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Basile [38]
3 years ago
5

If during the past decade the average rate of monetary growth has been 5% and the average inflation rate has been 5%, everything

else held constant, when the Federal Reserve announces that the new rate of monetary growth will be 10%, the adaptive expectation forecast of the inflation rate is :______
a. more than 10%.


b. 5%.


c. 10%.


d. between 5 and 10%.
Business
1 answer:
skad [1K]3 years ago
7 0
A is the answer


Sorry if I’m wrong
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If the price level is 100 for 1996 and the price level is 103.3 in 1998, a nominal GDP in 1998 of $8,800 billion would mean that
ella [17]

Answer: b. $8,518.9 billion.

Explanation:

Nominal GDP is calculated with current prices which means that the effects of inflation are present.

Real GDP removes this effect by basing the GDP calculation on the prices of a previous period:

Real GDP = Nominal GDP * 100/ Price level

= 8,800 * 100/ 103.3

= $8,518.877

= $8,518.9 billion

4 0
3 years ago
Shyla conducted an experiment. she went to the student union and asked people if they would like to be subjects in her study. sh
Assoli18 [71]
No!
It's biased. Grumpy people have a right to have their opinions known just as well as cheerful people. Grumpy looks are momentary. They can be brought about (especially at a University) by math problems that are illusive, by girl friends (or boy friends), that are illusive, by something for lunch that was barely edible, by any number of things. 

She should ask people on some sort of other scale that is more random.
7 0
3 years ago
Baa-rated bonds currently yield 6%, while Aa-rated bonds yield 4%. Suppose that due to an increase in the expected inflation rat
ollegr [7]

Answer: The new confidence index is 0.7143

Explanation: Consumer confidence index which is known as the confidence index is an index used for estimating the economy of the U.S, it is published by the conference board which shows the decree of excitement in peoples's activities on their savings and spendings.

To calculate the new confidence index;

STEP1: Add the bond increase to the current bond;

6% + 1% = 7%

4% + 1% = 5%

STEP 2: FIND THE NEW CONFIDENCE INDEX

5% ÷ 7% = 0.7143

The old confidence index can also be calculated as

4% ÷ 6% = 0.6667

8 0
4 years ago
Product focused processes: allow more customization, but are not very efficient. are desirable because resource needs increase s
Vikki [24]

Answer:

The correct answer is letter "C": are processes that are specialized for relatively few products or customer groups.

Explanation:

Product-focused processes are those that follow a market segmentation. Companies decide to what sector of the market they will drive their efforts towards and specializes in the manufacturing of a determined good.

Production tends to involve high volumes and low variety process but provides manufacturers relatively high facility utilization. Examples of product-focused processes are the production of light bulbs or bolts.

4 0
3 years ago
Is it customary for a feeder fund to be able to keep all client fees
Karo-lina-s [1.5K]

Answer:

It is customary for a feeder fund to keep all client fees

Explanation:

3 0
3 years ago
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