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Bingel [31]
3 years ago
7

10) When the economy suffers a temporary negative supply shock and the monetary policy makers try to stabilize economic activity

in the short run, then A) inflation rate will be higher. B) output will be at its potential. C) aggregate demand curve shifts rightward. D) all of the above. E) both A and B.
Business
1 answer:
Rama09 [41]3 years ago
3 0

Answer:

The answer is D.

Explanation:

Economy shock is when an expected shock happens to an economy. This shock can be positive or negative.

In the vein, supply shock is an unexpected event that happens to the supply of a product. It can also be positive or negative too.

Positive supply shock increases output while negative supply shock decreases output.

For a temporary negative supply shock and monetary policy makers try to stabilize economic activity in the short run, the following will occur:

1. Aggregate demand curve shifts rightward, meaning demand will rise because supply will automatically reduce. This makes demand to be higher than supply.

2. Inflation rate will be high. Because supply is reduced, price of goods will increase and this is an inflation.

3. Output will be at its potential. When an economy is close to potential output, the price will increase more than the output and aggregate demand will rises.

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6 0
3 years ago
Baldwin corp. ended the year carrying the most inventory. calculate baldwin corp.'s dollars of additional revenue (in dollars) i
wariber [46]

Based on the value of Baldwin Corp's existing inventory, the dollars of additional revenue that would have been earned is $19,923,000.

<h3>What amount of dollars of additional revenue would Baldwin have earned?</h3>

The dollars of additional revenue that a company would have earned is the value of the existing inventory because inventory is assumed to be sold at cost.

Baldwin's existing inventory was valued at $19,923,000 so the dollars of additional revenue would be the same amount of $19,923,000.

Full question is:

Baldwin corp. ended the year carrying the most inventory of $19,923,000. calculate Baldwin corp.'s dollars of additional revenue (in dollars) if all existing inventory were sold at the current prices.

Find out more on the effects of existing inventory at brainly.com/question/24868116.

#SPJ1

6 0
1 year ago
Current Attempt in Progress Incorrect answer icon Your answer is incorrect. Carla Willis will invest $34,700 today. She needs $1
Nitella [24]

Answer:

12.18%

Explanation:

Present value = $34,700

Future Value = $173,500

Time (n) = 14 years

Interest Rate = i

Future Value = Present Value * (1+i)^n

$173,500 = $34,700 * (1 + i)^14

(1 + i)^14 = $173,500/$34,700

(1 + i)^14 = 5

1 + i = 5^(1/14)

1 + i = 1.1218284

i = 1.1218284 - 1

i = 0.1218284

i = 12.18%

So, the annual interest rate she must earn is 12.18%.

4 0
2 years ago
Control over cash disbursements is generally more effective when:
anyanavicka [17]

Answer:

The correct answer is option c) payments are made by check. Control of cash disbursement is generally more effective when payments are made by check..

hope helpful <3

5 0
2 years ago
Which of the following products CANNOT be sold BOTH the consumer and industrial markets?
Ierofanga [76]

The X-Ray machine can only be sold to the industrial market

7 0
2 years ago
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