Answer: are motivated to pay attention; central
The elaboration likelihood model was developed by Richard Petty and John Cacioppo in 1980. The process describes how thought can arise in two different ways, or as a result of two different processes through the change of attitudes.
The elaboration likelihood model of persuasion describes the central route and the peripheral route as the two routes to persuasion.
The model explains that people who are thoughtful and considerate will take the central route of persuasion.
While persuasion will occur with positive or negative relation.
<span>No, they would have gotten slaughtered, because Great Britain had more troops than the patriots and better weapons.</span>
When capital adequacy line is equal to the savings per worker function then "normal expected returns to investor".
<h3>What is
capital adequacy/requirement ratio?</h3>
The capital adequacy ratio (CAR) gauges a bank's level of capital retention in relation to its level of risk. The CAR of banks must be monitored by national regulators in order to ascertain how well it can withstand an acceptable amount of loss.
The components of capital adequacy are-
- The Capital Adequacy Ratio (CAR) aims to ensure that banks have an adequate amount of capital to safeguard depositors' funds.
- (Tier 1 Capital + Tier 2 Capital) / Risk-Weighted Assets is the calculation for CAR.
- The BIS's capital standards have tightened up in recent years.
- By reducing the likelihood of bank insolvency, capital adequacy ratios promote the effectiveness and stability of a country's financial system.
- A bank with a high capital adequacy ratio is typically thought to be secure and likely to fulfill its financial obligations.
The principle of capital adequacy are-
- High-quality and loss-absorbing capital are both necessary.
- The Basel III criteria for common stock, along with supplementary tier 1 and tier 2 capital, are applied to establish the quality of capital, with retained earnings being the most important factor.
To know more about the capital requirement, here
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