Answer:
A policy instrument (variable directly under the control of policy makers)
Explanation:
The Fed's discount rate is a monetary policy tool used to expand or contract the money supply.
When the Fed lowers the discount rate, it is engaging in an expansionary monetary policy which will increase the money supply, lower interest rates and increase total aggregate demand.
When the Fed raises the discount rate, it is engaging in a contractionary monetary policy which will decrease the money supply, increase interest rates and fight rising inflation.
Answer: Option E
Explanation: In simple words, it refers to the situation in which two rival companies in an industry cut their prices with the objective of cutting the others customers and gaining a higher market share.
Generally it is performed for short term so that other firm could be demolished from the market but a company having strong reserves can perform it for a long term as well.
It is more evident in industries where the products of two companies are close substitutes of each other and there are few firs in the industry.
Answer:
Advertising.
Explanation:
Advertising increases costs of product. Customers have to pay high price for the products heavily advertised. Companies do not forgo their profits.
sole proprietor<span> and his business are a singular entity; his name is the business' legal name. He controls all aspects, assuming all the rewards, but also all the risks. It is an entity with obvious advantages, like creative freedom and making your own schedule, but it also has its </span>challenges<span>.</span>
