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Helen [10]
3 years ago
6

Suppose that this year's money supply is $400 billion, nominal GDP is $12 trillion, and real GDP is $4 trillion.

Business
1 answer:
Natali [406]3 years ago
3 0

Answer:

1. Price Level

= Nominal GDP/Real GDP

= 12 trillion/4 trillion

= $3

b. Velocity

= Price level * Real GDP/ Money supply

= 3 * 4/0.4

= 30

2. If the Fed keeps the money supply constant, the price level will <u>Decrease</u> , and nominal GDP will <u>Remain the same</u> .

The economy rose however money supply was kept constant. This means that prices could not rise and so had to decrease to cater for the increase in output. With lower prices but higher output, the Nominal GDP remained the same.

3. If the Fed wants to keep the price level stable instead, it should keep the money supply unchanged next year. <u>TRUE</u>

4. If the Fed wants an inflation rate of 11 percent instead, it should <u>Increase</u> the money supply by <u>14%.</u>

<u></u>

(Percentage Change in Money supply) + (Percentage Change in V) = (Percentage Change in Price) + (Percentage Change in GDP).)

V is constant so is 0.

(Percentage Change in M) = (Percentage Change in P) + (Percentage Change in Y).)

= 11% + 3%

= 14%

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Answer: D. make a conscious choice to do so

Explanation:

Based on the information given, in order to attain a "right livelihood," William needs to make a conscious choice to do so.

Option A is wrong as getting promoted so he can delegate more of his work doesn't guarantee him that he'll relax more and enjoy right livelihood. When he's promoted, he'll have more work and this means that there'll be more responsibility. This will hinder him from enjoying right livelihood.

Option B and C are wrong as well as losing weight and getting in better shape and also de-emphasize the spiritual side of his life doesn't make one enjoy right livelihood.

Option D is the correct answer as he should make a conscious choice to attain the right livelihood and have enough rest that he desires.

5 0
3 years ago
Suppose that three firms make up the entire wig manufacturing industry. One has a 60% market share, and the other two have a 20%
mr_godi [17]

Answer:

4400

Increase

c. An index of 10,000 corresponds to a monopoly firm with 100% market share

Explanation:

Here are the options to the last question

Why is the largest possible value of the Herfindahl index 10,000 ?

a. An index of 10,000 corresponds to 100 firms with a 1% market share each

b. An industry with an index higher than 10,000 is automatically regulated by the Justice Department

c. An index of 10,000 corresponds to a monopoly firm with 100% market share

HHI index = 60²  + 20² + 20² = 4400

If one of the firms leaves the industry, the market share would be distributed between the two firms and this would cause the HHI index to increase as firm's concentration would increase

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7 0
3 years ago
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frozen [14]

Answer:

Job description.

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For example if a candidate was disqualified for not having a bachelor's degree, it should be well stated in the job description to avoid discrimination claims.

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3 years ago
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masha68 [24]

Answer:

It is A hope this helps

8 0
3 years ago
Free trade agreements (FTAs) led most directly to which of the following outcomes?
Yakvenalex [24]
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I hope to helped you!
4 0
3 years ago
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