Answer:
A. We should expect higher interest rates and lower stock prices.
Explanation:
Producer price index refers to the price that producers recieve for their products. When there is an increase in PPI it means producers are receiving more revenue.
Increased revenue will result in more money in circulation. To regulate the excess money the monetary authorities will increase interest rate to reduce borrowing and by extension money in the economy.
Because there is now a need to get more funds by the companies, they will lower share prices to make them attractive to prospective investors.
Answer:
Generally speaking, demographic growth can affect the economy quite a lot, but the economy has a very little effect on demographic growth. E.g. the baby boomers were great for the economy during several decades, but there is no clear relationship between population growth and economic activity.
This means that companies like home builders whose demand depends on other factors besides the economy, will be less affected by economic recessions or expansions. E.g. the demographic growth in America was around 0.7% during 2019 and the economy was growing that year.
Actually, the US population has been declining over the last decades. The real growth factor in population has been immigration in the last decades, and that has also been declining lately.
Answer: $156
Explanation:
The gross domestic product is referred to as the value of the final goods which a particular country produces for that economy.
Based on the information given, the GDP will be calculated as:
GDP = C + I + G + X - M
where C = consumption = $120
I = Investment = $25
G = government purchases = $15
X = exports = $8
M = imports = $12
GDP = C + I + G + X - IM
GDP = $120 + $25 + $15 + $8 - $12
GDP = $156
Answer:
c. 1.5%
Explanation:
Food as total Expenditure of Country = 15%
Food's Price rise = 10%
while other components of the price index remain constant price index rise will be calculated as follows:
Price index rise = 15% x 10%
Price index rise = 0.15 x 0.1
Price index rise = 0.015
Price index rise =1.5%
So the correct option is c. 1.5%
Answer:
a mutul fund
A mutual fund is a company that pools money from many investors and invests the money in securities such as stocks, bonds, and short-term debt. The combined holdings of the mutual fund are known as its portfolio. Investors buy shares in mutual funds.
Explanation:
have a great day ahead ":)
