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2 years ago

If the government and Central Bank don't use economic policy, what could happen?

Business

1 answer:

Liula [17]2 years ago

6 0

This would leave the economy in the laizzes fairie position and it will cause malpractices.

Explanation:

Laizzes fairie is the concept that the market should be left on its own without any government influence or meddling with he rules and let the market rules define themselves.

This is not a good strategy as the malpractices of the market will take over and this makes the poor disadvantaged as they are wont to be taken advantage of by those who own the means of production in the state.

This is why the government's policies are needed as well as the Central bank.

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When the bond sells at par, the implicit €/$ exchange rate at maturity of a Euro/U.S. dollar dual currency bond that pays $651.2

Anna007 [38]

Answer:

€1.54/$1.00

Explanation:

When the bond sells at par, the implicit €/$ exchange rate pays €651.25 at maturity per €1000

651.25/1000= 1/x

Cross multiply

651.25x = 1000

x= 1000/651.25

x= 1.54

Hence the implicit exchange rate is €1.54/$1.00

4 0

2 years ago

Brad always buys and uses Nike brand golf balls. If he finds a Titleist or Callaway ball in the rough, he gives it away. Brand l

Vikentia [17]

Answer:

B. reduced the price elasticity of demand for its products

Explanation:

3 0

2 years ago

Find the EAR in each of the following cases (Use 365 days a year. Do not round intermediate calculations and enter your answers

postnew [5]

Answer and Explanation:

The computation of the effective annual rate in each of the following cases are

Effective annual rate = [(1+annual percentage rate ÷ period)^period]- 1

= (1 +0 .09 ÷ 4)^4 - 1

= 9.31%

Effective annual rate = [(1+annual percentage rate ÷ period)^period]- 1

= (1 + 0.16 ÷ 12)^12-1

= 17.23%

Effective annual rate = [(1+annual percentage rate ÷ period)^period]- 1

= (1 + 0.12 ÷ 365)^365-1

= 12.75%

4 .

Effective annual rate = [(e)^Annual percentage rate]-1

e=2.71828

So,

=[(2.71828)^0.11]-1

= 11.63%

4 0

3 years ago

Inflation is 14 percent. Debt is $4 trillion. The nominal deficit is $360 billion. What is the real deficit or surplus

DiKsa [7]

Answer:

Real Surplus is $200 billion

Explanation:

Inflation = 14%

Debt = $4 trillion = $4,000 billion

Nominal deficit = $360 billion

Real Deficit = Nominal deficit - (Inflation*Debt)

= $360 - 14% * 4,000

= $360 - 560

= -$200

Hence, the answer is Real Surplus of $200 billion

8 0

2 years ago

A study published in 2011 by the OECD noted that Group of answer choices the real household income of unskilled workers in the U

slavikrds [6]

Answer:

the gap between the poorest and richest segments of society in some OECD countries had widened.

Explanation:

A study published in 2011 by the Organisation for Economic Co-operation and Development (OECD) noted that the gap between the poorest and richest segments of society in some Organisation for Economic Co-operation and Development (OECD) countries had widened.

8 0

2 years ago