Assume:         PQ = $2.00                  PL = $2.00                               PK = $4.00     K         MPK    MP/PK            MRP/PK          L          MPL      MP/PL                   MRP/PL   1          28        7          14                    1          15        5                      10 2          24        6          12                    2          12        4                      8 3          20        5          10                    3          9          3                      6 4          12        4          8                    4          6          2                        4 5          8          2          4                      5          3          1                      2 6          4          1          2                      6          1          0.5                   1 7          2          0.5       1                      7          0.5       0.25                 0.5 8          1          0.25     0.5                      8          0.25     0.13                 0.26 9          0.5       0.125   0.25                   9          0.125   0.06                 0.12 The profit maximizing combinations of K and L are

Q: Given:  Barbara has an income of $2000 this year, and she expects an income of $1100 next year. She…

A: Net present value is the current value of the future cash flows. It is used to estimate the current…

Q: Refer to the information provided in Table 9.2 below to answer the questions that follow. Table 9.2…

A: Disposable income refers to the income that is attained after paying the taxes to the government.…

Q: Refer to the information provided in Table below to answer the question that follow. All Figures in…

A: b. $5,600

Q: If MPC=0.8 what will be the value of investment multiplier (A) 4 (B) 5 (C) 3

A: # the formula for the money multiplier in terms of MPS is given to be as:- k = 1/MPS NOW we know…

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A: Consumption expenditure consists of induced consumption and autonomous consumption. Induced…

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A: Use the below formula: I = Private savings + Budget balance + (IM - X)

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A: Here, It has been provided that MPC is 0.8. It is known that Marginal propensity to consume+Marginal…

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A: Given  Consumption function C=80+0.63Y               ......... (1) Investment function I=750-2000r…

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A:

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A: Present discounted value can be calculated as follows:

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A: Tax is the fee or a charge that is imposed by the government on individuals or firms. There are two…

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A: The market demand refers to the demand of different quantities are demanded at different price…

Q: Suppose this business works in the short-term:    MPL  APL  TPL  L      0  0      5  1…

A: TPL = Total product of labor is the product of the average product of labor and no. of labor.…

Q: Assume i=0%, beta=1. Consumer has income of 80 in year 1, 100 in year 2.  Now suppose gov't gives…

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A:

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A: Marginal tax rate is extra tax paid by the consumer on his incremental or additional income.

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Q: que no 2 asap

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A: The multiplier leads to a rise in income multiple times. The value of the tax rate and MPC decides…

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A: MPC (Marginal propensity to consume ) refers to the rate at which level of  consumption changes with…

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A: Loanable fund market determines the equilibrium interest rate through the forces of demand and…

Q: Assume:         PQ = $2.00                  PL = $2.00                               PK = $4.00…

A: Here, the given table provide information about the production or outout using different level of…

Q: Determine the equilibrium level of income and interest rate given the following information about…

A: Given  C=0.8Y+380       ... (1) I=136-30r          ... (2) Ms=350 L1=0.2Y            .... (3) and…

Q: Refer to the information provided in Table below to answer the question that follow. All Figures in…

A: Tax multiplier = - MPC / (1 - MPC)

Q: Assuming no govemment or foreign sector, if the MPC is 0.5, the multiplier is Select one: а. 5. b.…

A: Multiplier is depends upon the level consumption , which means depend upon the MPC , if the…

Q: If the MPC In Ecoland is 0.9, then that means that the MPS is O also 0.9 11 0.1 This number cannot…

A: Income is split into two parts MPS means how much save from the total income and MPC means how much…

Q: Long-term capital gains are taxed at ______, and most dividends are taxed at ________than earned…

A: Long term capital gains are taxed at lower rate than short term capital gains. Most dividends are…

Q: 68. Consider the following consumption function C = 1100 + 0.6Yd What is the MPS? O a. 0.8 O b. 0.7…

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Q: At what level of income are the leakages from the spending stream equal to the injections into the…

A: Leakage: It takes place when money leaves an economy.

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A: In Keynesian economic theory, the marginal propensity to save (MPS) refers to the proportion of an…

Q: Assume:         PQ = $2.00                  PL = $2.00                               PK = $4.00…

A:

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Q: Refer to the information provided in Table 9.2 below to answer the questions that follow. Table 9.2…

A: Aggregate expenditure = Consumption spending + Planned investment spending + Government purchases

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A: The IS-LM model is the demonstration of how the goods market and the asset market interact. The IS…

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A: Given information Ca=1500-20r MPC=0.6 I=2450-60r G=1980 NX=-200 T=1750

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Q: Q8 Determine the equilibrium income Y and interest rate r, given the following information about the…

A: Definition: Short-run competitive equilibrium is a circumstance where, given the organizations on…

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Q: If MPC = 0.75 (and there are no income taxes) when G increases by 100, then the IS curve for any…

A: here we calculate the change in interest rate by using the MPC via Multiplier and choose the correct…

Q: 14. If consumption function is given by : C= 100 + 0.8Yd , then MPS equal a.2 b.8 c.0.8 d.0.2

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Q: Refer to the information provided in Table below to answer the question that follow. All Figures in…

A: MPS stands for marginal propensity to save. It is the proportion of disposable income that an…