Answer:
b. The most likely explanation for an inverted yield curve is that investors expect inflation to decrease
Explanation:
I have attached an image which plots the behavivour of a yield curve and inflation in a same period. As you can observe, there is an indirect relation between boths curves.
Answer:
The question is missing the amount of output units that each additional unit of labor generates, but we can calculate how many units each additional unit of labor should produce in order to maximize profit.
In order for a firm to maximize its profit, the marginal revenue product (MRP) = marginal cost (MC).
MRP = output units per additional unit of labor x price per unit = U x $9
MC = $700
U x $9 = $700
U = $700 / $9 = 77.78, so we round up to 78 units
In order to maximize profit, each additional unit of labor must generate 78 additional units of output.
Answer:
a. Savers who lend money are willing to accept a lower minimum interest rate than potential savers who do not lend money.
b. Investment projects that are financed by savers have larger rates of return than projects that do not receive financing.
Explanation:
Loanable funds refer to the aggregate amount of money that all sectors, entities and individuals within an economy have decided to keep as an investment, instead of spending on personal consumption, by saving and giving them out as loans to borrowers.
The market for loanable funds is in equilibrium when the supply of loanable funds by the saver is equal to demand for loanable funds by the borrowers at a given interest rate.
When the market for loanable funds is in equilibrium, efficiency is maximized because projects that have higher rates of return are given priority to be funded first before the projects with lower rates of return are funded. The reason is that savers that have lowest costs of lending provides funds for the projects that have highest return rates in equilibrium. However, potential saver who do not lend money will prefer a higher interest rates.
Therefore, the correct options related to the two aspects of efficiency that the equilibrium of market for loanable funds exhibits are as follows:
a. Savers who lend money are willing to accept a lower minimum interest rate than potential savers who do not lend money.
b. Investment projects that are financed by savers have larger rates of return than projects that do not receive financing.
<span>According to the Affordable Care Act new health insurance marketplaces are established by the Patient Protection Act. This Act was put in place to let patients compare different health insurance companies and benefits to determine what is best for them. The benefits are dependent on how many people or an individual needs coverage and what type of coverage they are wanting to have. </span>
Answer:
Stories
Explanation:
Stories are the stuffs that the people hear about and like to discuss about. Stories are part of the organization culture and are a good means for an organization to affect customer choices because the issues of the customers are highlighted which helps organization to rectify its operations.