Answer:
The correct answer is letter "D": Class envy.
Explanation:
In behavioral economics, the endowment effect explains why an individual could give a higher value to an object that posses than giving a low value when the individual does not have it. The approach implies the object has symbolic importance for the individual while having it.
A good example of the endowment effect refers to a teacher that gives one of his classes' students mugs as gifts. The value of the students who received mugs was higher than the value of those who did not get one.
Answer: Mutual mistake
Explanation:
A mutual mistake in a contract is a situation that arises when the parties in a contract make the same mistake in reference to a significant fact in the contract. i.e., they are mutually ignorant of a fact of the contract.
Had they both known about that mistake, they might not have gone into the contract so the contract is voidable in this scenario.
Both Walker and Sheerwood were mutually mistaken about the fact that Rose was pregnant when they went into the contract so this contract is voidable by this theory.
Answer:
These statements are true:
A) The Federal Reserve does not set the Federal funds rate, but it influences it through the use of open market operations:
For example, at the very moment the Fed funds rate is 1.75%. If the Fed wanted to raise it to 2%, it would have to do so through the use of open market operations (in this case, because it wants to raise the rate, it would have to sell securities in order to reduce the money supply).
C) The Federal Reserve sets the target for the Federal funds rate, and then uses the reserve ratio to push banks toward that target.
Reserve requirements are perhaps the most powerful, and least often used, monetary policy tool that the Fed has at its disposal. It is very powerful because it directly increases or decreases the money supply.
For example, if the Fed wants to increase the fed funds rate, it can raise the reserve ratio so that banks keep more money in reserves, have less money to loan, and in consequence, create less money, causing the money supply to shrink and the fed funds rate to rise accordingly.
D) The Federal Reserve sets the Federal funds rate.
Correct. More specifically, the Federal Open Market Committee, which meets eight times a year to set the target for the fed funds rate.
I use file share and it works offline so.
Answer:
Total Return = 10.45%
Explanation:
To calculate the return, we must first determine the appreciation in the value of the securities in terms of the US dollar.
The initial investment in terms of US dollar was of,
Initial Investment in USD = Investment in Pounds * Exchange rate
Initial Investment in USD = 2340 * 1.52
Initial Investment in USD = $3556.8
The current value of the investment in terms of USD is,
Current value of investment in USD = 2440 * 1.61
Current value of investment in USD = $3928.4
The formula to calculate total return is,
Total Return = (Current Value - Initial Value) / Initial Value
So, the total return based on US dollars was:
Total return = (3928.4 - 3556.8) / 3556.8
Total Return = 0.10447 or 10.447% rounded off to 10.45%
