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IRISSAK [1]
3 years ago
14

If the economy is at full employment and the Federal Reserve undertakes a policy of increasing the money supply at a constant ra

te of 6% while the production of goods and services is at 2% what would you expect to happen?
a. interest rates will go down and employment will increase

b. the government budget will run a surplus

c. inflation

d. the government budget will run a deficit and the Federal Reserve will monetize the debt.
Business
2 answers:
Korvikt [17]3 years ago
7 0
Think through this one:
--The bottom two answers concern budget deficits or surpluses, but the question doesn't tell you anything about tax revenue vs. government spending. So neither of those answers applies.
--The first answer is impossible because the economy is already at full employment, so employment can't increase
--Inflation is the answer. Increasing the money supply by 6% while output is increasing by only 2% means that prices will rise: the money supply is increasing faster than output.
Anastaziya [24]3 years ago
3 0
The answer to this would be Inflation. Or C as the answer.
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Corporate governance is the system of company oversight designed to ensure that the interests of owners and other stakeholders are protected.

<h3>What is Corporate governance?</h3>

Corporate governance can be described as the  system  whereby a companies are been directed and controlled.

It should be noted that the  Boards of directors are responsible for the governance of their companies, however the  shareholders' role  that can be associated to this governance help to  appoint the directors and the auditors .

Hence,Corporate governance is the system of company oversight designed to ensure that the interests of owners and other stakeholders are protected.

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5 0
1 year ago
How can a developing country generate internal funds?
Brrunno [24]

Answer:

The correct answer would be option C, By producing more than it consumes.

Explanation:

A developing country can generate internal funds by producing more than it consumes.

Internal funds are the funds that are generated internally, either at the individual level or at the country level. When a country generates funds on its own, the funds are called as the internal funds.

So internal funds can be generated by producing more than the consumption requirements. In this way the economic activities will increase, the money supply would be better and the country would be able to generate funds it need.

5 0
3 years ago
Chief financial officer Barry submits travel and expense reports that are completely genuine and encourages employees in his div
Scorpion4ik [409]

Answer: A) Leading by example

Explanation:

Leading by example means to act in a way that shows others how to act. Barry has led by example by submitting travel and expense reports that are genuine. This will inspire his employees or subodinates to do same.

Leadership is not about talking the talk, this type of leaders also walks the walk. Leaders expect others to do the right thing by leading from example.

8 0
3 years ago
At a price of $1.00, a local coffee shop is willing to supply 100 cinnamon rolls per day. At a price of $1.20, the coffee shop w
Julli [10]

Answer:

2.2

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midpoint method = {(Q2 - Q1) / [(Q2 + Q1) / 2]} / {(P2 - P1) / [(P2 + P1) / 2]}

midpoint method = {(150 - 100) / [(150 + 100) / 2]} / {(1.20 - 1) / [(1.20 + 1) / 2]}

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midpoint method = 0.4 / 0.19 = 2.2

The advantage of using the midpoint method to calculate price elasticity is that we can calculate the price elasticity between two points, and it doesn't matter if the price increases or decreases.

If we calculate price elasticity using the single point formula:

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7 0
3 years ago
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