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Semenov [28]
3 years ago
9

3. Suppose the National Bureau of Economic Research announces that the economy has been in a recession for the past year. What e

ffect might this announcement have on the economy? A) Employers will trim payrolls in an effort to cut costs in the face of decreased demand for their products. B) Businesses will invest heavily in plant and equipment. C) Businesses will add shifts to prepare for the upcoming recovery. D) The Federal Reserve will increase interest rates to fight the recession.
Business
1 answer:
Anit [1.1K]3 years ago
3 0

Answer:

The correct answer is option A.

Explanation:

Recession in an economy means that the economic activities are reduced. During recession aggregate demand gets reduced.

When the recession is announced the firms will realize that the demand for their products must have been reduced. To reduce the cost of production the firms will reduce the wages paid to the workers.

This will further reduce the income and the demand for products.

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The financial planning life cycle divides an individual's life into three stages. In stage 2, the focus of individual financial
Sav [38]

Answer:process of preserving and increasing the wealth

Explanation:The Financial Planning Life Cycle

Financial planning cycle outlines to us how one goes about starting to build wealthy,through their lifetime and how are they able to actual preserver what the have accumulated while they keep accumulating more.

It comprises of the following stages the first one being the starting point where one is focused on building wealthy. Second focusing on how one aims at preserving and increasing what they have already accumulated and third stage focuses on how one continues to live and grow from what they have saved.

8 0
3 years ago
What are three techniques stockholders can use to motivate managers to maximize their stock’s long-run price? Should managers fo
Romashka [77]

Answer:

Please see below.

Explanation:

a.

• Reasonable compensation package. Every stockholders would usually want a good return on their investments. One of the techniques that can be used by them is to offer good and reasonable compensation packages to the company's highly performing executives and managers. The aim is to spur them to act in the best interest of the stockholders and not themselves. This will also translate to better performance of the company.

• Firing of managers who don't perform well. If a company's stock is not performing well(does not appreciate), such would usually be tied to its board and managers. Stockholders are the owners of a company because their funds are being used to trade hence can threaten to replace or actually replace any manager who is not performing well. By so doing, the managers that are retained will be motivated to perform really well in order to retain their jobs hence translate to better company performance.

• Threat of hostile take over. Stockholders could also threaten a company's board of being taken over by a proven and well accomplished company , if their stock price does not improve overtime. When the managers or board realize that their job is being threatened, they will be motivated to act fast by ensuring that the company's stocks yield adequate return in the long run.

b.

What should be paramount to managers is how to ensure that their company's intrinsic stocks value(an estimate of the true value of a stock, that is premised on well calculated risk) are well maximized. The stockholders should also be carried along while this process is on going. By maximizing their stock's intrinsic value, such would bring about high value to the stocks, while as time goes on, the actual stock price will be much closer to the intrinsic value of the stocks.

6 0
3 years ago
General cognitive ability is similar to which of the five leadership traits in this text
stellarik [79]

Answer:

<u>Intelligence.</u>

Explanation:

General cognitive ability is a variable developed in psychometric studies of human intelligence and ability. That is, it is the ability to differentiate individuals according to their mental abilities. Individual mental capacity can be measured in a variety of ways through cognitive tasks or tests, which tend to be comparable to one's performance with other cognitive tasks. The purpose of factor G is to obtain a specific measure of overall intelligence.

5 0
3 years ago
Bonds are considered to offer a guaranteed return, as they must be honored by law, but which is still a potential risk that inve
Fiesta28 [93]

Bonds are a type of investments that is categorized as a fixed-income instrument which symbolizes loans that investors make to a borrower. Bonds can be made by a corporation or a government. Bonds always have end dates, and they generally have lower risks compared to stocks.

However, there are still some risks associated with this type of instrument, which is (C) the issuer could go bankrupt.

7 0
3 years ago
Read 2 more answers
Which important biochemical process receives a supply of nad ions from the fermentation process during anaerobic respiration?
Alexxandr [17]

Answer:

Glycolysis

Explanation:

Glycolysis is the process that receives a supply of NAD+ ions from the fermentation. When cells need energy but there is no oxygen for aerobic respiration than anaerobic respiration takes place.

5 0
2 years ago
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