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If the government uses tax money to pay for long term investments such as roads or other infrastructure what happens to the economy?
Wiki User
∙ 10y ago
taxes decrease
Wiki User
∙ 10y ago
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If the government uses tax money to pay for long-term investments such as roads or other infrastructure what happens to the economy?
investment increases
What happens to resources when a pure monopoly is at the profit maximizing output?
The economy is at equilibrium as both government suffer insufficient funds
Is Saudi Arabia a capitalism economy?
Saudi Arabia, like the United States is a Capitalist Economy but the government does interfere with economy to regulate it. This is just like in USA where this happens in many incidents like FDR's New Deal
What happens to the economy when new money is printed by the government?
Exactly what is happening now. Contrary to belief money does not grow on trees. When they print a dollar to add to the economy it is now only worth 50 cents. It hurts the economy more than it helps.
What happens to the economy when the economy's capital stock increases?
Supposing that with capital you mean physical capital (all kind of physical investments like machines, and so on), it tends to increase the Gross Domestic Product (GDP), but increases in capital along time lead to lower increases in GDP.This is known in economics as the diminishing marginal returns.
If the government uses tax money to pay for long-term investments such as roads or other infrastructure what happens to the economy?
investment increases
What happens to resources when a pure monopoly is at the profit maximizing output?
The economy is at equilibrium as both government suffer insufficient funds
Is Saudi Arabia a capitalism economy?
Saudi Arabia, like the United States is a Capitalist Economy but the government does interfere with economy to regulate it. This is just like in USA where this happens in many incidents like FDR's New Deal
What happens to the economy when new money is printed by the government?
Exactly what is happening now. Contrary to belief money does not grow on trees. When they print a dollar to add to the economy it is now only worth 50 cents. It hurts the economy more than it helps.
Can you inform me about diversified investments?
Diversified investments are investments in different types of companies that are in different industries and sectors. The reason why this is highly recommended is because this makes sure your investments do not take a big hit if something wrong happens to one certain sector.
What happens to the economy when the economy's capital stock increases?
Supposing that with capital you mean physical capital (all kind of physical investments like machines, and so on), it tends to increase the Gross Domestic Product (GDP), but increases in capital along time lead to lower increases in GDP.This is known in economics as the diminishing marginal returns.
What can happen in a planned economy that does not happen in a market economy?
nothing much happens ...
What happens to power usage effectiveness after you virtualize?
It improves if power and cooling infrastructure is rightsized
What happens if the economy fails?
If economy fails the worst suffer would be citizens, there would be war situation within that economy.
What happens to power usage effectiveness (PUE) after you virtualize?
It improves when power and cooling infrastructure is rightsized
What happens to the economy when the government raises or lowers taxes?
That depends on the overall state of the economy, the nature of the tax, what the government does with any additional money collected, the nature of any expenditures reduced in connection with a tax reduction, and whether the government borrows more or less as a result, and whether the taxes in question are actually collected. Probably some other variables involved that don't come immediately to mind.
What happens to an economy of a country that hosts the Olympics?
They get captured
