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Marrrta [24]
3 years ago
7

How could the federal reserve encourage banks to lend out more of their reserves?

Business
1 answer:
natta225 [31]3 years ago
5 0
Had to look for the options and here is my answer.
How the Federal Reserve could persuade banks to lend out more of their reserves is by REDUCING THE DISCOUNT RATE. The Federal Reserve is known to be the central bank of the United States which regulates the financial activities of the nation and how this affects their economy. Hope this helps.
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In the for-profit business world, decisions to spend money must pass a "cost versus benefit" test, but for nonprofit arts organi
Zinaida [17]

The cost versus benefit test will not act as a good factor to measure tangible achievement.      

Explanation:

Most of the Non-profit organization has a focus on welfare activities. The benefits can be influenced only by the subjective fulfillment of benefits. Executive members of all trusts are not able to calculate the benefits attained through welfare operations. Such a parameter system of identifying the beneficiaries' prospects of end-users is known as Intangible achievement.

The tangible achievement always lies in the status of invisible movements of each welfare operations. But each step of inducing the effects of cost versus benefit test does not suit to provide the effective to identify the tangible achievements.  

3 0
3 years ago
Assume the economy is on aggregate demand AD1. The Fed should attempt to raise investment by enough to shift aggregate demand fr
maw [93]

Answer:

AD2 and then to AD3

Explanation:

If the investment is continued to increase by federal reserve it would only be feasible when money creation decreases the interest rate.

The aggregate demand would then be expanded and the aggregate demand curve shifted to the right. The necessary increase in aggregate demand must be such that aggregate shifts in demand curve from AD1 to AD2 to AD3.

3 0
3 years ago
On January 2, 2020, Coronado Industries began construction of a new citrus processing plant. The automated plant was finished an
Svetllana [295]

Answer:

$157,300

Explanation:

The computation of the interest capitalized is as follows:

= Accumulated expenditure × rate of interest

= ($610,000 × 12 months ÷ 12 months) + ($1,800,000 × 4 months ÷ 12 months) + 0 × 13%

= ($610,000 + $600,000) × 13%

= $1,210,000 × 13%

= $157,300

8 0
3 years ago
Importance of strategic planning
irga5000 [103]
Huh? What are u asking
6 0
3 years ago
Read 2 more answers
Metropolis Corporation has 4 shareholders: Fritz, Luis, Alfred and Werner. Number of shares that Fritz owns is 2/3 rd of number
Deffense [45]

Answer:

$120,000

Explanation:

Given:

Shares owned by Fritz = \frac{2}{3} of number of the shares of the other three shareholders i.e \frac{2}{2+3}=\frac{2}{5} of all the shares

Shares owned by Luis  = \frac{3}{7} of number of the shares of the other three shareholders i.e \frac{3}{3+7}=\frac{3}{10} of all the shares

Shares owned by Alfred = \frac{4}{11} of number of the shares of the other three shareholders i.e \frac{4}{4+11}=\frac{4}{15} of all the shares

Therefore,

Shares owned by them together = \frac{2}{5}+\frac{3}{10}+\frac{4}{15}

=  \frac{29}{30} of all shares,

This means that Werner owns = 1 − \frac{29}{30} of all shares,

=\frac{1}{30} of all shares

i.e

= \frac{1}{30} × $3,600,000

= $120,000

8 0
3 years ago
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