanent and increases in a fix period of time and proportionately.
C= 200 +0.75 YD (YD is disposable income), Y=75, GDP =$900
The economy achieves it’s equilibrium level when supplies meets demand or the GDP is equals to it’s total expenditure. MPC is a fraction between 0 and 1 , MPC means a change in consumption brings the change in YD . here the MPC is equals to MPS which means the change in saving bring by the change in disposable income. All income here saved or consumed. So the change in income equals to the change in consumption or saving.
MPC+ MPS = 1
So the average propensity to consume is proportionate to income which is spend on consumption. APC= C/ YD. And the average proportionate to save is equals to income saved APS= S/YD . so here APC +APS = 1. The increase in production or price leads to the increase in the total value of output, that is the equilibrium condition.
Explanation:
I found the same question but it had choices. The choices were:
a) retail bank
b) commercial bank
c) savings and loans
d) credit union
The type of banking institution that is most suitable for Daryl is CREDIT UNION.
Credit Union is defined as a member-owned financial cooperative. They offer banking services but these are offered to their members. They grant loans and interest paid on those loans are also given to member-owners as dividends.
Daryl will not only earn interest from his checking and savings accounts, he will also earn dividends. Any bank fees issued by the cooperative will be returned to them in the form of dividends.
