Regarding the overall effect of negative interest rates on the economy, economists

Business

1 answer:

vova2212 [387]3 years ago

8 0

Answer:

The effect of negative interest rates on the economy is reflected in option D: negative interest rates simply cannot happen in reality. Answer D is the correct response.

Explanation:

Answer C is partially correct. In reality, experiments are running on economies as today: Greece economy. After a huge recession in previous years, the Government has released bonuses that, at the end of their effective period, will be charging people for actually buy them, and not paying them back. This leads us to answer D: negative interest rates can actually happen, but they cannot exist as an economic mechanism that develops the economy: customers will go for profit, not cost.

The effect of this model is negative on the economy since it will not provide enough resources for stimulation. Also, it will not slow it down since it is not expected that an instrument with negative interest rates will be accepted, in the form of bonuses, by customers; or loans, provided by banks.

You might be interested in

Which of the following represent the newer tools of digital direct marketing? A. Telemarketing, direct-mail marketing, and ca

schepotkina [342]

Answer:

D. Online marketing, social media marketing, and mobile marketing

Explanation:

Digital direct marketing is a fusion of digital and direct marketing. Digital includes online and mobile (smartphone) media, while the traditional media often refers to telephones, TV, brick-and-mortar shops...

Since the term direct refers to the way of approaching customers, it is important to make a distinction between marketing channels and media that are aimed for a wider public, and the ones that have the possibility of targeting a specific customer or target group.

The only answer that includes types of DDM (digital direct marketing) is D.

Online and social media marketing are tightly related and are digital by nature. They have the functionality to target customers directly with the aid of cookies and data provided by social media. Also, mobile marketing is direct and digital too, as it is related to smartphones and unique phone numbers (thus, it is direct).

5 0

3 years ago

The fair values of all of Sirius's assets and liabilities were equal to their book values except for inventory that had a fair v

lubasha [3.4K]

Answer:

Explanation:

The fair value is the value above the book value. The financial statements are prepared at historic cost and when the value of assets rises a revaluation account is created to present financial statements accurate. The fair values of Sirius's assets are equal to book value and all assets are presented at cost or book value. There will be no revaluation charged to the consolidated statement.

5 0

3 years ago

Values tend to vary across generations because they are influenced by events in childhood and youth. For example, some parents l

Greeley [361]

Answer:

False

Explanation:

The reason is that the values tend to vary across generations but these values are cultural and investment made largely depends on the behavioral implications of the person and his knowledge. The people around us are diverse from risk perspective. So people invest accroding to their risk appetite and behaviour.

4 0

3 years ago

Why is Social Security and Medicare spending expected to increase further in the near future?

Shkiper50 [21]

Because their where many baby boomers, and as they retire, there will be fewer people to support Social Security and Medicare

5 0

3 years ago

Read 2 more answers

A recent Mega Millions estimated jackpot amount is $300 million which is the undiscounted sum of the 26 annuity option payments

I am Lyosha [343]

Answer:

Itis better to take the case in hand of 207,000,000 millions