Answered: Which of the following is not a…

Which of the following is not a characteristic of a capital expenditure, for the purposes of government budgeting? a. recurring nature b. large price tag c. long life d. none of the above

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Related questions

Q: Refer to Figure 8.3. For this society, aggregate saving is positive if aggregate income is .above…

A: For this type of society the aggregate savings will be positive when the aggregate income is above…

Q: answer quickly pls read the passeg and then answer pls (b) Analyse the Malaysia budget 2022 type…

A: A budget, in simple words, is a spending plan based on the income and expenses of the government in…

Q: The total value of all bonds issued by the government of a country constitutes: A. the net…

A: Debt are the amount taken which will be repaid after a. Period of time. National debt are the debts…

Q: Refer to the data in the table below to answer the following question. Federal Budget: 2012 Line…

A: The budget allocated to human resources in 2012 was $2,942,658 million.The budget allocated to…

Q: Expenditure on building a bridge is a part of capital expenditure in a government budget.…

A: # The expenditure which is incurred on assets such as buildings, equipments which are considered to…

Q: C+lg+G AE C+lg 150 125 75 $300 $500 $800 Income 13, Which of the following are true statements about…

A: The expenditure-output model, also called as the Keynesian cross, defines the equilibrium level of…

Q: 3. Automatic stabilizers (a) Are government policies or programs that stabilize the economy…

A: The objective of the question is to identify the correct statement(s) about automatic stabilizers in…

Q: Which of the following would be classified as private investment? a. An individual’s purchase of…

A: Private investment: - It means the purchase of capital assets by private businesses, private…

Q: 1. What is the role of the Budget Department in the budget process?

A: An annual budget is a common example of a financial plan that details anticipated income and…

Q: Consider an economy where the marginal propensity to save is 0.15; the marginal propensity to import…

A: Marginal propensity to save (MPS) is 0.15 Marginal propensity to import (MPM) is 0.05 Marginal…

Q: 8 Spending by industry on investment not injected into circular flow of income Select one: a. False…

A: Spending by industry on investment not injected into circular flow of income. The above statement is…

Q: transfer payments are characterized as: a. Dissaving b. One-way disbursements of income. c.…

A: In an economy, transfer payment generally considered as the amount of money that an individual, firm…

Q: 60. Suppose that in a closed economy GDP is $10,000, consumption is $6,500, and taxes are $2,000.…

A: Gross Domestic Product is the value of all final goods and services produced in an economy over a…

Q: If the average worker produces $110 of output per hour, what is the opportunity cost of…

A: Opportunity cost is the value of the best possible forgone when making a decision. It is the cost of…

Q: What are the major functions of a government budget? Discuss “revenue” and “development” budgets…

A: A government budget is a statement of its planned expenditures and revenue receipts for a given time…

Q: Question 2: Evaluation of Public Expenditure The government has to choose between two different…

A: Benefit Cost Ratio is defined as the metric used in finance that helps in the assessment of…

Q: help please answer in text form with proper workings and explanation for each and every part and…

A: Let's compute the NPV and initial investment.First, let's calculate the NPV:…

Q: 5. Canadian Loanable Funds Market: Assume the Canadian Federal Government increases their budget…

A: The financial market in country C is critical to capital allocation, risk management, and economic…

Q: Which of the following factors will lower down someone’s disposable income? a. More depreciation b.…

A: Disposable income is the amount of money that is available with the consumers to spent on the…

Q: . Ricardian equivalence states that increase in government spending will a. increase saving for…

A: According to the economic theory known as Ricardian equivalence, the impact on the overall economy…

Q: 9. Suppose Q " = 10,000 – 2 P, + 3 P, - 4.5M, where P, = $100, P, = $50, and M What is the own price…

A: Elasticity of demand refers to the magnitude of change in the quantity demanded for a good due to…

Q: What is a fiscal policy tool used to stimulate economic growth during a recession? A. Increasing…

A: Fiscal policy is a basic part of dealing with an economy, particularly during times of economic…

Q: 5. Public debt is the borrowing taken by when government revenue is less than spending. a. the…

A: public debt is the amount of borrowing that is made to fill up the gap between revenues and…

Q: I need help for this, no need for long explanation. Just the answer. thanks a lot. 1. Income…

A: "Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: For the past several decades in the United States, government purchases have accounted for about…

A: GROSS DOMESTIC PRODUCT Gross domestic product (GDP) is the accepted unit of analysis for the value…

Q: 7 keys of effective budget and explain

A: A budget is a microeconomic idea that shows the compromise made when one great is traded for…

Q: A firm has invested a sum of £100 million to construct new manufacturing plant. Workers spend 90 per…

A: "The size of investment multiplier tells how much a rise in income occurs when autonomous investment…

Q: Refer to the following graph to answer the next three questions. Interest rate $50 billion S 5% 4%…

A: Here is a problem of finding out the impact of investment and the effectiveness of crowding out. The…

Q: Public investment should not be wealth creating as well as employment generating a. True b. False

A: This statement is false Option b correct Public investment create employment as well as welth…

Q: Consider an economy in which GDP is $30 billion. Tax revenue is $7 billion, consumption is $15…

A: 1. Government budget = Tax revenue – spending 2 Billion = 7 – spending Spending = 5 Billion $

Q: mework(Ch 32) REAL EXCHANGE RATE 20 Market for Foreign-Currency Exchange -15 2 + Effects of a Budget…

A: Budget deficit: budget deficit refers to the excess of government expenditure over its income. In…

Q: .If the economy wants to decrease private sector's investment spending, a. both the government…

A: According to classical economists, the expansionary fiscal policy in which government spending (G)…

Q: In one year, TLM collects $1,000,000 from customers to mow their lawns. TLM's consumption of fixed…

A: The Gross Domestic Product (GDP): The GDP is a quantitative measure that compute the economic…

Q: Pls help with below homework

A: When the government borrowing increases in the economy it lead to the reduction in the funds left by…

Q: Distinguish between Capital Budget and Revenue Budget. Explain the components of both these Budgets

A: This question asked us to distinguish between Capital Budget and Revenue Budget and explain the…

Q: 13. The costs arising in connection with the performance of the state's functions form a total of:…

A: A state budget shows the anticipated value of government revenues from tax and non-tax sources and…

Q: In the Republic of Jinpin G-2000, T-1000 and c1=0.8. The government wants to equilibrate the budget…

A: Here, given information is, G= 2000 T=1000 c1 (MPC)= 0.8 To find: Change in output due to a decrease…

Q: Government consumption expenditures equal

A: government consumption expenditure includes all current expenditures of the government for…

Q: Suppose taxes increase in the current period and there is no change to current or future government…

A: Ricardian equivalence is an economic theory that says that financing government spending out of…

Q: Consider a closed economy without a government. If the GDP of the economy is $25,000 and the saving…

A: Aggregate savings refer to the income that is left after consumption. S = Y - C

Q: Describe the investment decisions made in the private sector?

A: Meaning of Investment Decision made in Private Sector Investment Decision in Private Sector means…

Q: What is the 'mps' ? a) 1/3 b) 2/3 c) 3/2 d) 1/2 e) 4

A: The income of the consumer is divided between two parts, that is the consumption expenditure and…

Q: Fill in the blanks with the options provided. (1) When saving is negative, the excess of…

A: Consumption is the process by which institutional units consume products or services; it can be…

Q: A high marginal propensity to save means ? (a) lower multiplier (b). Higher is the investment…

A: Marginal propensity save is defined as the proportion of the income which consumer will save rather…

Question

Which of the following is not a characteristic of a capital expenditure, for the
purposes of government budgeting?
a. recurring nature
b. large price tag
c. long life
d. none of the above

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1: Introduce the government budgeting

VIEW

Step 2: Explain the correct and incorrect options

VIEW

Solution

VIEW

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

The federal government operating expenditure in 2020 is dominantly for a. Debt service charges. b. Emoluments. c. Subsidies and social assistance. d. Supplies and services.
Question Please select the correct term for each statement below. National savings, budget deficit, capital, inflow, budget, surplus, and budget balance a. the difference between the amount the government collects and how much it spend. b. when government savigns are combined with all of the privately-held savings from across the country. c. the result when the government spends more money than it takes in through taxes. d. the net amount of funds coming into a country. e. when the government spends less money than it takes in through taxes.
1
28. What is the level of investment, I? (A) $250 billion. (B) $305 billion. (C) $345 billion. (D) $555 billion. The next two questions involve the following information. The real interest rate, r, is the nominal interest rate, i, minus inflation, 7. In formal terms, r = i- T. For example, if an investment offers an annual return of 5 percent, and inflation is 2 percent, then the real interest rate is 3 percent. 29. You purchase a $1,000 face-value bond for $800. The coupon is $100 per year, and inflation is 4 percent per year. What is the nominal yield on the bond? (A) 6 percent. (В) 8.5 рercent. (C) 10 percent. (D) 12.5 percent. 30. You purchase a $1,000 face-value bond for $800. The coupon is $100 per year, and inflation is 4 percent per year. What is the real coupon rate on the bond? (A) 6 percent. (В) 8.5 percent. (C) 10 percent. (D) 12.5 percent.
Figure 4 Expenditures 9000 6000 3000 3000 6000 Disposible Income 1. In Figure 4, how much is government spending when disposable income is 3000? CH-G 9000 2. In Figure 4, how much is government spending when disposable income is 9000?
Refer to the information provided in Table below to answer the question. Aggregate Income ($ billions)| Aggregate Saving ($ billion) 4100 -85 -70 150 300 450 -55 600 40 Refer to Table Society's MPS is Select one: a. 0.9. b. 0.1. C. 0.2.
8) government budget surplus from reduced government spending will ________ thelevel of investment in the economy and ________ the level of public saving in theeconomy.A) increase; decreaseB) increase; increase C) decrease; increaseD) decrease; decrease
From the 1960s to 2020, transfer payments A. have declined by half as a percentage of total federal government expenditures. B. have grown very slowly as a percentage of total federal government expenditures. C. remained the same percentage of total federal government expenditures. D. have risen from 25 percent to just over 50 percent percent of federal government expenditures.
9. Which statement is incorrect?I. An increase in the general price index means that the purchasing power of money’ has decrease.II. A decrease in the general price index means that the purchasing power of money’ has increase. 10. Which statement is correct?I. Intangible assets cannot be treated as having an indefinite useful life.II. Intangible assets with a finite useful life shall be measured at cost and tested annually for impairment
What will be the non plan expenditure if the budget expenditure is 293 and the plan expenditure is 190
_________________ Are those expenditure of the government which neither cause any increase in the government asset or nor cause any reduction in the government liability.
Public saving is positive when: a. there is a government budget deficit b. after-tax income of households and businesses is greater than consumption expenditures c.there is a government budget surplus d. the government's budget is balanced