Answer and Explanation:
The Fed would use Expansionary monetary policy
Answer: consist mainly of short-term securities because they pay higher rates.
Explanation:
The yield curve is a curve depicting several yields to maturity or the interest rates across several contract lengths for identical debt contract. The yield curve shows the relationship that exist between the interest rate and time to maturity,
If the yield curve is upward sloping, the marketable securities which are held in a firm's portfolio, and assumed to be held in case of emergencies will consist of short-term securities in order to reduce interest rate risk. As the yield curve is upward sloping, therefore long term securities will be expected to have higher interest rate in the future and therefore a price decline. Because the securities are in case of emergency, it is advisable to have short term securities.
Answer:
Marketing Intermediaries
Explanation:
Marketing Intermediaries work as a thoroughput between operations that produce goods and operations who use those goods.
Answer:
b) increased by 2%.
Explanation:
If Eli has been granted a 6% raise in salary.
In addition, during the year, overall prices in the economy have increased by 4%. Given this information, Eli's real wage has increased by 2%.
The nominal rate of increase is 6% but the real rate of increase is gotten by the nominal rate minus the inflation rate
Therefore Real rate of wage increase for Eli = 6% - 4% = 2%