If a multinational is controlling funds, it will expect a subsidiary to remit a ________ portion of their earnings if this subsidiary has the opportunity to reinvest its earnings profitably
A) significant
B) substantial
C) smaller
D) larger
C
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The income-expenditure identity for a closed economy is:
A. Y = C + I + G. B. Im ? Ex = C + I. C. Y = C + I + G + NX. D. Y + G = C + I ? NX.
Which of the following is a function of the Fed?
a. Printing foreign currency b. Determining the level of government spending c. Distributing welfare benefits d. Administrating the Social Security fund e. Ensuring that banks operate in a sound and prudent manner
The Federal Reserve Board meets roughly every 6 weeks to determine broad economic policy. It does not have to deal with the political process, which is a reason the _____ lag is shorter for monetary policy than it is for fiscal policy.
a) information b) recognition c) decision d) implementation
Refer to the information provided in Table 22.2 below to answer the question(s) that follow. Table 22.2 PointAggregate Income (Y)Aggregate Consumption (C) A 10 14 B 20 23 C 30 25 D 40 26 E 50 34 F 60 39The data in the table was used to estimate the following consumption function: C = 12 + 0.4YRefer to Table 22.2. The error for point F is equal to
A. -6. B. -3. C. -1. D. +2.