Answer:
The bank will be able to lend:
$42,105,263 ($8 million/ 0.19)
Explanation:
The above amount which the bank can lend from the $8 million received from the Federal Reserve for a customer is a function of $8 million deposit in a customer's account and the reserve ratio. This is called the money multiplier.
The money multiplier is the amount of money that banks generate with each dollar of reserves. Reserves is the amount of deposits that the Federal Reserve requires banks to hold and not lend. The level of Reserves and deposit liabilities determine the amount a bank can lend out.
The process by which banks create more money than the physical money is called money creation. This shows that a bank creates more money in the economy through its lending activities.
If, in the market for money, the amount of money supplied exceeds the amount of money households and businesses want to hold, the interest rate will rise, causing households and businesses to hold less money.
Option A
<u>Explanation:
</u>
Fiscal policy is the central bank's macroeconomic policy. This covers the supply of money and interest rate control and is also the demand-side economic strategy of a country's government for achieving macroeconomic targets such as inflation, investment, productivity, and liquidity.
If the required quantity is above the amount given, people sell the property to obtain money like bonds. It leads to an increase in bond supply, a drop in bond prices and a higher market interest rate. If the volume supplied meets the necessary number, capital is increasing by purchasing a certain property, such as bonds.
The supply of money meets the demand for money, and the real rate of interest is higher than the number of equilibrium.
This is what they call <span>condition precedent. The party's task to </span><span>perform arise after a specific event happens. However, when the event never happens, </span><span>the duty of the party to </span>perform will<span> never arise. The parties are discharged from the contract.</span><span> </span>
Answer:
Option c) how a consumer might trade off different levels of consumption of each of two goods, while staying at the same utility level.
Explanation:
This is the very definition of an indifference curve. The points in an indifference curve are the combinations of the quantities (level of consumption) of two different goods which will produce the very same utility to the consumer. The consumer will perceive any of those combinations as having the same utility for him.
For example, a usual graph of various indifference curves will look like the graph attached.
In this graph the combination of 2 pairs of shoes and 15 pants will be perceived as having the same utility as the combination of 5 pairs of shoes and 4 pants. Both are combinations in the same indifference curve, the green one, and the utility of any combination lying in that green curve will be rated the same: u = 1.
Based on the scenario, the gestalt principle that best
accounts for this phenomenon of which Caleb can still read the announcement
despite of the fact that the letters are not completely formed is because of
the gestalt principle of closure. This law explains of how an individual could
see incomplete objects because of how perception fills the visual gap of an individual.
