With prices down and wages fixed by contract, Milli's Frozen Pizzas decides to lay off workers would not be an expected response from a decrease in the price level.
<h3>What happens to the budget line if prices don't change but consumer income does?</h3>
Consumers will switch to the consumption of lower combinations of goods or services if their income declines. Since the cost of the commodities has not changed, the budget line will drop downward but the slope stays the same.
When one or both product prices fluctuate while nominal revenue (budget) stays the same, the budget line will alter. a change in the nominal income level with no change in the relative prices of the two goods.
To know more about budget line, refer:
brainly.com/question/14637545
#SPJ4
D. 3 to 8 i own a business and everywhere the average is 3 to 8 employees
D.Red blood cells contain a protein that binds with oxygen.
The protein is called Hemoglobin
The account titles for transaction (C) 5/4 should appear in the Account Title column of the journal entry as s<span>upplies Cash
Hope this helps!!</span>
Answer:
The options for answering this question would be the following:
A) higher; lower
B) lower; lower
C) higher; higher
D) lower; higher
The correct answer is: A) higher; lower.
Explanation:
The price of a bond can be above or below its parity for many reasons, including interest rate adjustments, if the credit rating of the bond has changed, supply and demand, a change in the creditworthiness of the bond issuer , if the bond has been redeemed or if it is likely to be (or not) redeemed, a change in prevailing market interest rates, and an endless number of other factors.
As with other financial assets, bond prices are determined by supply and demand. Each government sets the supply of state bonds, issuing more if necessary. Demand, on the other hand, depends on whether or not it is an interesting investment.
Interest rates can have a major impact on bond demand. If interest rates are lower than the coupon on a bond, the demand for that bond will increase - it represents a better investment. But if interest rates rise above the coupon percentage, demand will drop.
Some bonds are actively traded, while others may have no activity (there are neither buyers nor sellers interested) for weeks. As a general category, municipal bonds tend to be more sensitive to supply and demand forces than other fixed income categories. This has the net effect of increasing your market risk: If your bond is not popular with other investors at a time when you need to sell, the price you will get for the bond in the secondary market will be hit.