If the FED want to stabilize output then FED has to decrease the money supply if the net exports were increased.
Given that there was a large increase in net exports.
We are required to advise the FED about the work he should do to stabilize the output.
The increase in exports shows that there had huge amount of money in the economy. So to stabilize the output FED has to decrease the output and to decrease the output FED has to decrease the money supply.
FED can decrease the money supply in various ways as under:
- Increase in interest rate.
- Selling of government securities.
There are many more ways to decrease the money supply. When the money supply decreases the people in the country may not be able to produce more goods and the production of goods decreases.
Hence if the FED want to stabilize output then FED has to decrease the money supply if the net exports were increased.
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Answer:
political action committee
Explanation:
A political action committee is an organization set up by a political party to gather funds through the contribution and donation from members of the party. The funds collected by the political action committee are used to support the party candidate or campaign against the opposition party candidate. The political action committee is not obligated by law to disclose the identities of donors.
Answer:
B) They are employees.
Explanation:
They work for Sally. Sally hired Truly, Glen and Fred and pays them an hourly wage, and provides the tools that they use to perform their work. She also supervises and directs their job. They are not independent contractors due to the direct relation that exists between them and the fact that they obey Sally's orders.
Answer: The three main types of unemployment are cyclical, frictional and structural unemployment. B
Explanation:
B. Cyclical and frictional are both related as they tend to cause more hardship because of its severity.
