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makkiz [27]
3 years ago
13

the gdp of a country hasn’t improved in the past three years. the central bank decided to take a measure that will increase the

amount of money people spend on goods and services. which step should the central bank take? increase interest rates reduce interest rates increase taxes increase the required reserve ratio increase the price of goods and services
Business
2 answers:
Brut [27]3 years ago
7 0
Generally, the Central Bank will reduce the interest rate to allow banks to lend money at a lower rate, thus infusing the macro-economy with funding on medium to large ticket items.
vlabodo [156]3 years ago
7 0

Answer:

reduce interest rates

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Answer:

1. How the nation allocates resources

Explanation:

Government is the chief decision maker in any economic model because their power enables to allocate nation`s resources among economic unit. As such they keep watch on the economic changes and trends in order to make the best economic decision for the nation. When government becomes aware of economic changes, it will try to allocate resources efficiently and effectively based on signal given by the changes.

For example, if US government is aware that the economy is nearing recession, it will be put in preventive measures to escape the intending recession and make sure it allocates its scarce in efficient way among the economic units by spending more on capital projects, raising social empowerment spending and doing other necessary things.

So the discovery of economic changes will most likely influence how the nation allocates resources.

5 0
3 years ago
How useful is GDP as an economic indicator? Answer in 4-6 sentences.
kherson [118]

Answer:

it represents the value of all goods and services produced over a specific time period within a country's borders.

Economists can use GDP to determine whether an economy is growing or experiencing a recession.

Investors can use GDP to make investments decisions

a bad economy means lower earnings and lower stock prices.

Explanation:

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4 0
2 years ago
Assume there are six companies in a certain industry. Four companies have $10 sales apiece, while two companies have $5 sales ea
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Answer:

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Explanation:

5 0
2 years ago
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Answer:   increase in the number and severity of security threats.

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6 0
3 years ago
Comprehensive income is defined as: Net income plus other comprehensive income. Changes in equity for a period resulting from al
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