1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Savatey [412]
1 year ago
12

If Central Bank A cares only about keeping the price level stable and Central Bank B cares only about keeping output at its natu

ral level, then in response to an exogenous decrease in the velocity of money: a. both Central Bank A and Central Bank B should increase the quantity of money. b. Central Bank A should increase the quantity of money whereas Central Bank B should keep it stable. c. Central Bank A should keep the quantity of money stable whereas Central Bank B should increase it. d. both Central Bank A and Central Bank B should keep the quantity of money stable.
Business
1 answer:
dexar [7]1 year ago
8 0

<u>A)</u><u> Both Central Bank A and Central Bank B should </u><u>increase</u><u> the </u><u>quantity</u><u> of </u><u>money.</u>

<u></u>

<h3><u>What is the Central Bank?</u></h3>

A financial institution with exclusive authority over the creation and distribution of money and credit for a country or a group of countries is known as the central bank. In contemporary economies, the central bank is typically in charge of monetary policy formulation and member bank regulation. Inherently non-market-based or even anti-competitive institutions are central banks. Many central banks, despite the fact that some have been nationalized, are not part of the government and are therefore frequently hailed as being politically independent. However, even though a central bank isn't technically the government's property, its rights are still created and safeguarded by the law.

Learn more about central banks with the help of the given link:

brainly.com/question/24171524?referrer=searchResults

#SPJ4

<u></u>

<u></u>

You might be interested in
Which of the following statements is​ FALSE? A. According to the constant dividend growth​ model, the value of the firm depends
Vedmedyk [2.9K]

<u>A. According to the constant dividend growth​ model, the value of the firm depends on the current dividend​ level, divided by the equity cost of capital plus the grow rate.</u>

This is the false statement.

<u>Explanation</u>:

The fair value of stock can be calculated using the dividend growth model. While calculating the value of the stock, the growth of the dividends should be considered either in a stable rate or at a different rate during the period at hand.

The dividend growth model is also known as a <u>valuation model</u> as it is used to achieve the value of the stock.

Equity cost is the cost that the firm owes to the equity investors to compensate the risk of their investment.

4 0
3 years ago
In 2020, Antle Inc. had acquired Demski Co. and recorded goodwill of $275 million as a result. The net assets (including goodwil
Luda [366]

Answer:

The correct answer is $0

Explanation:

Solution

An Impairment loss recognized when  a book value of reporting company is more than its fair value, In the given example, the book value is not more than its fair value or higher than the value, hence the amount of the impairment loss that Antle Inc would record for goodwill at the end of 2021 is: Impairment loss is $0

7 0
3 years ago
What education do you need for high school
LenaWriter [7]

Answer:

To teach High School, you need a Bachelors degree.

To graduate it, you have to pass English/Language Arts · Mathematics · Science · Social Studies/History · Foreign Languages · Physical Education

5 0
3 years ago
Read 2 more answers
The production possibilities model shows an inverse relationship between the amount of one thing that can be produced and the am
Ivahew [28]

Answer:

Explanation:

The production possibility curve is a graphical illustration and tool used for economic analysis. It shows the various combination of goods that can be produced given available resources.

The PPC looks like a bow shape and has an inverse relationship, this is because this is because to produce 1 more of product A you need tp be willing to let go of 1 unit of product B(assuming we can only manufacture 2 products) this concept is known aa Marginal Rate of Transformation.

8 0
3 years ago
Read 2 more answers
Which of the following statements are true? Check all that apply. In this labor market, a minimum wage of $9.00 is binding. In t
soldier1979 [14.2K]

Answer:

<em>1.  In this labor market, a minimum wage of $9.00 is binding : </em><em>FALSE</em>

<em>2. In the absence of price controls, a shortage puts upward pressure on wages until they rise to the equilibrium : </em><em>TRUE</em>

<em>3. If the minimum wage is set at $12.50, the market will not reach equilibrium : </em><em>TRUE</em>

<em>4. Binding minimum wages cause frictional unemployment : </em><em>FALSE</em>

Explanation:

<em><u>Question has been attached here</u></em>

Unemployment is the term used to define those who are willing and are actively seeking work but cannot find any. A minimum wage is a price control, in the form of a price floor imposed by government legislation in order to protect laborers from low wages. Paying anything below the minimum wage is against the law.

<em>1. In this labor market, a minimum wage of $9.00 is binding : </em><em>FALSE</em>

A minimum wage is binding only if it is set above the equilibrium price. In this scenario, the equilibrium price is at $12. Hence, $9 is not binding since a shortage of labor would gradually raise the price to the equilibrium.

<em>2. In the absence of price controls, a shortage puts upward pressure on wages until they rise to the equilibrium : </em><em>TRUE</em>

When there is a shortage in the market, it means that the quantity supplied is higher than the quantity demanded. With any particular commodity such as bread or rice, a shortage creates a rise in price. Just as that, a shortage of workers creates an upward pressure on the price (wage). Since there are no price ceilings, market will reach equilibrium.

<em>3. If the minimum wage is set at $12.50, the market will not reach equilibrium : </em><em>TRUE</em>

As shown in the diagram, the market equilibrium is $12. If the minimum wage was $12.50, there would be a surplus of labor (quantity supplied is higher than quantity demanded). Naturally, this may cause a downward pressure on wages until it reaches $12. However, when a minimum wage is imposed at $12.50, it cannot fall below that level. Thus, the market will not reach the equilibrium.

<em>4. Binding minimum wages cause frictional unemployment : </em><em>FALSE</em>

Frictional unemployment is a type of unemployment that occurs when workers are temporarily unemployed while switching between jobs. It is normal and occurs even in the healthiest of economies. A binding minimum wage is more likely to cause structural unemployment. This occurs when there is a mismatch between the skills of the labor force and the skills expected to be possessed by employers to do a particular job. Hence, even if jobs are available, the laborers are not suited to do them and thus are unemployed.

6 0
3 years ago
Other questions:
  • The City issued $2 million in general obligation bonds to acquire a fleet of vehicles for the Central Motor Pool Internal Servic
    10·1 answer
  • Lounge Lizard, a website and mobile app design company for small businesses, receives the majority of its new customer leads fro
    15·1 answer
  • *LOOK AT THE PHOTO PLEASE*<br> The goal of giving the debtor a fresh start is accomplished through
    6·1 answer
  • Which of the following statements about the U.S. housing industry is accurate?
    7·1 answer
  • we come to them who weep foolishly and sit down and cry for company, instead of imparting to them truth and health in rough elec
    9·1 answer
  • The life span of a record that follows a set of phases from creation to final disposition is called the ___________.
    7·1 answer
  • Predetermined Overhead Rate, Applied Overhead, Unit Cost Ripley, Inc., costs products using a normal costing system. The followi
    10·1 answer
  • Which of the following statements about portfolio diversifications are correct? Check all that apply. The risk of a portfolio de
    8·1 answer
  • Suppose a basket of goods and services has been selected to calculate the consumer price index (CPI) and 2002 has been selected
    5·1 answer
  • Lore Co. changed from the cash basis to the accrual basis of accounting during 2005. The cumulative effect of this change should
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!