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
podryga [215]
1 year ago
11

The fed increases the quantity of money. in the short run, the quantity of money demanded ______ and the nominal interest rate _

_____
Business
1 answer:
andrey2020 [161]1 year ago
6 0

The fed increases the quantity of money. in the short run, the quantity of money demanded will have immediate effect and the nominal interest rate will fall.

This is because of the quantity theory of money.

According to the quantity theory of money, if the amount of money in the economy gets doubles, keeping all other things equal, price levels will also  gets double.

This means that the consumer will have to pay twice as much for the same amount of goods and services. This increase in price levels will eventually result in a rise of inflation level.

Inflation is a measure of the rate of rising prices of goods and services in any economy.

To know more about quantity theory of money here:

brainly.com/question/28214446

#SPJ4

You might be interested in
Anne has chosen how many bagels and how many units of cream cheese she would buy this month. She has $20 to spend on these two g
Colt1911 [192]

Answer:

The correct answer is:  her marginal benefit per dollar for bagels will decrease, and her marginal benefit per dollar for cream  cheese will increase.

Explanation:

Anne has $20 to spend on two goods bagels and cream cheese.

The marginal benefit per dollar for bagels is $6.

The marginal benefit per dollar for cream cheese is $10.

If she decides to buy more bagels and less cream cheese, the marginal benefit per dollar for bagels will decrease and marginal benefit per dollar for cream cheese will increase.

The marginal benefit per dollar for a commodity is the ratio of marginal utility derived from consuming the last unit of the commodity upon price of the commodity.

As more and more quantity of a commodity is consumed the marginal benefit per dollar for it will go on declining. This is because the marginal utility derived from each additional unit will go on declining while price will remain the same. The less the commodity is consumed, the marginal benefit per dollar for it will increase.

5 0
3 years ago
The publisher from needs to change his calculations. Before the book is actually produced, rising paper costs increase variable
Lerok [7]

Answer:

As the variable cost increased by $2.10 per book so if publisher wants to start making profit at same level of production then it should increase the selling price of the book by $2.10. As the increase in cost and selling price will be same so the publisher will also start making profit at same production level.

6 0
3 years ago
Xthe diffusion of digital technologies into nearly every workplace, remaking the economy and the world of work is referred to as
Effectus [21]

The diffusion of digital technologies into nearly every workplace, remaking the economy and the world of work is referred to as digitalization.

Digitalization refers to the use of digital technologies in order to change a business model and provide new revenue and value-producing opportunities. Digitalization may be viewed as a technology which affects the main economic aggregates in the economy.

In recent decades, the diffusion of digital technology into nearly every business and workplace has been remaking the economy and the world work more effectively.

Hence, the digitalization of everything has increased the potential of individuals, firms, and society to a great extent.

To learn more about technology here:

brainly.com/question/3694451

#SPJ4

5 0
2 years ago
Seth has a monthly income of $2,500. He has a $400 car payment and owes $225 on electronic equipment. What is the percentage of
WITCHER [35]

Answer:

25%

Explanation:

Given:

Seth has a monthly income of $2,500

He has a $400 car payment

He owes $225 on electronic equipment.

Question asked:

What is the percentage of Seth's income he is paying out in debt payments?

Solution:

He has a car payment = $400

He owes on electronic equipment = $225

<em>These two items are treated as debt for Seth as these items are used first then pay for it.</em>

Total debt =  $400 +  $225

Total debt = $625

Now, we will find percentage of Seth's income he is paying out in debt payments,

Percentage =\frac{Total \ monthly \ debt}{Total \ monthly\  income}

                  =\frac{625}{2500} \times100\\\\ =\frac{62500}{2500} \\\\ =25

Therefore, 25% of Seth's income he is paying out in debt payments.

4 0
3 years ago
Using the logic of the two-sided search model, compare the impact on the economy of government spending on education and apprent
Inga [223]

Answer:

Recent changes in American public assistance programs have emphasized the role of work. Employer subsidies such as the Work Opportunity Tax Credit (WOTC) and the Welfare-to-Work Tax Credit (WtW) are designed to encourage employment by reimbursing employers for a portion of wages paid to certain welfare and food stamp recipients, among other groups. a simple dynamic search model of employment subsidies was developed and then test the model’s implications for the

employment outcomes of WOTC- and WtW-subsidized workers. The model predicts that subsidized workers will have higher rates of employment and higher wages than equally productive unsubsidized workers, and it highlights some possible effects of the subsidy on job tenure. predictions was tested using a unique administrative data set from the state of Wisconsin. These data provide information on demographic characteristics, employment histories, and WOTC and WtW participation for all welfare and food stamp recipients in the state for the years 1998 -2001. from those of eligibility.

The employment, wage, and job tenure effects of the WOTC and WtW using propensity score was estimated.

The estimation the effects of the Work Opportunity Tax Credit (WOTC) and the Welfare to Work Tax Credit (WtW) on employment outcomes of disadvantaged workers. These credits offer

subsidies to firms that hire individuals who may otherwise have difficulty finding jobs, such as certain welfare recipients, disadvantaged youth, and disabled individuals. Past work on previous employer-based credits found weak or even nonexistent employment effects, which resulted in the elimination of these

subsidies. The WOTC has been reauthorized four times since its implementation in 1996, and the WtW three times since its implementation in 1998, yet no study has carefully examined their effectiveness.

An analytical model of the WOTC and WtW were developed that allows workers from the same population to be paid different wages based on their value to the particular firms in which they are

employed. I also incorporate a binding minimum wage, which results in some long-term unemployment.

Finally, wages and employment status to change over time as employers learn about workers’ productivity in their firm. This dynamic element is essential to the model, since predictions about wage trajectories and job tenure cannot be made based on a static model. For example, concerns that

disadvantaged workers will end up in short-term, low-paying jobs cannot be addressed analytically without a model that allows changes in employment status over time. This gradual learning treats job matches as “experience goods” whose value cannot be determined ex ante.

Flinn (2003) introduces a minimum wage and investigates its effects on labor market outcomes and welfare in a search framework. Flinn incorporates the possibility of wage bargaining, and analyzes the effects of the minimum wage under different levels of worker bargaining power. Adding bargaining power to the model allows him to relax Jovanovic’s assumption that workers are always paid their (expected) marginal products; this is an important consideration if firms in certain markets are able to extract some rents from workers and pay wages closer to the reservation wage.

However, Flinn’s mode assumes that there is no uncertainty about productivity, even at the time of hire. In the context of the low wage labor market, in which employers might perceive some risks of hiring inexperienced workers, this assumption is restrictive. I therefore develop a model that maintains the bargaining and minimum wage

aspects of Flinn’s model but incorporates a simple form of uncertainty based on Jovanovic (1979), allowing job matches to be characterized as experience goods. This hybrid model is extended to include wage subsidies for a particular subset of workers.

7 0
3 years ago
Other questions:
  • Eastline Corporation had 10,000 shares of $10 par value common stock outstanding when the board of directors declared a stock di
    13·1 answer
  • Fancy Cat Products has a project that will cost $241,000 today and will generate monthly cash flows of $5,730 for the next 55 mo
    8·1 answer
  • Introduction: Drag each tile into the box where it best belongs. Causes of Recession. Cause of Recovery. loss of jobs for worker
    15·1 answer
  • Summarize your thoughts, in a minimum of 2 sentences, on why is it important for healthcare workers to be aware of various cultu
    5·2 answers
  • Microeconomics Which of the following statements is true? a. Students majoring in economics earned more than students majoring i
    11·1 answer
  • Comet Company accumulated the following account information for the year:
    11·1 answer
  • You just borrowed money for four years to buy a car. The payments are $218 a month and the APR is 7 percent. How is the EAR comp
    14·1 answer
  • (True) or (False)? The most common method companies use is double-declining balance, because it allows companies to recognize fo
    7·1 answer
  • Last year, Alfred earned $5,000, Betty earned $50,000, and Charlie earned $500,000. If they all pay a 35% tax on all their incom
    10·1 answer
  • What is the mindtap learning path most similar to?.
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!