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scoray [572]
4 years ago
9

A decrease in​ "financial frictions" is associated with​ ________.

Business
1 answer:
qaws [65]4 years ago
8 0

Answer:

The correct answer is option E.

Explanation:

Financial frictions in the process of making transactions, it refers to the stickiness involved in the process of making transactions. It includes the time, money and efforts that are involved in gathering information and making a transaction.  

Institutional reforms can help in reducing financial frictions. A decrease in financial frictions will make transactions easier.  

It will help in increasing planned investment spending. The financial markets will be able to function more efficiently.  

The cost of borrowing for business will decrease, this will increase investment expenditure.  

The credit spread or difference between yields from a government bond and some other bond with the same maturity will decrease.

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Compared to earning a four-year degree, a technical certification allows you to
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The correct answer should be start earning sooner because it enables you to join the work force sooner since achieving a technical certification lasts shorter.
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3 years ago
From 2007 to 2008, the Federal Reserve System reduced interest rates, the price that borrowers pay. As a result, economists expe
Musya8 [376]

Answer:

The supply of money will increase the demand of money.

Explanation:

The reason is that if the interest rate increase then it will increase the demand of the money and encourage investments which will further decrease the unemployment. This investment will also result in increased efficiency which will lower its price. This lowered priced product can now be exported to other countries which will increase the wealth of the country and help the country to resolve the balance of payment issues.

4 0
3 years ago
If the money supply is $60 billion, the velocity of money is 7, and real GDP is $336 billion, then the price level equals:
attashe74 [19]

Answer:

$1.25

Explanation:

According to the quantity theory of money

money supply x velocity = real gdp x price

7 x 60 = 336 x p

p -1.25

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5 0
3 years ago
In January 2020, Sunland Company, a newly formed company, issued 10300 shares of its $8 par common stock for $13 per share. On J
balu736 [363]

Answer:

The correct option is the acquisition of these treasury shares decreased total stockholders' equity.

Explanation:

Initially the total stockholders' equity is $133,900 ($13*10,300) which comprised of $82,400  common stock ($8*10,300) $51,500 paid in capital in capital in excess of par value.

By repurchasing 1,030 treasury stock at $10,the total stockholders' equity decrease by $10,300,which leaves a balance of $123,600 ($133,900-$10,300).

In other words,the first option is the correct choice of answer

4 0
3 years ago
The first step in the CRM process is analyzing data. creating a data warehouse. rewarding loyal customers. developing CRM progra
uranmaximum [27]

Answer:

Creating a data warehouse

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CRM focuses upon providing good customer support and customer feedback.

The primary step, in Customer Relationship management is creating a data warehouse. Data warehouse refers to a database from where extraction of customer details gets convenient.

Such database can be used for data analysis and reveals customer habits and past purchase trends.

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3 years ago
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