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Vikentia [17]
4 years ago
5

Which of the following factors would be most likely to lead to an increase in nominal interest rates?

Business
1 answer:
siniylev [52]4 years ago
8 0

Answer:

The answers is: 3. A new technology like the Internet has just been introduced, and it increases investment opportunities.

Explanation:

Given there is higher demand for investment opportunities, borrowers in the economy will compete for funding while there is no change in the supply of funding, moreover, inflation rate has been constant which will finally lead to the increase in nominal interest rates.

1. Households reduce their consumption and increase their savings is not correct because higher saving will decrease interest rate as there is higher supply of funding.

2. There is a decrease in expected inflation is not correct as nominal interest rate is most likely to go down to keep real interest rate constant.

4. The economy falls into a recession is not correct as the situation will stimulate more saving and less consumption, less investment. Moreover, the Central Bank may also implement loose monetary policy which will decrease Nominal Interest rate.

5. The Federal Reserve decides to try to stimulate the economy is not correct as Federal Reserve will inject money into the economy, subsequently, nominal interest rate will go down.

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The aggregate demand curve slopes downward indicating that
Likurg_2 [28]

Answer: Diminishing marginal utility.

Explanation: The demand curve tends to slopes downward because of diminishing marginal utility and it also slopes downwards because of the substitution and income effects.

4 0
3 years ago
The recognition of the need for organizations to improve the state of people, the planet, and profit simultaneously if they are
romanna [79]

Answer:

The need for organisations (which may be governmental or non-governmental) to improve the condition of living of people and protect their environment whilst they pursue increased profitability has been termed

The Triple Bottomline.

It is also referred to by economists as the 3P - People, Planet and Profit.

It speaks to the fact that other than the usual making financial success the sole metric of measurement by which organisations are evaluated, their impact on people and the environment should be considered as well.

In simple terms, a firm should be termed more successful than others if it's activities besides being profitable also impacts positively on people and protects if not improves the environment.

Cheers!

7 0
4 years ago
Precision Camera Services started the year with total assets of​ $120,000 and total liabilities of​ $40,000. The company is a so
eimsori [14]

Answer:

$125,000

Explanation:

Opening values of;

Total assets =​ $120,000

Total liabilities = $40,000

Total equity = $120,000 - $40,000 = $80,000

During the year,

Total revenues = $140,000

Total expenses = $50,000

Withdrawal by owner = $45,000

The amount withdrawn by the owner reduces the owners equity. This may be deducted from the net income.

Net income from the year = $140,000 - $50,000 - $45,000

                                           = $45,000

This will be added to the opening owner's equity to get the closing owner's equity.

Owner's equity at the end of the​ year = $80,000 + $45,000  

                                                               = $125,000

3 0
3 years ago
please discuss the similarities and differences between transformational and charismatic leadership. Choose an individual that q
Nookie1986 [14]

Answer:

The transformational leaders are bureaucratic and charismatic are people oriented in nature.

Explanation:

  • The charismatic leaders are also called as the transformational leaders and shares various things.
  • Charismatic leaders make their status better and transformational leaders focus on the transformation of the organization's vision. The main difference is the focus and the audience.
  • The charismatic leaders are committed and have engaging personalities like martin Luther king as his speeches were often more tangible than other leaders and used to have a huge influence on the people he met.
  • The charismatic leaders are more emotionally attached to their audience. They work towards an emphasis on the greater good. More people-oriented.

6 0
3 years ago
You are comparing three securities and discover they all have identical Treynor ratios. Given this information, which one of the
Ede4ka [16]

Answer: The correct answer is "D. They earn identical rewards per unit of systematic risk.".

Explanation: If you are comparing 3 values and by calculating, find that they all have the same Treynor ratio means that they earn identical rewards per unit of systematic risk.

7 0
3 years ago
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