A government budget surplus _______. A. increases the supply of loanable funds B. raises the real interest
Question:
A government budget surplus _______.
A. increases the supply of loanable funds
B. raises the real interest rate
C. decreases the demand for loanable funds and lowers the real interest rate
D. decreases net taxes, increases disposable income, and increases saving
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 40% (5 reviews)
Answer A A governmen...View the full answer
Answered By
PALASH JHANWAR
I am a Chartered Accountant with AIR 45 in CA - IPCC. I am a Merit Holder ( B.Com ). The following is my educational details.
PLEASE ACCESS MY RESUME FROM THE FOLLOWING LINK: https://drive.google.com/file/d/1hYR1uch-ff6MRC_cDB07K6VqY9kQ3SFL/view?usp=sharing
3.80+
3+ Reviews
10+ Question Solved
Related Book For
Question Posted:
Students also viewed these Business questions
-
True or False: 1. A move toward a government budget surplus would tend to decrease the real interest rate, other things equal. 2. When foreigners supply fewer funds than they demand, a capital...
-
Trace the implications of a government budget surplus on the following: a. National saving b. Interest rates c. Private investment d. Economic growth e. Future living standards When tracing the...
-
Figure shows the market for loanable funds. The government is running a budget surplus of $900 billion. a. Show the effect of a $400 billion decrease in the government budget surplus if there is no...
-
Considerations that affect the selection of an inventory costing method do not include: (a) tax effects. (b) balance sheet effects. (c) income statement effects. (d) perpetual vs. periodic inventory...
-
Strontium (Sr) has an FCC crystal structure, an atomic radius of 0.215 nm and an atomic weight of 87.62 g/mol. Calculate the theoretical density for Sr?
-
Suppose you have been offered a few investment opportunities in Estonia. What is the present value of each of the following annuities? a. $2,700 a year for 12 years discounted back to the present at...
-
Table B. 14 presents data on the transient points of an electronic inverter. Use all possible regressions and the \(C_{p}\) criterion to find an appropriate regression model for these data....
-
You have completed your audit of Carter Corporation and its consolidated subsidiaries for the year ended December 31, 2014, and are satisfied with the results of your examination. You have examined...
-
Develop an inquiry-based learning STEM lesson that incorporates writing and that is appropriate for the pre-K through Grade 3 classroom. Include the following in your lesson: Grade level Content...
-
At the breakeven point, a company's sales revenue equals its expenses and there is zero profit. Breakeven analysis can be expanded to encompass the analysis of costs, volume and profit, so that a...
-
An increase in expected profit _______ the real interest rate and ________ the quantity of loanable funds. A. decreases; decreases B. increases; decreases C. decreases; increases D. increases;...
-
Crowding out occurs when ______. A. households budgets are in deficit and saving decreases B. the government budget is in surplus, so people have paid too much tax C. the government budget is in...
-
1. Explain how customer service fulfills a significant portion of Zappos production function. 2. What kind of firm might Zappos use for benchmarking? Why? If you like shoes, youve heard of Zappos....
-
Organizations established contractually by several countries that agree to be legally bound by the rules of the organization. a. comity b. transnational ins titutions c. General Agreement on Tariffs...
-
Assume that the indirect quote is for 115 Japanese yen per U.S. dollar and that the direct quote is for 1.25 U.S. dollars per euro. What is the yen per euro exchange rate?
-
Indicate whether each of the following statements is true or false by writing T or F in t he a nswer c olumn. Two defenses to charges of defamation are truth and privilege.
-
The purpose of the Uniform Commercial Code is to provide: a. uniform laws for all states to regulate business transactions in the states b. regulations to be followed in the sale of uniforms c. laws...
-
Indicate whether each of the following statements is true or false by writing T or F in t he a nswer c olumn. The tort of slander is concerned with injury to a persons reputation caused by false...
-
Use the formula to determine the value of the indicated variable for the values given. Use a calculator when one is needed. When necessary, use the key on your calculator and round answers to the...
-
Graph the following conic sections, labeling vertices, foci, directrices, and asymptotes (if they exist). Give the eccentricity of the curve. Use a graphing utility to check your work. 10 5 + 2 cos 0
-
How does the tax wedge influence potential GDP?
-
Explain the connection between a government budget deficit and a government debt.
-
Under what circumstances does the government have a budget surplus?
-
For HOST280, I have a significant assignment. Core Values I need to be able to define what each core value means. To define these three core values. The definition is personal so that if someone asks...
-
Given that h(x)=x+6 and g(x)=x-5, find (g+h)(5), if it exists.
-
What is fractional reserve banking and how did it develop? What tradeoff does fractional reserve banking face that 100% reserve banking does not ?
Study smarter with the SolutionInn App