Which of the following is an example of spending on factors of production in the circular flow model?
A) Tuan purchases a cappuccino at the student union.
B) Laurence rents a car to drive to a wedding in San Diego.
C) Yvette pays $50 to join a softball league.
D) The "Lucky Ducky" casino buys a new craps table for the casino floor.
Answer: D
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John Maynard Keynes believed that the equilibrium level of national income is primarily determined by aggregate expenditures
Indicate whether the statement is true or false
Which of the following shows the relationship between national income (GDP) and total spending?
A. Demand schedule B. Consumption curve C. Expenditure schedule D. Balance schedule
If you own a bond with a six percent coupon rate and new bonds are paying six percent, what will happen to your bond's market price?
What will be an ideal response?
In 2019, a total of 100, 000 new micro enterprises were created in Zed Republic. If new micro enterprises fail at a continuous rate of 12% per annum, how many years will it take for the newly created firms to fall to 50, 000 firms?