Consider the wealth effect, interest rate effect, and international trade effect. Of these, the wealth effect is the most significant and the international effect is the least significant.
<h3>What is the wealth effect?</h3>
This is the theory that states that people spend more money on commodities as they experience an increase in their wages.
<h3>What is the international effect?</h3>
This is the theory that the given differences that exist in nominal interest rate of countries is useful for prediction of changes in interest rate.
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Answer:
In many countries, one of the roles of the central bank is to provide loans to distressed financial institutions. What is the term for this?
The term is called:
lender of last resort.
Another potential role of central banks is to foster confidence in the banking system by making sure that people can retrieve their money even if a bank goes bankrupt. What is the term for this?
The term is called:
deposit insurance.
Explanation:
Central banks play important roles in the economy. They conduct the economy's monetary policy, regulate other banks, and provide various other financial services, including economic research. They stabilize the nation's currency by ensuring that unemployment is kept low and also prevent economic fluctuations.
Answer:
bias is leaning toward a certain perspective for certain reasons other than logic like your own opinion. for example, a news reporter could report negatively about something because he/she is against it even tho it benefits the majority
Answer: A
Explanation:
The borrower can adjust the monthly payment depending on his or her income.
Answer: Financial
Explanation:
During the process of buying assets with longer life span, such as stock trailers, most organizations make use of cash gotten during financial activities to foot the bills, while cash accrued during operational activities are rather used to buy assets with shorter life span. Generally during the time of investing there is always decrease in excess cash as to supplying cash for some other activities.
