All categories

4 years ago

"An inflationary gap exists when AD and SRAS" :

Business

2 answers:

lozanna [386]4 years ago

8 0

Answer: The Answer IS A.

Explanation: fail to Intersect

svetoff [14.1K]4 years ago

8 0

Answer: b). Intersect to the right of Natural Real GDP.

Explanation: Inflation is a persistent increase in the general price level of goods and services in an economy over a given period of time.

Inflationary gap describes the difference between the current level of real gross domestic product and the anticipated GDP that would occur if an economy is at full employment.

An inflationary gap however exists when aggregate demand (AD) and short run aggregate supply (SRAS) intersect to the right of natural real GDP.

You might be interested in

The legal contract between the bondholders and the issuer is called the bond ______.

Simora [160]

The legal contract between the bondholders and the issuer is called the bond <u>indenture.</u>

A bond indenture is important as it helps to protect the interest if the stakeholders and also lowers the chance of default.

It should be noted that the indenture list provides the details of a bond. It helps in ensuring transparency. Therefore, the legal contract between the bondholders and the issuer is called the bond indenture.

Read related link on:

brainly.com/question/25562729

4 0

3 years ago

The Republic of Argonia, owing to its vast resources of arable land and fresh water, is an agrarian nation. It exports agricultu

ololo11 [35]

Answer:

Mercantilism

Explanation:

Mercantilism is a national economic policy that is designed to maximize the exports, and minimize the imports, of a nation.

3 0

4 years ago

Read 2 more answers

Do the Math 3-3 Ratio Analyses Use the following balance sheet and cash flow statement information to answer the questions below

LUCKY_DIMON [66]

Answer:

Liquidity Ratio = 3.33

Asset to Debt ratio = 1.94

Debt to Income ratio = 95.57%

Debt Payments to disposable income = 36.76%

Investment assets to total assets = 23.51%

Explanation:

Liquidity Ratio = [ Liquid Assets ] ÷ [ Short Term Debt ]

= $14,000 ÷ $4,200

= 3.33

Asset to Debt ratio = [ Total Assets ] ÷ [ Total debt ]

= $319,000 ÷ $164,200

= 1.94

Debt to Income ratio = [ Total Debt ] ÷ [ (Gross Income + Disposable income -expenses) ]

= $164,000 ÷ [ ($13,000 + $6800 - $5500) × 12 ]

= 0.9557 or 0.9557 × 100% = 95.57%

Debt Payments to disposable income

= [ Long term debt payment + short term debt payment ] ÷ [ Disposable income ]

= [ $2,200 + $300 ] ÷ $6,800

= 0.3676 = 36.76%

Investment assets to total assets

= $75,000 ÷ $319,000

= 0.2351 = 23.51%

4 0

3 years ago

This method of financing government spending is frequently called printing money because high-powered money (the monetary base)

Fed [463]

Answer:

C) financing government spending through a Treasury sale of bonds that are then purchased by the Fed

Explanation:

The Fed is the only entity that can expand or contract the country's monetary base, and it does it with open market operations. In this case, the Fed is injecting money into the financial system and expanding the monetary base by purchasing treasury bonds, which is basically like my right hand lends money to my left hand, that is why it is called printing money.

4 0

4 years ago

A company has developed a new smart clock. If the clock is successful, the present value of the payoff (at the time the product

timama [110]

The correct answer is letter C

5 0

3 years ago