Suppose that the central bank must follow a rule that requires it to increase the money supply when the price level falls and decrease the money supply when the price level rises. If the economy starts from long-run equilibrium and aggregate demand shifts right, the central bank must

Answers

Answer 1

Answer:

central bank must decrease the money supply, which shifts aggregate demand left

Explanation:

In such a situation as the one being described the central bank must decrease the money supply, which shifts aggregate demand left. This decrease in the money supply will lead to a decrease in consumer spending, thus reducing price levels and real output since there is less capital for spending in the economy, which ultimately causes the aggregate demand to shift to the left. Therefore creating balance in this situation.

Answer 2

If the economy is in long-run equilibrium and aggregate demand shifts right, the central bank must reduce the money supply, causing aggregate demand to shift left.

When the economy is in long-run equilibrium:

In a case like this, the central bank must reduce the money supply, which pushes aggregate demand to the left.

Because there is less capital for spending in the economy, a fall in the money supply will lead to a decrease in consumer spending, lowering price levels and real output, causing aggregate demand to shift to the left.

As a result, there is a sense of equilibrium in this circumstance.

For more information about long-run equilibrium refer to the link:

https://brainly.com/question/13869483


Related Questions

You've just won the lottery! Your winnings will be paid as a monthly annuity of $1,000 per month for 50 years. Assume an interest rate of 10 percent compounded monthly. (Do not round intermediate calculations. Round your final answer two decimal places.) What is the present value of your winnings if the first payment starts today

Answers

Answer:

$119,220.57

Explanation:

in order to calculate the present value of your lottery winnings, we can use the present value annuity factor:

present value = monthly payment x annuity factor (PV annuity factor, ¹⁰/₁₂%, 600 periods)

monthly payment = $1,000annuity factor = 119.22057

present value = $1,000 x 119.22057 = $119,220.57

When there is an economic​ downturn, Congress and the President use fiscal policyLOADING... to stabilize real GDP. But the conduct of the fiscal policy involves several time​ lags, such as the recognition time lag that causes a delay in identification of the economic​ problem, the action time lag that is caused by the delay in Congressional approval of the​ policy, and the effect time lag that arises because policy actions take time to exert their full effects on the economy. These time lags could actually cause discretionary fiscal policy to

Answers

Answer:

The correct approach will be "Destabilize real GDP". The further explanation is given below.

Explanation:

Destroy gross Domestic Product (GDP) because by the moment an intervention starts having its consequences.The population could already rebound as well as the economic development can drive up gross Domestic product faster than expected, constantly making GDP somewhat sustainable as either a result.

Expensive department stores market service and atmosphere while less expensive stores market location and perceived lower prices or credit (check cashing services). This is characteristic of _______________________ .

Answers

Answer: Monopolistic competition

Explanation:

Monopolistic competition is described as a competition between firms where they offer similar services but not the same or exact services. This competition is seen in industries where differentiation is possible, example of such industries are restaurant, hairdressers, clothing, TV programs.

A company issues $1,500,000 of par bonds at 98 on January 1, year 1, with a maturity date of December 31, year 30. Bond issue costs are $90,000, and the stated interest rate of the bonds is 6%. Interest is paid semiannually on January 1 and July 1. Ten years after the issue date, the entire issue was called at 102 and canceled. The company uses the straight-line method of amortization for bond discounts and issue costs, and the result of this method is not materially different from the effective interest method. The company should classify what amount as the loss on extinguishment of debt at the time the bonds are called

Answers

Answer:

$110,000 loss

Explanation:

Given the following :

Par value = $1,500,000 at 98

Maturity = 30 years

Interest rate = 6% paid semianually

Ten years after issue date, entire issue was called at 102 and canceled

Issue price of bond = (1500000 * 98%) = $1,470,000

Discount on issue = $1,500,000 - 1,470,000 = $30,000

After 10 years when bond was canceled :

Discount balance ;

($30,000 / maturity) * (maturity - 10)

($30,000/30)* 20 =1000 * 20 = $20,000

Issuing cost balance:

($90,000/30)*20 = 3000 * 20 = $60,000

Therefore, upon cancelation :

Carrying amount of bond

$(1500000 - 20000 - 60000) = $1,420,000

Reacquisition price :

($1,500,000 * 102%) = $1,530,000

Loss or gain :

$1,530,000 - $1,420,000 = $110,000 (loss)

XYZ assigns $6,000,000 of its accounts receivables as collateral for a $2 million 8% loan with a bank. Sun Inc. also pays a finance fee of 1% on the transaction upfront. What would be recorded as a gain (loss) on the transfer of receivables

Answers

Answer:

$0

Explanation:

Data provided in the question

Account receivable assigned = $6,000,000

For Collateral = $2 million

Percentage = 8%

Finance fee = 1%

Based on the above information, the amount of gain or loss that should be recorded at the time of transfer of receivable is zero as the account receivable is used for a collateral purpose ,not for sale purpose

Therefore, the $0 should be recorded

Maroji is a major exporter of dairy products. Mipon is a major exporter of heavy machinery but also has a sizeable domestic dairy industry. Since it imports a sizeable amount of heavy machinery from Mipon, Maroji, at the request of Mipon, limited the amount of dairy products it exports to Mipon each year. This is an example of

Answers

Answer:

voluntary export restraint

Explanation:

Based on the scenario being described, this is an example of a voluntary export restraint or VER for short. This term refers to a trade restriction on the quantity of a specific good that the exporting country is allowed to export to other countries and is usually a self-imposed limit. Such restrictions are usually implemented in order to seek protection from competing imports from particular countries and prevent trade barriers.

Volatility risk is Group of answer choices the percentage change in the stock call-option price divided by the percentage change in the stock price. the sensitivity of the delta to the stock price. the risk incurred from unpredictable changes in volatility. the volatility level for the stock that the option price implies.

Answers

Answer:

The correct answer is the third option: The risk incurred from unpredictable changes in volatility.

Explanation:

To begin with, the concept known as "Volatility Risk", in the financial and business field, refers to the risk that the companies have to face in the cases where there is a change in the price of a stock due to the changes that tend to happen in volatility factors that have a huge influence in the stock itself. Therefore that this concept implicates the risk that the business has to deal with when working with variables that are risky because of the great influece of them in the price of the stock.  

Todd is the owner of TodVac, a producer of high performance commercial vacuum cleaners based in Texas. Todd knows that some companies use technology that has been proven over the years to efficiently create components very similar to the components in his vacuums. Unfortunately, Todd has never seen this technology and does not have a clue how it works. How should Todd go about learning how to improve his production with time-tested technology?

Answers

Answer:

The internet is good place to learn

Explanation:

From an economic perspective, Todd stands to spend less if he decides to carry out an extensive research on the internet.

Vacuum cleaners are more than ever before been refunished with modern technology.

With simply a tap of a button on Google, Todd can look the various technologies used by or companies that has been proven over the years to efficiently create components very similar to the components in his vacuums.

why does human want change over a period of time ?​

Answers


Every human has a desire for better standards of living. For this, they need to change with their desires and wants for the better in terms of food, clothing, and living

You are a policy analyst in the Department of Energy. You were just offered a job with a renewable energy company. How long must you wait before you can lobby the Department of Energy on behalf of your new employer?

Answers

Answer:

2 years

Explanation:

In case when you offered a job from a renewable energy company and you are currently working as a policy analyst in the energy department so you have to wait for 2 years prior for lobbing the department of energy on new employer behalf

Hence, the time period is for 2 years and the same is to be considered for the given situation.

accountant for Huckleberry... The accountant for Huckleberry Company is preparing the company's statement of cash flows for the fiscal year just ended. The following information is available: Retained earnings balance at the beginning of the year $ 160,000 Cash dividends declared for the year 49,600 Net income for the year 96,500 What is the ending balance for retained earnings

Answers

Answer:

$206,900

Explanation:

According to the given situation, the computation of ending balance for retained earnings is shown below:-

Ending retained earnings = Beginning retained earnings + Net income - Cash dividends

= $160,000 + $96,500 - $49,600)

= $206,900

Therefore for computing the ending retained earnings we simply applied the above formula.

Harlose Suits faced a lot of complaints from customers when its recent batch of goods was dispatched. The employees at Harlose Suits, hence, had to rework on the returned items, and in some cases, the company had to even replace the faulty goods. In this case, the costs incurred by Harlose Suits are an example of _____.

Answers

Answer:

External failure costs.

Explanation:

These are explained to be the faults or defects a customer finds out or see after receiving his good and leaves the factory or finds out when goods or services has been delivered to him/her.

This can be either internal or external. When seen to be an internal aspect of the failure, costs result from identification of defects before they are shipped to customers. Some of these could include rejected products, reworking of defective units, scrap and also downtime caused by quality problem. It is said that a firms appraisal activities creates chances greater than the chance of catching defects internally and the greater the level of internal failure costs. This is the price that is paid to avoid incurring external failure costs, which can be devastating.

Answer: im trying to get points

1 2 3 4 5 6 7 8 9

Crystalize is a decorative glassware manufacturer. The company's production team takes 8 hours to produce 96 identical glass items. Which of the following is the labor productivity of Crystalize?A) 10 items per hour.
B) 12 items per hour.
C) 0.08 hours per item.
D) 0.09 hours per item.

Answers

Answer:

B) 12 items per hour.

Explanation:

Calculation for the labor productivity of Crystalize.

Using this formula

Labor productivity=Numbers of items produce/Hours to produce

Let plug in the formula

Labor productivity=96/8

Labor productivity= 12 items per hour

Therefore labor productivity of Crystalize will be 12 items per hour.

n your own words define employment-at-will and explain whether or not you agree with this principle. Next, discuss your thoughts on workplace testing and its role in the hiring process. Do you feel this is a fair hiring practice? Why or why not?

Answers

Answer:

a) Employment-at-will is a form of employer-employee relationship which may be terminated by the employer at any time without due consultation with the employee as long as the reason for the termination is not against the law.

b) Work Place Testing: This refers to all the series of tests that an employer can and may administer to a job applicant in order to ascertain their suitability for the role and ensure that they are a culture fit.

Workplace Testing is a fair hiring practice. There is no use hiring an employee only to discover few months later that they cannot do the job as they asserted on their resume. This can be very detrimental to the business as it can leave the business very vulnerable.

e If a candidate is turned down after testing, it doesn't mean they are not capable of being productive at all. It only means that they don't match the person specification for the current job under consideration.

Cheers!

On May 10, 2017, Vaughn Co. enters into a contract to deliver a product to Greig Inc. on June 15, 2017. Greig agrees to pay the full contract price of $1,990 on July 15, 2017. The cost of the goods is $1,310. Vaughn delivers the product to Greig on June 15, 2017, and receives payment on July 15, 2017. Prepare the journal entries for Vaughn related to this contract. Either party may terminate the contract without compensation until one of the parties performs.

Answers

Answer:

June 15, 2017, goods sold on account to Greig

Dr Accounts receivable 1,990

    Cr Sales revenue 1,990

Dr Cost of goods sold 1,310

    Cr Merchandise inventory 1,310

July 15, 2017, payment collected from Greig

Dr Cash 1,990

    Cr Accounts receivable 1,990

The transaction must be recorded only after some type of consideration is exchanged between the parties.

Economic profit in the long run is: Group of answer choices possible for both a pure monopoly and a pure competitor. possible for a pure monopoly but not for a pure competitor. impossible for both a pure monopolist and a pure competitor. only possible when barriers to entry are nonexistent.

Answers

Answer:

possible for a pure monopoly but not for a pure competitor

Explanation:

The economic profits are the profits in which the firm could be earned by the market power

As we know that in the perfect competition there is a freedom for entry and exit to the markets and also in this no market power due to which its profits are zero

Therefore it should be possible for the pure monopoly, not the pure competitor

Hence, option b is correct

If a stock is correctly priced, then you know that ____________. A. the dividend payout ratio is optimal B. the stock's required return is equal to the growth rate in earnings and dividends C. the sum of the stock's expected capital gain and dividend yield is equal to the stock's required rate of return D. the present value of growth opportunities is equal to the value of assets in place

Answers

Answer: the sum of the stock's expected capital gain and dividend yield is equal to the stock's required rate of return

Explanation:

Stock are the investment that are made by individuals or firms into a public company.

When a stock is correctly priced, it means that the sum of the stock's expected capital gain and dividend yield is equal to the stock's required rate of return

Ashley bought a desktop computer and a laptop computer. Before finance charges, the laptop cost $350 more than the desktop. She paid for the computers using two different financing plans. For the desktop the interest rate was 7% per year, and for the laptop it was 6% per year. The total finance charges for one year were $398. How much did each computer cost before finance charges

Answers

Answer:

Laptop = $3250

Desktop = $2900

Explanation:

Total finance charge = $398

Laptop cost = 350 + x

Desktop = X

Workings

Finance cost = (7% *X ) + (6% * 350+x ) = 398

0,07 X + 0.06 X + 21 = 398

0.13 X + 21 = 398

0.13 X = 398 -21

0.13 X = 377

Therefore ,X = 377/0.13

=2900

Cost of Desktop = 2900

Cost of Laptop =2900+350 =3,250

Assume Bob of "Gut-Bomb Burgers" Corp. would like to increase his company's market share by one share point to a total of nine percent. The burger industry's total marketing effort is $50 million. Bob is currently spending $4 million on marketing. How much additional money would Bob have to invest in marketing to increase his company's market share by one share point?

Answers

Answer:

$750,000

Explanation:

Calculation for the additional money that Bob have to invest in marketing to increase his company's market share by one share point

Based on the information given we were told that the burger industry's total marketing effort was the amount of $50 million, this means that the share of point will be calculated as :

Share of point=Total marketing effort of $50,000,000/100

Share of point=$500,000

Second step is for us to make use of the 1.5 rule from the parity budget by multiplying it with the amount of $500,000

Hence,

Additional money=$500,000*1.5

Additional money=$750,000

Therefore the additional money that Bob have to invest in marketing to increase his company's market share by one share point will be $750,000

The characteristics of a world market where global competition prevails include A. a market situation where competitive conditions across national markets are linked strongly enough to form a true world market and where leading competitors typically compete head to head in many different countries. B. minor cost variations from country-to-country (as concerns production, distribution, sales and marketing, and other primary components of the industry value chain) and minimal cross- country trade restrictions. C. a competitive environment comprised of so many competitors that no company has a sizable worldwide market share. D. many companies racing for global market leadership, with most contenders using the same basic type of competitive strategy and positioned in the same strategic group. E. low barriers to entry, such as large number of rivals that the actions of any one rival have little impact on the sales and market shares of other rivals, and key success factors that vary from country to country.

Answers

Answer:

A. a market situation where competitive conditions across national markets are linked strongly enough to form a true world market and where leading competitors typically compete head to head in many different countries.

Explanation:

The characteristics of a world market where global competition prevails include a market situation where competitive conditions across national markets are linked strongly enough to form a true world market and where leading competitors typically compete head to head in many different countries.

For instance, the fierce competition between the manufacturers of mobile phones such as Android devices and iOS devices. Also, manufacturers of vehicles are into head to head competition in different countries.

A________ is a plan in which an individual balances available resources and expenses.

Answers

Answer:

Budget

Explanation:

You're sorting out your investments and spending habits. Often sorting out all of your needs to fit in a well balanced budget

The answer is budget

A company purchased equipment and signed a 4-year installment loan at 10% annual interest. The annual payments equal $10,600. The present value of an annuity factor for 4 years at 10% is 3.1699. The present value of a single sum factor for 4 years at 10% is .6830. The present value of the loan is:

Answers

Answer:

$33,600.94

Explanation:

the present value of the loan = annuity payment x annuity factor = $10,600 x 3.1699 = $33,600.94

we can check that this amount is correct by:

first payment = $10,600 - ($33,600.94 x 10%) = $7,239.91

principal balance after first payment = $33,600.94 - $7,239.91 = $26,361.03

second payment = $10,600 - ($26,361.03 x 10%) = $7,963.90

principal balance after second payment = $26,361.03 - $7,963.90 = $18,397.13

third payment = $10,600 - ($18,397.13 x 10%) = $8,760.29

principal balance after third payment = $18,397.13 - $8,760.29 = $9,636.84

fourth payment = $10,600 - ($9,636.84 x 10%) = $9,636.32

principal balance after fourth payment = $9,636.84 - $9,636.32 = $0.52 (rounding error)

Which of the following statements is not correct? Group of answer choices The deadweight loss that arises in monopoly stems from the fact that the profit-maximizing single-price monopoly firm produces a quantity of output that is smaller the socially-efficient quantity. Consumer surplus is smaller with perfect price discrimination than for a single-price monopolist that can not price discriminaten with a single price monopoloblem caused by monopoly is monopoly profit. For a given demand curve, the profit for a single-price monopolist is larger than for a monopolist that can price discriminate. The deadweight loss caused by monopoly is similar to the deadweight loss caused by a tax on a product.

Answers

Answer:

The deadweight loss that arises in monopoly stems from the fact that the profit maximizing single price monopoly firm produces a quantity of output that is smaller the socially efficient quantity.

Explanation:

The dead weight loss arises in an economy when supply and demand are not balanced. Supply and demand are the two most important factors that derive the economy. The economy does not achieve its equilibrium because of dead weight loss. The cost is increased due to dead weight loss which creates market inefficiency.

Which one does not describe the ways that players associations support players? A. Providing them with guidance in salary and labor arbitration. B. Providing them with equipment and instruction to enable them to perform at the highest possible level. C. Providing them with salary and contract data. D. Providing them with information to support negotiations.

Answers

Answer: Providing them with equipment and instruction to enable them to perform at the highest possible level.

Explanation:

Players association support players by providing them with guidance in salary and labor arbitration, providing them with salary and contract data and also by providing them with information to support negotiations.

It is not the function of the players association to provide players with equipment and instruction to enable them to perform at the highest possible level.

"A customer's short margin account shows the following balances: Credit Balance: $120,000 SMV: $60,000 SMA: $30,000 What would the adjusted SMA balance be in the account after a short cover of 100 shares of MMM stock at $100 in the account?"

Answers

Answer:

$35,000

Explanation:

Calculation for adjusted SMA balance .

First step

Short cover =100 Shares × MMM stock $100

=$10,000

Second step is to find the 50% of the amount of $10,000

50%×$10,000

=$5,000

Third step is to calculate for adjusted SMA balance

Adjusted SMA balance=$SMA $30,000 +$5,000

Adjusted SMA balance=$35,000

Therefore the Adjusted SMA balance will be $35,000

Jamie was participating in a market research study regarding computers when he was presented with 24 different computers that varied on four criteria. He was asked to rank all 24 descriptions in terms of his preference for those combinations of features. Which approach to assess the relative importance Jamie places on evaluative criteria was this research using?

Answers

Answer:

conjoint analysis

Explanation:

In the market research study being described, they were using conjoint analysis. This is a statistical technique that helps determine how potential customers value different attributes such as a specific feature, function, or benefit that makes up an individual product or service. In this particular scenario, Jamie was asked to rank the different computers based on each ones unique/different criteria or features.

Jill wants to start her own business, but knows little about how to set up an accounting system or interpret financial information. "I'm not worried about accounting," she tells her friends. "I'll just hire a part-time bookkeeper to handle all that type of stuff, and focus my attention on what I like—finding ways to satisfy my customers." Which of the following is the best response to Jill's comments?A. Fine. Just make sure the bookkeeper you hire knows how to use a database, since this type of software is the heart of any efficient accounting system. B. Although you can hire someone to keep your books, you'll still need to know how to read, understand, and interpret basic accounting reports in order to make good business decisions. C. Most entrepreneurs would agree with your opinion. The work done by accountants is mainly clerical in nature, so time spent by business owners on accounting tends to take them away from more important tasks. D. You have a good plan. Only managers of large firms require knowledge of accounting. Owners and managers of small businesses can easily get by with just a part-time bookkeeper.

Answers

Answer:

B. Although you can hire someone to keep your books, you'll still need to know how to read, understand, and interpret basic accounting reports in order to make good business decisions

Explanation:

You may employ someone to manage the accounts, but you do need to know how to read, understand, and interpret simple reports of accounting to make sound business decisions, as well as understanding whether someone is committing fraud with you. A simple knowledge can help with all of this.

The smooth operation of a company is practically impossible without being able to interpret, comprehend and evaluate accounting reports and financial statements.

Therefore according to the given situation, the correct answer is b

Because they do so much driving while visiting doctors' offices and hospitals, pharmaceutical sales representatives are often given company cars to drive. When a pharmaceutical company like Merck is preparing to purchase new company cars, sales reps' feedback will be sought on car models and features, but the final decision will be made by higher levels of management. What role(s) do the sales reps play in the buying center?

Answers

Answer: Users and Influencers

Explanation: The sales representatives are consulted being the ones who will make use of the purchased vehicle in order to aid business growth, the sales representative have become familiar with issues they experience during the use of previous cars which might be related to the model and certain mechanical features of the car. Therefore, the feedback provided may be considered when the ultimate decision is being made, here sales representatives acts as influencers as their opinion is put into perspective, even though other considerations may outweigh those provided by the sales representatives as the final decision is being made by the superior management.

Canon was able to redesign the copying machine so that it didn't need professional service—reliability was built directly into the machine, and the user could replace parts, such as the cartridge. What Xerox had not envisioned was the possibility that the components of the copying machine could be put together in an altogether different way that was more user-friendly. This example describes

Answers

Answer:

architectural innovation

Explanation:

The scenario is describing the term known as architectural innovation. This refers to the innovation of the specific architecture of any product that changes and/or modifies the way the different components of the machine link or relate to each other, thus allowing it to perform new functions or the same functions but in a much more user-friendly manner. This is what Canon did by changing the architecture of the copying machine so that it was more user-friendly for the end consumer.

Is a Truck driving on the highway is one of the sixteen careers taught in Texas. Yes or No​

Answers

Yes it is something taught in Texas
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