The money multiplier concept uses three key actions that is done by the Fed so as they can widen the economy and these includes the use of a decreased discount rate, the buying government securities, and also by lowering reserve ratio.
<h3>What is expansionary and contractionary monetary policy?</h3>
A monetary policy that is known to be that which helps to lowers interest rates and influence borrowing is called an expansionary monetary policy or one can say a loose monetary policy.
Also, a monetary policy that tends to bring up interest rates and lowers borrowing in any economy is known to be a contractionary monetary policy and also called tight monetary policy.
<h3>Thee potential reasoning behind this lowering to 0% and its intended effect on the economy?</h3>
Note that Expansionary monetary policy aims to increases the money supply while Contractionary monetary policy aims lower the money supply.
Therefore, the use of lower rates of economic growth is one that tens to give more likelihood or chance for the shift to renewable energy. It also leads to more saving, and investing.
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Answer:International trade deals within countries, while channel management is a form of trade that could be within the country or outside but seeking the best form or place for the market
Explanation:
International trade is the situation where two countries do business, either long distance buying(importing) or one is selling(exporting).
While Channel management is a technique for choosing the most efficient channels to sale or market your goods and making good profit or deriving the best result from those channel chosen.
Knowing the difference between the two terms is important so you can understand where best your market is appreciated and where best to avoid selling to.
International trade deals within countries, while channel management is a form of trade that could be within the country or outside but seeking the best form or place for the market
Answer:
$90,000
Explanation:
Given that
Added amount to inventory = $100,000
Used amount for refrigerator = $10,000
Purchase of newly manufactured refrigerator = $90,000
So by considering the above information, the amount that is included would be $90,000 as this amount reflect the newly refrigerator amount and the other $10,000 would already be used so this amount is not relevant.
Answer:
Quantity demanded is the amount of a good that buyers are willing and able to purchase at a particular price. Many things determine demand, but only price can determine the quantity demanded of a specific good. If you have the money and are willing to buy 2 ice cream cones a week, at $2 per cone, the quantity demanded would be 2 cones a week. Now, what happens if the price increases to $4 a cone? If you are like most people, the quantity of ice cream cones you demand will decrease as the price rises. In this case, assume your quantity demanded is now only 1 cone a week, which is what you are willing and able to buy. Notice that as the price of the cones increases, the quantity of ice cream cones demanded decreases. This means quantity demanded is negatively related to price-which means they have an inverse relationship. Economists refer to this relationship as the law of demand. The law of demand states that, other things being equal, when the price of a good rises, the quantity demanded of that good falls. The reverse is also true-when the price of a good falls, the quantity demanded of that good rises. The combination of the quantities people are willing and able to buy of a good or service at various prices constitutes a demand schedule. When the demand schedule is graphed, the demand curve is downward sloping.
