Answer:
b. cultural relativism
Explanation:
Cultural relativism refers to the ideology that what applies to current situation do not necessarily apply to another situation also.
As in the given instance the Shangrilah Sandals make grease payments in their own country as it is a developing country, but do not practice the same in another country called US as it is a developed country.
As the income of people in that country is high they do not believe in taking or accepting grease payments.
Thus, the correct option is:
b. cultural relativism
Answer: The explanation is provided below
Explanation:
Below article is the summary of the acceleration of inflation in the emerging markets that was published in 2018.
According to the article, inflation in an economy is caused by an adverse supply shock or as a result of the expansionary fiscal policy or the expansionary monetary policy.
In an adverse supply shock, total quantity of basic goods will reduce drastically causing the aggregate demand to rise exponentially and therefore, push prices higher and then gradually lead to inflation.
Also, the continous and eventual implementation of the expansionary fiscal or monetary policy through continous tax cuts or by increasing government spending or reducting interest rates, lead into significant increase in the aggregate demand and as a result, prices rise eventually resulting in hyperinflation in the economy. This will also lead to increase in the real GDP of the economy.
Different tools in the monetary policy framework can be used to control inflation such as government securities,
the cash reserve ratio, interest rates. To reduce recession, government utilize automatic stabilizer in order to boost the economy.
Answer: 15.35%
Explanation:
The total nominal return over the two years if inflation is 2.4% in the first year and 4.4% in the second year will be calculated thus:
= (1+Interest rate)² -1
= (1 + 7.4%) - 1
= (1 + 0.074)² - 1
= 1.074² - 1
= 1.153476 - 1
= 0.153476
= 15.35% over the two years
