What is more volatile over time non-monetary real interest rate or risk-free rate of interest?

1 answer:

8 0

Between the two interest rates, the more volatile over time non monetary is the real interest rate. It is because in terms of risk - free rate of interest, it does acquire a return of investment that involves no risk and this is not volatile compared to the real interest rate which is a real risk.

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Your grandmother tells you a dollar doesn't go as far as it used to. She says the " purchasing power" of a dollar is much less t

Harrizon [31]

Answer:

See below

Explanation:

My grandmother is referring to the effect of inflation on the currency. Economist defines inflation as the general but gradual increase of prices in the economy over time. As a country experiences economic growth, prices of goods and services tend to increase. The government monitors the increase in prices using tools like the consumer price index (CPI). The resultant figure from the CPI is the inflation rate.

The government desires to keep the inflation rate at a predetermined optimal level. Should the economy grow at a fast pace, the inflation rate will probably rise. The government will respond with measures to control the growth and maintain stable prices.

An increase in prices means that the dollar will buy fewer goods and services than it could previously. A high inflation rate means prices are increasing at a fast pace. The dollar will buy fewer goods, which translates to dollar weakening.

Deflation is the opposite of inflation. It means a general decrease in price in the economy. During deflation times, the dollar gains strengths. It buys more goods and services than in the previous season.

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3 years ago

When the price of a product changes,

balu736 [363]

C relative price » sub effect & income effect

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3 years ago

Which of the following is the first step in self-leadership? Establishing client relationships Practicing gainsharing Personal g

Fittoniya [83]

Self -leadership is the process of influencing the one's own behavior and also the behavior of the other people around them.The First step of self Leadership is Personal Goal setting

Explanation:

Self leadership is normally defined as the process in which a individual is able to control his own behavior and at the same time he leads and influence others to follow them . These individuals use several behavioral strategies to empower and lead others people

The Five element of Self Leadership are :-

Personal Goal Setting
Constructive Thought Patterns
Designing Natural Rewards
Self-monitoring
Self-reinforcement

Self-leadership Strategies includes

Personal Goal Setting
Designing Natural Rewards
Constructive Thought Patterns

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4 years ago

Explain the importance of benefits on employee retention

victus00 [196]

Employees that enjoy what they do and the atmosphere in which they work are more likely to remain employed with their company. Retention strategies are important because they help create a positive work environment and strengthen an employee's commitment to the organization. By giving employees more perks, more money, and more benefits, you will increase morale.

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3 years ago

In a long-run equilibrium,

Serga [27]

Answer: Option (d) is correct.

Explanation:

Correct option: Only a perfectly competitive firm operates at its efficient scale.

In the perfectly competitive market and in the long run, the firms who are making losses will exit the market and those firms who are able produce at a point where price is equal to the average total cost will exist in the market.

However, monopolistic firms operates at a below efficient level of production and with an excess capacity.

Competitive firms are generally enjoys the productive efficiency in the long run because these firms have the capability to produce at a lower average total cost.

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3 years ago