If the Fed needs to conduct expansionary monetary policy, it must b) decrease the required reserve ratio.
Expansionary economic coverage works via increasing the cash supply faster than traditional or lowering short-time period interest charges. it's far enacted by way of vital banks and comes about thru open marketplace operations, reserve requirements, and setting interest costs.
The Federal Reserve has 3 expansionary financial policy methods: lowering interest rates, decreasing banks' reserve necessities, and shopping for authorities' securities.
Expansionary monetary policy is genuinely a policy that expands (will increase) the delivery of money, while contractionary economic policy contracts (decreases) the supply of a rustic's forex.
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Answer:
a. 12% per year
Explanation:
Effective interest rate
r = (1 + i/n)^n - 1
r = effective interest rate
i = simple interest rate compounded monthly
n = number of compound intervals
12.68% = ((1+i/12)^12)-1)
1+0.1268 = ((1+i/12)^12)
1.1268^(1/12) =1+i/12
1.010 = 1+i/12
1.010-1 = i/12
0.010 x 12 = i
i = 0.12 = 12%
Answer:
likely to undergo regulatory review by various governmental entities.
Explanation:
A horizontal acquisition refers to the business strategy where the one company could take the other company that operates at the similar level while on the other hand the vertical integration is the integration where the business operation could be acquired with the similar kind of production
So these types of acquisition should established the market power through which the regulatory review could be undergone via a different government entities
Answer:
command economy, market economy and traditional economy
Explanation:
in the command economy the government answer the question of what to produce, how to produce and to whom. the government determines investment and income.
in the market economy: the economy decision of investment and income, production and distribution is determine by the price according to the law of demand and supply
traditional economy: is an economic system that is signaled by the custom, belief and traditions of the people which influences goods and services the economy produces, how it is produce and who uses the product.
