Suppose that the capital stock initially is 1000, the depreciation rate is 0.08, and investment is 220. This makes the net growth of the capital stock

A) 300.
B) 237.6.
C) 202.4.
D) 140.

D

Economics

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When a firm links its employees' compensation to the performance of the firm, the firm is using

A) an incentive system. B) a command system. C) a cooperative system. D) an agency system.

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If the MPC = .75, the spending multiplier is:

a. 4. b. 5. c. 1.33. d. 1.20. e. .25.

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