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jok3333 [9.3K]
3 years ago
11

Inflation is defined as a rise in the general level of prices. When inflation occurs, the buying power of the dollar would:

Business
1 answer:
Anuta_ua [19.1K]3 years ago
5 0

<u>Answer:</u> the buying power of the dollar would: decrease.

<u>Explanation:</u>

Purchasing power means the amount of goods that can be bought with the given unit of money. The value of the dollar decreases when there is an inflation. Inflation reduces money value by raising the prices of the goods and services in the country.

Purchasing power can be compared with the salaries received 50 years ago and current salaries. Though the current salaries have increased the prices of the goods have also increased accordingly. Which can also be termed as increased cost of living.

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Answer:

A. 0.684

Explanation:

A seasonal index refers to an index that is used to compare the value for a particular period with the average value of all periods.

The purpose of using a seasonal index is to show the relationship between the two values, and the degree to which the two values are different.

The seasonal index can be calculated as the latest value for a period divided by the average of all periods.  Therefore, we have:

Seasonal index for July = Latest value for July / Average demand over all months = 130 / 190 =  0.684.

Therefore, he approximate seasonal index for​ July is 0.684.

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The correct word for the blank space is:  primary.

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Suppose that real GDP is currently ​$13.55 trillion and potential real GDP is​ $14.0 trillion, or a gap of ​$500500 billion. The
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$100 billion

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Real GDP is currently = ​$13.55 trillion

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To increase aggregate demand by $500 billion, the required increase in government expenditure is:

= (1 ÷ government purchases multiplier) × change in aggregate demand

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C. Sell a product similar to that sold in the home country, but include minor adaptations.

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Selling the regular menu along with dishes from the host country is an example of the strategy of selling a product similar to that sold in the home country, but include minor adaptations. This is an strategy that companies tend to use when going to other markets, because there are differences among them that include customs and culture, that can affect the way in which a product is perceived by people. In the food sector, these differences have a big impact as the food people eat in each country can be very different. So, when entering a new market, offering the regular menu the company has with dishes that are native to the home country can help to succeed in that specific market.

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