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joja [24]
3 years ago
5

In the simple Keynesian model, Multiple Choice Inflation becomes a problem only if demand increases at full employment. Inflatio

n is a problem whenever demand increases. Inflation is never a problem. Inflation is a problem whenever demand decreases.
Business
1 answer:
ElenaW [278]3 years ago
7 0

Answer:

In the simple Keynesian model, inflation becomes a problem only if demand increases at full employment.

Explanation:

In the Keynesian view, price inflation is mainly the result of relative changes in supply and demand, which lead to price changes. Changes in the money supply have no direct influence here. According to this school, the money supply is the result of money creation by the banking system; but this plays only a limited role in the process.

In this vision, a distinction is made between:

- Demand inflation: Inflation occurs when the aggregated demand for goods and services increases, with an initially constant supply.

-Cost inflation: Inflation occurs if there is a sudden decrease in supply when demand remains the same.

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6 0
3 years ago
Stephen runs a pet salon. He is currently grooming 130130 dogs per week. If instead of grooming 130130 ​dogs, he grooms 131131 ​
borishaifa [10]

Answer:

Profit will increase by $2.3

Explanation:

Data provided in the question:

If instead of grooming 130130 ​dogs, he grooms 131131 ​dogs

Marginal cost = $65.82

Marginal revenue = $68.12

Now,

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or

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or

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7 0
2 years ago
company's perpetual preferred stock currently sells for $92.50 per share, and it pays an $8.00 annual dividend. If the company w
andrew11 [14]

Answer:

The firm's cost of preferred stock is  9.10%

Explanation:

The cost of preferred stock with the flotation of 5% would be the dividend payable by the preferred stock divided by the adjusted current market price(adjusted for flotation cost)

The dividend per year is $8

The adjusted price of the stock=$92.50*(1-f)

where f is the flotation cost in percentage terms i.e 5%

adjusted price of the stock is =$92.50*(1-5%)=$ 87.88  

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4 0
3 years ago
By repeating what you think she said in your own words, you're demonstrating effective ___ skills.
yan [13]
You are expressing communication skills
7 0
3 years ago
If a​ one-year discount bond that pays $1,000 at​ maturity, is held for the entire​ year, and the purchase price is ​$965, then
denis23 [38]

Answer:

3.6%

Explanation:

965x = 1000

x = 1.03626

That’s an interest rate of 3.6%.

6 0
2 years ago
Read 2 more answers
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