All categories

11 months ago

Tight monetary policy theory dictates that when the economy is faced with inflation, the government should:______

1 answer:

8 0

Tight monetary policy theory dictates that when the economy is faced with inflation, the government should increase interest rates.

When a central bank attempts to keep inflation under control, tight monetary policy, also known as contractionary monetary policy, usually takes place. The economy may become overheated as a result of excessive consumer and business borrowing and spending, which might significantly increase the cost of products and services.

The tight monetary policy suggests the Central Bank (or monetary policy authority) is attempting to slow down the demand for money and slow the rate of economic expansion. This typically entails rising interest rates. Usually, the goal of tight monetary policy is to lower inflation. For instance, cutting back on money printing or selling long-term government bonds to the banking industry. The antithesis of quantitative easing would be this.

To know more about tight monetary policy refer to: brainly.com/question/3817564

#SPJ4

You might be interested in

What are the five marketing management functions used to manage the marketing process?

Kamila [148]

The answer is "a. analysis, planning, implementation, organization, and control".

The marketing process comprises of five key steps. The initial step is comprehend the commercial center and client needs and wants.In the last advance of the five-advance process, the organization receives the benefits of solid client connections by catching an incentive from customers. The marketing process, in which four of them concentrated on making an incentive for clients. One procedure for making an incentive for clients is customer-engagement marketing, which encourages immediate and ceaseless client association in forming brand discussions, brand encounters, and brand network.

4 0

3 years ago

As a finance manager at AllSports Communication, Charlie worries about the firm's borrowing requirements for the upcoming year.

denpristay [2]

Answer: Cash budget

Explanation:

The cash budget is the term which is used to define cash flow in the business as it helps in establishing a specific budget by proper analyzing on the outgoing flow and the inflow in an organization.

Th Cash flow is one of the important concept which is typically used by the various types of organizations for operating all the expenses and the the cash budget is used to avoid the problem of cash shortage.

According to the given question, the Cash budget is basically providing Charlie with some valuable data or information by proper estimation regarding the requirement of firm. Therefore, Cash budget is the correct answer.

5 0

3 years ago

The title of the job you are seeking should be placed _____.

Varvara68 [4.7K]

In the cover letter you highlight the reasons you are the best person for the job and how you will benefit the company.
The title of the job you are seeking should be placed in the first paragraph of a cover letter. Job Title and Accomplishments is the most effective way to start out a cover letter.

8 0

3 years ago

There are zero coupon bonds outstanding that have a YTM of 5.97 percent and mature in 19 years. The bonds have a par value of $1

Fed [463]

Answer:

market price = $1,104.20

Explanation:

yield to maturity of zero coupon bonds = (face value / market price)¹/ⁿ - 1

YTM = 5.97%
n = 19 x 2 = 38
face value = $10,000

(face value / market price)¹/ⁿ = YTM + 1

face value / market price = (YTM + 1)ⁿ

market price = face value / (YTM + 1)ⁿ

market price = $10,000 / 1.0597³⁸ = $10,000 / 9.0563 = $1,104.20

8 0

3 years ago

By definition, a ________ requires a large amount of learning on the part of users and typically creates new markets and consump

CaHeK987 [17]

Answer:

discontinuous innovation

Explanation:

The discontinuous innovations bring totally new to the world products that are so different from products that already exist that they reshape consumers habits and therefore markets. For example, the personal computer changed the way we live and work.

7 0

3 years ago