Answer:
Option A
Explanation:
In simple words, Bank runs refers to the scenario when a significant amount of individuals begin to make bank withdrawals since they are afraid the organizations will run out of liquidity. Usually a run on the banks is the product of confusion instead of a true bankruptcy.
Bank run caused by panic that drives a bank into real bankruptcy provides a traditional example of a prediction that fulfills itself. The institution does defaults risk, as customers are continuing to withdraw money. So what starts out as fear will ultimately turn into some kind of true fallback situation.
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Answer:
Californian citizen
Explanation:
For a Californian citizen, the maximum number of meals and units of leisure they could possibly acquire per day are:
For a Mississippi citizen, the maximum number of meals and units of leisure they could possibly acquire per day are:
Both citizens can acquire the same number of meals, but the Californian citizen can acquire twice as many units of leisure than the Mississippi citizen. Therefore, the Californian citizen is more well-off in terms of the bundles of goods they can consume.
Answer:
inflation rate= 3.8%
Explanation:
Giving the following information:
Nominal return= 11.1 percent
Real return= 7.3 percent
<u>The real return on investments is the difference between the nominal return and the inflation rate.</u>
Real return= nominal return - inflation rate
inflation rate= nominal return - real return
inflation rate= 11.1 - 7.3
inflation rate= 3.8%
