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3 years ago

True or false?

Business

1 answer:

olga2289 [7]3 years ago

6 0

Answer:

The correct answer true.

Explanation:

An economic recession is a decrease in economic activity over a period of time. During recessions, interest rates drop. A low interest rate helps the growth of the economy, since it facilitates consumption and, therefore, the demand for products. If a company is confident that the economy is about to go into recession, that means they expect rates to drop. So you should invest in short-term debt until rates fall due to the recession.

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Suppose that the Lorenz Curve for the U.S. in 2019 lies completely below the Lorenz Curve for Switzerland in 2019. This implies

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2 years ago

The American Federation of Labor (AFL) had 1.6 million members by 1904. The AFL represented mainly skilled, white, native-born w

lesya692 [45]

Answer:

Explanation:

As the complete question is not given thus the complete question is found online and is attached herewith.

As per the complete question, the goals of the two foundations are required which are as follows:

American Federation of Labor:

American Federation of Labor made efforts for

Cooperation among corporate and political leaders to achieve goals of the working community
Settlement of hundreds of industrial disputes
Encouraged improvements in safety environment at the factory
Establishment of pensions for long-term workers

Industrial Workers of the World

Industrial Workers of the World advocated and worked for:

The one big union
The rejection of capitalism
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3 years ago

In the country of Wiknam, the velocity of money is constant. Real GDP grows by 3 percent per year, the money stock grows by 8 pe

vaieri [72.5K]

Answer:

(a) 8%

(b) 5%

Explanation:

According to the classical quantity theory of money,

Money supply × Velocity = Price Level × Real GDP

Money supply denoted by M

Velocity is denoted by V

Price level is denoted by P

Real GDP is denoted by Y

Therefore,

Change in M + Change in V = Change in P + Change in Y

Since, we know that V is constant, so V = 0

∴ Change in M = Change in P + Change in Y

(a) Nominal GDP = Price × Real GDP

Change in P + Change in Y = Change in Nominal GDP = Change in M

Change in M = 8%, it is given in the question.

Therefore, Change in Nominal GDP = 8%

(b) Change in M = Change in P + Change in Y

8% = Change in P + 3%

Change in P = 8% - 3%

= 5%

We know that change in price level is the inflation rate. Hence, the inflation rate is equal to the 5%.

Real interest rate = Nominal interest rate - Inflation rate

= 9% - 5%

= 4%

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3 years ago

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Demand elasticity analyzes the degree of sensitivity and the change in total revenue resulting from a change in price.
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3 years ago

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3 years ago

Read 2 more answers