Answer:
From society's point of view the economic function of profits and losses is to
Promote the equal distribution of real assets and wealth.
Explanation:
Answer: Sell bonds
Explanation:
One reason there could be inflation in an economy is the high supply of money in the economy. With a high supply, people would have more money and so would demand more goods and services which would take the prices of those goods and services up thereby causing demand pull inflation.
If the Fed wants to reduce this inflation, they need to reduce the amount of money in the economy. They will do this by selling bonds to the public who will then pay in cash which the Fed will then take out of circulation thereby leading to a lower money supply and theoretically, less inflation.
Answer:
The answer are: ... are a combination of the central planning system and the price system.
Explanation:
Every economy in the world is a mixture of capitalism and socialism. In capitalism the fee market is absolute king, it sets prices and supply and demand of products. In socialist countries the government plans the economy and decides supply and demand of goods and services.
No country is purely capitalist since taxes exist and the government always intervenes with regulations and public services, etc. No country is purely socialist either, not even North Korea, since all the economies need to trade with their neighbors and people will always want to prosper.
So countries try to manage their economies in a mixture, some are more capitalist like the US and Canada, and some are more socialist like North Korea and Venezuela. The EU is sort of in the middle of both ideologies.
Answer:
d. It is best measured using the statistic variance inflation factor (VIF).
Explanation:
Multicollinearity is an important issue in multiple regression model, having many independent/ explanatory variables. Multicollinearity is the situation in which two or more independent variables are highly correlated. It is problematic because it increases the standard error of independent variable coefficient & undermines its statistical significance
Variance Inflation Factor [VIF] is a check & corrective measure of multicollinearity.
- VIF as a multicollinearity check : It quantifies the correlation between one explanatory variable with other explanatory variables.VIF = 1 implies there is no multicollinearity (correlation between independent variables); VIF upto 5 implies there is moderate multicollinearity (correlation between independent variables). VIF > 5 implies high multicollinearity (correlation between independent variables)
- VIF as a multicollinearity correction : Calculating
= σ^2 / ![[TSS j (1 - R^2j)]](https://tex.z-dn.net/?f=%5BTSS%20j%20%281%20-%20R%5E2j%29%5D)
; where TSS = total sum of square of variable j , σ^2 = j variance, R^2 j = R^2 from regressing all other independent variable on variable j
Answer:
C) management believes earnings growth will be strong going forward.
Explanation:
Dividend is the percentage of income that the corporation aims to allocate to the company's shareholders. When there is an rise in dividend it means that the company will have good results for the future. The rise in the dividend is a prediction of future profitability for the firm.
Plus it would be distributed to the preferred shareholders and the equity shareholders and the preference is given first to preferred shareholders
