Answer:
Shifts right
Explanation:
A rightward shift in the money supply curve indicates its increase. When the FOMC purchases Treasury bills, they purchase these securities with money, thus injecting more money into the economy and increasing the money supply.
The strength of patent protection is that it D) grants a monopoly on underlying concepts and ideas.
This is an example of COMPETITION element of the immediate environment.
In marketing, there are three elements of consumers' immediate environment, these are: company, competition and corporate partners. These three elements works together and directly determine the performance of a company in a particular place. In the scenario given in the question, Wendy decided to offer the 99 cent value menu purposely to attract more consumers than its competitors.
The money multiplier is 5. And the total money supply increase by $2,000 million if the Federal Reserve increases reserves by $400 million.
Given,
The Federal Reserve sets the reserve requirement at 20%.
Banks hold no excess reserves, and no additional currency is held.
- The money multiplier displays the amplitude of the change in the money supply as a result of the addition of new reserves to the banking system.
- Banks use the money they are not obligated to retain in reserve to make loans, and the borrowed money shows up on other customers' deposit accounts.
- In macroeconomics, the money multiplier is significant because it controls the money supply, which influences interest rates.
- Because it affects monetary policy and the stability of the banking industry, it is also significant in the banking industry.
The money multiplier formula can be used to calculate the total amount of new deposits or money created.
Money multiplier = 1/reserve ratio
= 1/0.20
= 5
change in Total money supply = Money multiplier × change in reserves
= 5 × $400 million
= $2,000 million
Hence, The money multiplier is 5. And the total money supply increase by $2,000 million if the Federal Reserve increases reserves by $400 million.
Learn more about Federal Reserve Bank:
brainly.com/question/999538
#SPJ1
<span>D. total cost of insurance coverage</span>
