1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Vlad [161]
3 years ago
13

According to the quantity theory, if constant growth in the money supply is combined with fluctuating velocity, which of the fol

lowing is most likely to result?
A. unpredictable rises and falls in nominal GDP
B. monetary policy will become inevitably imprecise
C. quantity of credit rises above where it otherwise be
D. innovations relating to banking and finance
Business
1 answer:
tatuchka [14]3 years ago
5 0

Answer:

A

Explanation:

The quantitative theory of money states that MV=PT.

M: money supply

V: velocity of circulation (number of times that a dollar changes of holder in a period)

P : price of a typical transaction

T: total number of transactions.

We can also write the equation as MV=PY, because the value of transactions is equal to the GDP (Y).

If M has a constant growth but there are fluctuations in V, then P, Y or both change.

You might be interested in
______is the satisfaction or value people extract from consumed services or goods and those derived from pursued activities. A.
Mars2501 [29]

Answer:

utility

Explanation:

;/

7 0
3 years ago
One reason to buy a home instead of rent a home is:
Effectus [21]
Less money up front equals it to be better than renting an appartment
3 0
3 years ago
Read 2 more answers
Mutual funds _____. a. are investment companies that use funds provided by savers to buy various types of financial assets, incl
Crazy boy [7]

Answer:

a)

Explanation:

Mutual funds are investment companies called AMC( asset management companies ) that gather funds from public by issuing units. These funds are then invested in financial securities and financial instruments likes bonds and shares. Mutual funds  are managed by financial experts and are less risky for common public than direct investment in stock market.

7 0
3 years ago
Which of the following is true of investors using options to manage​ risk? A. Investors can hedge against a price decline by buy
Virty [35]

Answer:

A. Investors can hedge against a price decline by buying a call option.

Explanation: Investment risk can be defined as the probability or likelihood of occurrence of losses relative to the expected return on any particular investment.

Buying a call option entitles the buyer of the option the right to purchase the underlying futures contract at the strike price any time before the contract expires. Most traders buy call options because they believe a commodity market is going to move higher and they want to profit from that move.

A call option is a contract the gives an investor the right, but not the obligation, to buy a certain amount of shares of a security at a specified price at a later time.

3 0
4 years ago
In a Lindahl equilibrium: Group of answer choices no one could be made better off by reducing his or her tax burden, all things
Paraphin [41]

Answer:

everyone is willing to pay the taxes to receive the benefits.

Explanation:

Taxation can be defined as the involuntary or compulsory fees levied on individuals or business entities by the government to generate revenues used for funding public institutions and activities.

The different types of tax include the following;

1. Income tax: a tax on the money made by workers in the state. This type of tax is paid by employees with respect to the amount of money they receive as their wages or salary.

2. Property tax: a tax based on the value of a person's home or business. It is mainly taxed on physical assets or properties such as land, building, cars, business, etc.

3. Sales tax: a tax that is a percent of the price of goods sold in retail stores. It is being paid by the consumers (buyers) of finished goods and services and then, transfered to the appropriate authorities by the seller.

A Lindahl equilibrium can be defined as an economic state in which there is a production of an optimal quantity of public goods and the cost of these goods is shared in a fair manner among everybody. It was developed by Erik Lindahl.

In a Lindahl equilibrium everyone is willing to pay the taxes to receive the benefits.

6 0
3 years ago
Other questions:
  • Skysong Corporation has retained earnings of $691,300 at January 1, 2020. Net income during 2020 was $1,552,100, and cash divide
    9·1 answer
  • Kyla is a first-time entrepreneur. She started a small business a few months ago. She encounters small problems on a daily basis
    11·1 answer
  • Control based on the use of pricing mechanisms and economic information is referred to as:
    5·1 answer
  • Why do economists generally favor deregulation of most industries?
    12·1 answer
  • Under a written insurance contract, the policyholder pays a premium, and the insurance company provides:____
    7·1 answer
  • Hunter works in the human resource department of a well-known and highly respected maker of athletic equipment. He suggests that
    13·1 answer
  • Accepting the kind of criticism that can help you grow is a trait of people with
    6·1 answer
  • 1. A company issues new stock with a fair value of $120,000 to acquire 85% of the stock of another company. The fair value of th
    9·1 answer
  • Apricot Corporation has decided to buy a new glazing machine for its factory. The machine's cost is $50,000 and the expected inc
    6·1 answer
  • All of the following are advantages of having a savings account except
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!