Answer:
Is experiencing an inflationary gap.
Explanation:
An inflationary gap can be defined as a macroeconomic concept which measures the difference between the actual output (Real Domestic Products) and the potential output (Gross Domestic Products) when an economy is being operated at full employment.
Hence, if actual output exceeds potential output, the economy is experiencing an inflationary gap. This simply means that, the consumers are demanding more of the goods and services than the economy (business entities) can produce or provide at a specific period of time. <em>Also, when an inflationary gap occurs in an economy, there would be an increase in the price of goods and services and thus, causing the economy to be out of equilibrium. </em>
Answer:
The correct answer is C
Explanation:
Competitive disadvantage is the described as the situation or circumstance which is unfavourable and it causes the firm or business to under perform the industry .
The competitive disadvantage cost is the cost or an expense which cost the firm or industry or the business to under form because of disclosing the pricing strategies of the company or business. Therefore, it as an competitive cost or an expense of disadvantage.
Answer: Liquidity in the banking system is increased
Explanation:
The Federal Funds rate is the interest rate at which commercial banks are allowed to lend each other their excess reserves overnight to meet reserve requirements.
If this rate were to be reduced, it would make lending cheaper between banks who would then take advantage of this to borrow more occasionally. This will then translate to a higher liquidity amongst the banks.
Answer:
rfb rgab rko
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