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GalinKa [24]
2 years ago
12

After a prolonged period of high inflation the government of Atlantia decides to set a target of 0% inflation going forward. As

the new assistant economic minister, you are tasked with critiquing this policy. Which criticism of the 0% inflation target is best supported by the economic literature
Business
1 answer:
s2008m [1.1K]2 years ago
6 0

The best support against a 0% inflation target given by the economic literature is c. A 0% inflation target could lead to deflation.

<h3>Why is a 0% inflation target risky?</h3>

If 0% inflation is targeted, the policy might be so effective that inflation becomes negative and deflation happens.

When deflation happens, the economy will experience hardships with lower production levels that will impact other sectors of the economy.

Options for this question include:

a. It is undisputed that too little inflation interferes with the downward adjustment of real wages.

b. Moderate to high inflation is popular among consumers.

c. A 0% inflation target could lead to deflation

Find out more on deflation at brainly.com/question/13562161.

#SPJ12

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the study of the emperors dead body to determine the cause of julius ceasars death is an example of ???
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without context this sounds like the answer is forensic science.

5 0
3 years ago
Total 17500 shirts are produced and sold. The selling price is $22, variable cost per unit is $18 and fixed cost is $ 80000. If
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Answer:

please mark me as brainlist please

Explanation:

The basic theory illustrated in (Figure) is that, because of the existence of fixed costs in most production processes, in the first stages of production and subsequent sale of the products, the company will realize a loss. For example, assume that in an extreme case the company has fixed costs of ?20,000, a sales price of ?400 per unit and variable costs of ?250 per unit, and it sells no units. It would realize a loss of ?20,000 (the fixed costs) since it recognized no revenue or variable costs. This loss explains why the company’s cost graph recognized costs (in this example, ?20,000) even though there were no sales. If it subsequently sells units, the loss would be reduced by ?150 (the contribution margin) for each unit sold. This relationship will be continued until we reach the break-even point, where total revenue equals total costs. Once we reach the break-even point for each unit sold the company will realize an increase in profits of ?150.

For each additional unit sold, the loss typically is lessened until it reaches the break-even point. At this stage, the company is theoretically realizing neither a profit nor a loss. After the next sale beyond the break-even point, the company will begin to make a profit, and the profit will continue to increase as more units are sold. While there are exceptions and complications that could be incorporated, these are the general guidelines for break-even analysis.

As you can imagine, the concept of the break-even point applies to every business endeavor—manufacturing, retail, and service. Because of its universal applicability, it is a critical concept to managers, business owners, and accountants. When a company first starts out, it is important for the owners to know when their sales will be sufficient

7 0
2 years ago
MNCs can use their global presence toa. take advantage of underpriced labor services available in certain developing countries.
denis23 [38]

Answer:

a. take advantage of underpriced labor services available in certain developing countries.

b. gain access to special R&D capabilities residing in advanced foreign counties.

c. boost profit margins and create shareholder value.

d. avoid regulations and lower tax burdern

Explanation:

Multinational corporation is a company that operates locally in its home country and also aborad. It usually maintains a central office that coordinates business activities.

MNCs have various advantages which includes:

- taking advantage of lower priced labour in developing countries, for example some companies take advantage of cheap labour in China to produce their goods.

- when a company operates in an advanced economy it will take advantage of research and development there.

- regulations and tax burdens can be avoided by setting up manufacturing plants in countries with low regulatory policies.

- MNCs boost shareholder profits by taking advantage of their multiple locations to gain more profits.

7 0
3 years ago
Read 2 more answers
Regardless of the career you want to pursue, you can still get the _____ necessary to achieve success.
qwelly [4]
Aptitude would be the answer (:
3 0
2 years ago
A Rhode Island company produces communion wafers for churches around the country and the world. The little company produces a lo
Furkat [3]

Answer:

80,640 wafers

Explanation:

Calculation to determine How many wafers does the cooling tube hold on average when in production

Using this formula

I = R x T

Where,

R = 112 wafers per second x 60

R = 6720 wafers per minute

T = 12 minutes

Let compute for I using the formula aboi

I = 6720 x 12

I = 80,640 wafers

Therefore How many wafers does the cooling tube hold on average when in production are 80,640 wafers

6 0
3 years ago
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