Where does the money for investment in physical capital come from? It largely comes from:
A. the savings of ordinary households.
B. government subsidies.
C. the reinvestment of funds from businesses.
D. donation by foreign countries.
A. the savings of ordinary households.
Economics
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Refer to the figure above. Domestic producers of this product in A would most prefer
A) a customs union with C. B) a customs union with B. C) a free trade agreement with both B and C. D) no agreement with either country.
Economics
In the simple Keynesian model, if the tax function is given by T = 0.15Y and the consumption function is C = 50 + 0.7YD then a 10-unit increase in government spending would increase equilibrium income by
a. 10 units. b. 11.2 units. c. 22.4 units. d. 30 units. e. none of the above
Economics