Based on the real GDP growth rate, the velocity of circulation, and the quantity of money, the long run inflation rate will be 0%.
<h3>What is the long-run inflation rate?</h3>
This can be found using the Quantity theory of money:
Money supply x Velocity of circulation = Price level x Real GDP
Can also be written as:
% change in M + % change in V = % change in P + % change in Y
Solving gives:
3% + 0 = P + 3%
P = 3% - 3%
= 0%
The price level is to increase by 0% which means that inflation is 0%.
Find out more on the Quantity theory of money at brainly.com/question/26370040.
Answer:
a) 0.667
b) Yes
Explanation:
Data provided in the question:
Mean = 0.04
Standard Deviation = 0.003
Upper Specification Limit, USL = 0.046
Lower Specification Limit, LSL = 0.034
Now,
a) Capability Index is given as:
Cp =
or
Cp =
or
Cp = 0.667
Also,
Cpk = min(
or
Cpk = min(
or
Cpk = min( 0.667
, 0.667 )= 0.667
Since,
Cp and Cpk are same in this case
therefore, it is ideal condition and process is capable
b) yes
Answer:
2.4
Explanation:
Frontier corporation sells unit for $57
The unit variable cost is $29
Fixed cost is $164,000
Frontier sells 10,000 units
The first step is to calculate the contribution margin
= 57-29×10,000
= 28×10,000
= 280,000
Profit = 280,000-164,000
= 116,000
Degree of operating leverage can be calculated as follows
= 280,000/116,000
= 2.4
The advantage of a free market economy is that when it works it can both be reward and perpetuate innovation But they are inherently more risky and does tend to favor those more capital and resources . In an Economic make system with multiple equilibria coordination failure occurs when a group of firms could achieve a more desirable equilibrium but fail to because they do not coordinate their decision making