False :))))))))))))))))))))))))))))))))))))))))))))))))
Answer:
The correct answer is option D.
Explanation:
In 2008, as a financial crisis began to unfold in the United States, the FDIC raised the limit on insured losses to bank depositors from $100,000 per account to $250,000 per account.
During the financial crisis, there was a sense of panic. The regulators were concerned that depositors would expect their banks to crash and would fear that they may lose their money. The regulators expect the depositors to pull money back from their banks. The money supply will get reduced further. This will further reduce the money with banks. This could lead to even healthy banks to fail.
Raising the insurance limit would reassure depositors that their money was safe in banks and prevent a bank panic. This will further help to stabilize the financial system.
Answer:
(B) False
Explanation:
In fact, if assets have a fixed monetary value, increasing the overall price level (inflation) will reduce the real value of these assets. Thus, the purchasing power of the holders of these assets will decrease. However, it is not correct to say that the holders of these titles have reduced their spending, since what determines spending is individual perceptions and needs. Some of the holders may decrease their spending in the face of an inflationary process, but others may maintain or even increase their spending.
Answer:
B) Producers from low market prices
Explanation:
Price floors are usually used in order to ensure that the market price of a commodity does not fall below a level that would threaten the financial existence of producers of the commodity.
If the number of consumers in the market increase,the demand increases respectively
<h3>Theory of Demand and Supply</h3>
The theory of demand and supply is a powerful tool that explains the behaviours of buyers and sellers of goods and service, and how price reacts to this behaviours.
When the demand of a commodity is high, the price will be high and when the demand is low the price will become low.
Learn more on Demand and Supply here:
brainly.com/question/4804206
