Question
What action might a government take to stimulate
economic growth during a recession?Solution
During a recession, governments often adopt expansionary fiscal policies to stimulate economic growth. Increasing public spending is a common measure to boost aggregate demand, create jobs, and revitalize economic activity. This approach is based on Keynesian economics, which advocates for government intervention to counteract economic downturns.
John invested Rs. (P-4000) and Rs. (P+5000) in scheme A and scheme B respectively. The rate of interest in scheme A and B is (R+1)% and (R-1)% respectiv...
Virendra invested Rs. 2600 at 20% p.a. simple interest for 3 years. After 3 years, he invested the amount received by him at the 20% p.a. compound inter...
Maya invested Rs. 5000 in scheme 'E' for 2 years and Rs. 6000 in scheme 'F' for 5 years. Both schemes offer a simple interest rate of 10% per annum. Fin...
A and B started a business with initial investments of Rs. 25000 and Rs. 30000 respectively. After one year, a profit of Rs. 11000 is earned. A being a ...
P invested Rs. x at 10% per annum simple interest for 2 years and Q invested Rs. (x + 500) at 12% per annum simple interest for 3 years. If the total in...
- A sum becomes Rs. 13,650 in 5 years at r% p.a. of simple interest. If the rate was (r + 3)% per annum, the same sum would grow to Rs. 14,700 in the same ti...
A certain sum is lent at 4%.p.a. for 3 years, 8% p.a. for the next 4 years, and 12% pa, beyond 7 years. If for a period of 11 years the simple interest ...
An amount placed on simple interest at 7.5% per annum for 3 years becomes Rs. 8,025. What was the principal?
X invested Rs. x at 7% per annum simple interest for 5 years and Y invested Rs. (x + 900) at 9% per annum simple interest for 1 year. If the total inter...
What sum of money at 120% compound interest per annum amounts to Rs.376.32 in 2 years?