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mojhsa [17]
2 years ago
11

According to ___________________, if the money supply grows at 6%, real gdp grows at 2%, and the velocity of money is constant,

then the inflation rate will be+approximately
Business
1 answer:
IceJOKER [234]2 years ago
5 0

The quantity theory of money predicts that the inflation rate will be 4% if the money supply increases by 6%, real GDP increases by 2%, and the velocity of money remains constant.

All the money and other liquid assets present in an economy on the measurement date are referred to as the money supply. The money supply roughly consists of deposits that can be utilized virtually as easily as cash in addition to actual currency.

Governments issue coin and paper money supply through a mix of national treasuries and central banks. By dictating to banks what reserves they must maintain, how to offer credit, and other financial issues, bank regulators have an impact on the amount of money that is available to the general people.

By regulating interest rates and altering the amount of money flowing through the economy, economists study the money supply and create policies based on it. Because the money supply may have an impact on price levels, inflation, and the business cycle, both the public and private sectors conduct analyses. The most significant determining factor in the money supply in the United States is Federal Reserve policy. The term "money stock" also applies to the money supply.

Learn more about money supply here

brainly.com/question/24249291

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180 days of the most recent paycheck reflecting the discrepancy.

4 0
3 years ago
Explain how a consumer’s place of residence has an especially large impact on their purchase of sports and entertainment commodi
ElenaW [278]

Answer:

Concept: Business digression

  • Lets assume you live in Los Angeles CA
  • LA houses the Lakers, dodgers, and so many more big brand teams.
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  2. Residence defined as the area that surrounded the immediate perimeter of the said consumer.
  3. Hence, by the principle of <u>socialization</u><u> </u>people are more inclined to buy sports gear to represent their teams and inclined to participate in consumer purchases based on their peers.
  4. It becomes the "lifestyle" and "ideal" personalities in a place such as LA and this inherently drives up sales of sports and entertainment commodities.
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8 0
3 years ago
Which of these groups of workers is not a part of Handy's Shamrock organization?
kolezko [41]

Answer:

#1 Outsourced workers

Explanation:

Outsourced workers are not employees of Handy's Shamrock organization. They are workers who have been contracted by Handy Shamrock to carry out specific functions.

In most cases, outsources workers are employed by a company that specializes in certain tasks. For example, Handy Shamrock may need cleaning workers. Instead of hiring cleaners, they may contract a cleaning company to do the job for them.  The cleaning company workers that will be cleaning at Handy Shamrock will be outsourced workers.

4 0
3 years ago
In year 1, nominal GDP for the United States was $2,250 billion and in year 2 it was $2,508 billion. The GDP deflator was 72 in
leonid [27]

Answer:

c. 1.6 percent.

Explanation:

GDP Deflator = Nominal GDP / Real GDP * 100

year 1

Real GDP = $2250 billion/72*100

                = $ 3125.

year 2

Real GDP = $2508 billion/79*100

                = $3175  

Real GDP rose by = Real GDP (2nd year) - Real GDP (1st year)

                              = $3175 - $3125

                              = $ 50

% increase = $50/$2,250*100

                  = 1.6%

Therefore, The Real GDP rose by 1.6%.

7 0
3 years ago
Suppose the government has imposed a price ceiling on sliced sandwich bread. Which of the following events could transform the p
oksano4ka [1.4K]

Answer:

A decrease in the price of unsliced bread, which people consider a substitute for sliced bread.

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