Answer:
Correct option is <u>rises with inflation, leading to an improved allocation of resources
</u>
Explanation:
Relative price variability has a direct relation with Inflation and an increase in Inflation leads to increased relative price variability and effective resources allocation.
The answer to this question is <span>both the equilibrium price and quantity will rise
For substitutes, the movement of price usually really similar. In this case, when the price for butter rises, margarine suppliers will see this as an opportunity to increase the profit by also increasing the price of their products which will also increase the quantity equilibrium</span>
Answer:
Cyclical unemployment is the loss of jobs due to a recession or downturn in an economy.
Explanation:
Cyclical unemployment is a type of unemployment. It is also known as Keynesian or deficient-demand unemployment. This type of unemployment occurs when the overall demand in an economy is not enough to provide jobs to the people who want to work. Cyclical unemployment is observed during the periods of slow economic growth or recession.
Answer:
you would believe that the exact inflation rate will be 4.02% for the next year.
Explanation:
exact inflation rate = (1 + nominal return)/(1 + real return) -1
= 1.138/1.094 -1
= 4.02%
Therefore, you would believe that the exact inflation rate will be 4.02% for the next year.
APR.
If you don' pay off your balance every month, you will pay interest on the remaining amount. The amount of interest is the APR, annual percentage rate. So, if you are going to be paying interest you want to make sure this rate is as low as possible!
