Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Jul 03, 2024

(d) Write down the national income identity. Assume again that output returns to its natural level in the medium run. If NX decreases to zero,

(d) Write down the national income identity. Assume again that output returns to its natural level in the medium run. If NX decreases to zero, what must happen to domestic demand in the medium run? What government policies are available to affect domestic demand in the medium run? Identify which components of domestic demand each of these policies affect. Explain your answer. (25 marks)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

Step: 3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

University Physics with Modern Physics

Authors: Hugh D. Young, Roger A. Freedman

14th edition

978-0133977981

Students also viewed these Economics questions

Question

Concepts. For each of the following situations, state whether you would use a chi-square goodness-of-fit test, chi-square test of homogeneity, chi-square test of independence, or some other...

Answered: 1 week ago

Question

★★★★★

In recent years, Jayme Company has purchased three machines. Because of frequent employee turnover in the accounting department, a different accountant was in charge of selecting the depreciation...

Answered: 1 week ago

Question

★★★★★

(Multiple Choice) Taylor Company had net income of $50,000, paid income taxes of $20,000, and had before tax interest expense of $10,000. What was TayIors times interest earned ratio? A.5 B.6 C.7 D.8...

Answered: 1 week ago

Question

★★★★★

You want to retire in 30 years. You estimate that you will need $1,500,000 in savings to retire. If you can invest in an account paying an annual interest rate (APY) of 7.5%, how much would you need...

Answered: 1 week ago

Question

★★★★★

Problem 8: A 25 cm diameter pipe carries oil of Sp. Gr. 0.9 at a velocity of 3 m/s. At another section the diameter is 20 cm. Find the velocity at this section and also mass rate of flow of oil.

Answered: 1 week ago

Question

★★★★★

Create new users called andrew leclerck, aya aliyev, and mia sun. Their login names should be andrew-leclerck, aya-aliyev, and m-sun respectively. Create a group called admins with GID 2127. Add...

Answered: 1 week ago

Question

★★★★★

Becker & Smith, CPAs, performs a financial statement review for BAM Markets ( BAM ) . Caroline, the manager on the job, learns that Don, a member of the review team, violated the independence rules...

Answered: 1 week ago

Question

★★★★★

Milk Milk is one of the few remaining dairy farms that still supplies fresh milk for sale to customers through direct farm purchase, home delivery or selected store outlets. Milk is obtained from the...

Answered: 1 week ago

Question

★★★★★

Degnan Dance Company, Inc., a manufacturer of dance and exercise apparel, is considering replacing an existing piece of equipment with a more sophisticated machine. The following information is...

Answered: 1 week ago

Previous Question Next Question