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Help needed please answer all questions. Thanks 19) Consumption expenditures are

ID: 1219995 • Letter: H

Question

Help needed please answer all questions. Thanks


19) Consumption expenditures are a function of A) the real interest rate B) disposable income C) autonomous consumption D) all of the above E) none of the above 20) Which of the following would lead domestic investment to rise? A) an increase in government spending throughout the world B) an increase in world taxes C) an increase in world autonomous consumption D) all of the above E) none of the above 21) The growth accounting equation suggests that the growth rate of output is equal to the growth rate of A) total factor productivity plus the contributions of both capital and labor B) total factor productivity minus the rate of depreciation C) capital and labor

Explanation / Answer

19) disposible income; consumption expenditure is specific term referring to actual expenditures on final goods and services, or gross domestic product, by the household sector and it mainly depends on disposable income of the consumer.

20) none of the above; changes in domestic investment could be brought about by changes in domestic variables first, not the changes in world environment

21) total factor productivity plus the contributions of both capital and labor