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sweet [91]
3 years ago
11

An economics student makes the following​ statement: ​"It's easy to understand why the aggregate demand curve is downward​ slopi

ng: When the price level​ increases, consumers substitute into less expensive​ products, thereby decreasing total spending in the​ economy." This statement is false because the aggregate demand curve is
Business
1 answer:
Luda [366]3 years ago
3 0

Answer:

The aggregate demand curve is downward sloping because when the general level of price rise; the real wealth of consumers will decline (with a certain amount of money you end up buying less goods), the interest rates will increase (as inflation increases, interest rates also increase), and the price of exported goods increases (as the general price of goods increase, the production of goods will also become more expensive).

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Several market participants interact in developed markets to organize the exchange of funds from buyers to sellers. Such institu
Sergio [31]

Answer:

1. Commercial banks

2. Life insurance companies

3.  Mutual funds

Explanation:

commercial banks

The commercial bank is a financial institution that accepts deposits and offer other services such as giving loans and other basic financial services to both individuals and organisations.  

Life insurance companies

The life insurance companies are financial institutions that provide lump sums otherwise known as death benefits to beneficiaries  of their policy holders upon their demise, provided that premium is paid on regular basis.

Mutual fund

A Mutual Fund is an investment vehicle made up of a pool of funds collected from numerous investors for the purpose of investing in securities such as stocks, bonds, money market instruments and similar assets. Mutual Funds are operated by professional fund managers, who invest the fund's capital and attempt to produce capital gains and income for the investors.  

One of the main advantages of Mutual Funds is they give small investors access to professionally managed, diversified portfolios of equities, bonds and other securities. Each shareholder, therefore, participates proportionally in the gain or loss of the fund.​

4 0
3 years ago
Suppose a firm receives $10 for selling one additional unit of its product but that additional unit costs the firm $1 to produce
elena-s [515]

The producer surplus from selling the additional unit of the product given the selling price and the cost of production is $9.

<h3>What is producer surplus?</h3>

Producer surplus is the difference between the price of a good and the least price the seller is willing to sell the product. The least price the producer should be willing to collect is equal to the cost of production

Producer surplus = price – cost of proeuction

$10 - $1 = $9

To learn more about producer surplus, please check: brainly.com/question/15282739

6 0
2 years ago
Holiday Gifts signs a three-month note payable to help finance increases in inventory for the Christmas shopping season. The not
Illusion [34]

Answer:

Explanation:

The adjusting entry for interest expense is shown below:

Interest expense A/c Dr $1,134

      To interest payable               $1,134

(Being interest expense is adjusted)

The interest expense is computed by

= Note payable amount × interest rate × (number of months in a year ÷ total number of months in a year)

= $75,600 × 9% × (2 months ÷ 12 months)

= $1,134

The two months is computed from the November 1 to December 31

4 0
3 years ago
Sometimes conflict can be healthy critically discuss the statement​
Ad libitum [116K]

Answer:

Yeah that's right, sometimes conflict can be healthy and have good effect on us like:

awareness, presence of mind, being alert and strong and changing your life into better one's. Conflicts help you to develop oj how you see the world as where you live. It helps us to become strong and intelligent everyday.

7 0
3 years ago
Kelly and Tim Jarowski plan to refinance their mortgage to obtain a lower interest rate. They will reduce their mortgage payment
antiseptic1488 [7]

Answer:

How long will it take them to cover the cost of refinancing = 29months

Explanation:

Number of months = $1,690 / $58

Number of months = 29 months

3 0
2 years ago
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