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lutik1710 [3]
3 years ago
9

Select all that apply. Select the items that describe what most likely happens when the Federal Reserve increases the money supp

ly (and people are confident in the economy). Interest rates rise. Businesses borrow more money. Consumption increases. Interest rates fall.
Business
1 answer:
11111nata11111 [884]3 years ago
5 0

Answer:

Businesses borrow more money.

Consumption increases.

Explanation:

The Federal Reserve is the body responsible for conducting monetary policy in the US. Monetary policy basically consists of two actions. The increase / decrease in the money supply in the economy and the increase / decrease in the interest rate. These actions may happen together, but they are technically independent.

When the Federal Reserve increases the supply of money in circulation, more money is circulated through loans and personal spending. This is considered a policy of stimulating the economy and can be done independently of interest rate changes, although the reduction of interest is also a stimulus monetary policy that can be done in conjunction with the increase in the money supply.

You might be interested in
Acme Partnership reported the following items of income and expense: Sales $200,000 Cost of goods sold 115,000 Interest expense
Yanka [14]

The amount that ACME Partnership should report as ordinary income is $83,000.

Data and Calculations:

Sales Revenue =          $200,000

Cost of goods sold =       115,000

Gross profit =                 $85,000

Administrative expenses  2,000

Operating income =    $83,000

Interest expense             13,000

Taxable income           $70,000

Charitable contributions 2,000

Long-term capital gain  10,000

The operating income is the ordinary income before determining the eligibility of the charitable deductions and the long-term capital gain.

Thus, the ordinary income of ACME Partnership is $83,000.

Learn more: brainly.com/question/25056982

4 0
2 years ago
Economist Mark Thoma has​ written, "One of the difficulties in using fiscal policy to combat recessions is getting Congress to a
NeTakaya

Answer:

The correct option is A,government spending and taxes that automatically increase or decrease along with the business cycle.

Explanation:

From a U.S perspective, automatic stabilizers are measures built into the country budgets that adjust the taxes to government's coffers and government expenditure when the economy goes into recess.

These measures are not usually approved by the Congress.

If one takes a careful look at the question, one would notice that the question talks about fiscal policy measures, which are government spending and taxes,invariably, option B is wrong because money supply belongs to monetary policy.

Option C is also wrong because taxes is not the only fiscal policy available.

Option D is wrong budget is a fiscal policy tool not a measure.

3 0
3 years ago
_____ attempts to provide management with accurate forecasts of trends that relate to external changes in geographic areas where
bagirrra123 [75]

Answer:

The correct answer is letter "C": Environmental scanning.

Explanation:

Environmental scanning refers to an analysis carried out by companies in an immediate and external atmosphere that will allow them to detect threats to counteract or mitigate them and opportunities from which the company can make a profit. Organizations engaged in environmental scanning are constantly reviewing different means of communication and conducting research that will keep them updated on market fluctuations.

6 0
3 years ago
"The big white house on the hill clearly" was different from any of the other homes in the subdivision. It had more rooms, a dou
Helen [10]

Answer: Functional Obsolescence

Explanation:

Functional Obsolescence could be described as when a product is undervalued than what is expected due it's composed of outdated features.

Most very old homes are usually outdated. Innovation spring forth every day, especially in the area g homes, homes that are commercially rented are portable and have recent designs, but for homes that are not they may not be valued for what they should or what the seller expects. This is the scenario with homeowner.

4 0
3 years ago
Suppose the monopolist able to successfully price discriminate between two groups by charging one group $ 75 and charging $35 to
Rom4ik [11]

Answer:

The firm's profits if it charges the two prices as mentioned above = $ 1425

Explanation:

P.S - The exact question is -

Proof -

we calculate the profits individually for 2 different prices:

When price = $75:

Quantity sold = 15 units

Total revenue = 15 × 75 = $1125

Total cost = Marginal cost × quantity

                  = 20 x 15 = $ 300

⇒Total cost = $300

So,

Profit = 1125 - 300 = $825

When price = $35 :

Quantity sold = 55 - 15 (quantity purchased at price = $75)

⇒Quantity sold = 40

Total revenue = 40 × 35 = $1400

Total cost = Marginal cost × quantity

                 = 20 x 40 = $ 800

⇒Total cost = $800

So,

Profit = 1400 - 800 = $600

Now,

Total combined profit = 825 + 600 = $1425

∴ we get

The firm's profits if it charges the two prices as mentioned above = $ 1425

5 0
3 years ago
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