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Introduction to Economics💰
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Suppose the government decides to offer free dental care to everyone. This will cause the level of government purchases (G) to .
Why does the government care so much about the taxes?
Suppose many businesses have gone bankrupt and many workers have lost their jobs as a result. This means that we are most likely in the stage of the business cycle.Hint: there is more than one correct answer.
The following table shows a few income values for an economy.
| Spending Item | Value (Millions of Dollars) |
| Saving (S) | 95 |
| Gross Income (Y) | 424 |
| Net Taxes (T) | 82 |
What is the value of consumption in this economy?
Answer: millions of dollars.
The following table shows a few income values for an economy.
| Spending Item | Value (Millions of Dollars) |
| Saving (S) | 51 |
| Gross Income (Y) | 466 |
| Net Taxes (T) | 184 |
What is the value of disposable income in this economy?
Answer: millions of dollars.
The following table shows a few income values for an economy.
| Spending Item | Value (Millions of Dollars) |
| Saving (S) | 102 |
| Gross Income (Y) | 500 |
| Net Taxes (T) | 137 |
What is the value of consumption in this economy?
Answer: millions of dollars.
The following table shows a few income values for an economy.
| Spending Item | Value (Millions of Dollars) |
| Saving (S) | 78 |
| Gross Income (Y) | 407 |
| Net Taxes (T) | 105 |
What is the value of disposable income in this economy?
Answer: millions of dollars.
A person purchases his neighbour's house.
In economics, this would be classified as:
Kraft company purchases a new office place in Quebec City.
In economics, this would be classified as: