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2 years ago

Expansionary monetary policy is more effective in an open economy because:.

1 answer:

7 0

In an open economy, expansionary fiscal policy increases in government spending can raise interest rates, which raises the dollar's value and pushes out net exports is the reason of effectiveness Expansionary monetary policy.

<h3 /><h3>What is Expansionary monetary policy?</h3>

Expansionary policy, often known as loose policy, is a macroeconomic policy aimed at boosting economic growth.

Monetary or fiscal policy can both be used to expand the economy or a combination of the two.

It is part of Keynesian economics' overarching policy prescription for reducing the negative effects of economic cycles during slowdowns and recessions.

Thus, increases in government spending can raise interest rates is the reason of effectiveness Expansionary monetary policy.

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The offeror may _____ the offer at any time prior to acceptance.

ivanzaharov [21]

Answer:

The offeror may retract the offer at any time prior to acceptance.

Most likely the offeror was able to get a better deal somewhere else, which allows the offeror to retract the offer. However, if they had already made a deal, the offeror would have broken the deal, which may result in action.

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3 years ago

Jacob needed money for some unexpected expenses, so he borrowed $5,890.25 from a friend and agreed to repay the loan in seven eq

Anna11 [10]

Answer:

OPTION C i.e 11%

Option A i.e 30.55 year

Explanation:

we know that capital can be calculated as

$Capital = EMI \times PVIFA$

$capital = EMI \times \frac{(1+r))^n -1}{r (1+r)^n}$

from the data given in question we can calculate the value of r

$5890.2 = 1250 \times \frac{(1+r))^7 -1}{r (1+r)^7}$

$4.7122 = \frac{(1+r))^7 -1}{r (1+r)^7}$

solving for r we get

r = 11%

option C

we know that

$Total\ saving = cash flow \times FVIFA$

$= Cash\ flow \times \frac{(1+r)^n -1}{r}$

from the data given we can evealueate the value of n

$8,452,622 = 40,000 \times \frac{(1.11)^n -1}{0.11}$

$\frac{8452622}{40000}\times 0.11 = (1.11)^n -1$

solving for n we get

n = 30.55 year.

Option A

4 0

3 years ago

How does columbus describe the role and rights of women in native american cultures?

OleMash [197]

<span>Women in native American communities are held at a high regard, are well respected, and have the rights and liberties of men in certain situations. When married, the husband joined the woman's family as the family line was always traced through the women of the family. If a woman decided that she wanted a divorce from her husband, her decision was easily made when she put her husband out of the house to leave.</span>

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3 years ago

Both competitive firms and monopolies produce at the level where marginal cost equals marginal revenue. Then, other things rema

maria [59]

Answer:

A. Competitive markets face perfectly elastic demand and marginal revenue, while monopolies face downward-sloping demand and marginal revenue.

Explanation:

In the case when competitive firms and monopolies generated at the level in which the marginal cost is equivalent to marginal revenue keeping the other things constant so the price should be less in the competitive market as compared to the monopoly because in the competitive markets it face perfectly elastic demand but in the monopoly it face the down ward sloping demand curve

Therefore the option a is correct

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3 years ago

One of the draw backs of the profitablity index as a criteria for judging whether to accept a capital investment project is that

Naya [18.7K]

Answer:

It might lead to over-optimistic projections

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In simple words, the problem with using profitability index as the index criteria lies with the procedure of estimating it. In order to consider the business situation, the organisational finance group requires to settle with the corporation supervisors.

Leadership may be too enthusiastic about their assignment, so forecasts for cash flow may be too substantial. Consequently, in predicting the profitability index, there may be an uptrend prejudice.

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3 years ago