Answer:
C
Explanation:
Increasing minimum wage increases the cost of hiring labour. As a result, firms would reduce the amount of labour skilled labour employed in order to reduce cost of hiring labour.
Another option, is for firms to hire more skilled labours
The correct answer is false
Answer:
B. people respond to economic incentives.
Explanation:
Economic incentive is material given by someone, that is capable of motivating the other person to behave or act in a certain way. If economic incentives come from a government, it can be in form of tax incentives, subsidies or any monetary gift in form of cash or near cash.
To the economist, human being being rational, will respond to economic incentives in various forms.
Answer:
interest rates change! hope this helps! :)
Explanation:
Answer:
1.5%
Explanation:
Reserves is the total amount of a bank's deposit that is not given out as loans
Required reserves is the percentage of deposits required of banks to keep as reserves by the central bank
Excess reserves is the difference between reserves and required reserves
Total increase in reserve = $15,000,000 + $1,800,000= $16,800,000
New excess reserve = total increase in reserve x initial reserve requirement) / initial excess reserve
($16,800,000 x 12.5%) / $15,000,000 = 14%
Increase in reserve requirement = 14% - 12.5% = 1.5%
