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lora16 [44]
3 years ago
5

Assume a central bank follows a rule that requires it to take steps to keep the price level constant. If the long run price leve

l fell because of a decrease in aggregate demand and a subsequent increase in short run aggregate supply that kept output unchanged, then Question 5 options: a) the central bank would have to decrease the money supply which would decrease output. b) the central bank would have to increase the money supply which would decrease output. c) the central bank would have to increase the money supply which would increase output. d) the central bank would have to decrease the money supply which would increase output.
Business
1 answer:
Gre4nikov [31]3 years ago
4 0

Answer:

a) the central bank would have to decrease the money supply which would decrease output.

Explanation:

In the case when the long run price would fall due to the reduction in the aggregate demand and there is a rise of short run aggregate supply so the central bank would have to reduce the money supply due to this it automatically reduced the output as it shows the direct relation between the money supply and the output

Therefore the correct option is a.

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The difference between money coming into a country from exports and money leaving a country due to imports, plus money flows fro
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Answer:

Balance of payments (BOP)

Explanation:

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when the transaction was done for another country, there is a deduction of credit from the balance of payment and when transaction was done for the same country then credit is added to the BOP

8 0
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In which phase of the business cycle would the economy be if the unemployment rate continues to rise by 2% each quarter
hodyreva [135]
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3 years ago
Inventory is an _____ . asset expense none of the above
Natalka [10]

Answer:

Inventory is an Asset.

Explanation:

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8 0
3 years ago
Andrew enters into a contract with jill to develop and deliver a custom ios app for the ist future forum. jill fails to deliver
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Jill is the <u>"defendant".</u>


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5 0
3 years ago
Read 2 more answers
An investment of ​$93000 was made by a business club. The investment was split into three parts and lasted for one year. The fir
Ulleksa [173]

Answer:

Amount of three parts of investment are

72000, 16000 and 5000

Explanation:

We have given total investment = $93000

Let the investment made by three businessman are x , y and z

So x+y+z=93000-----eqn 1

It is given interest rates are 8 % , 6% and 9 %

And time = 1 year

Total interest = $7170

So 0.08x+0.06y+0.09z=7170----eqn 2

It is given that interest from first investment is 6 times the interest from second investment

So 0.08x=6\times 0.06y

0.08x=0.36y ----- eqn 3

After solving eqn 1 eqn 2 and eqn 3

x = 72000

Y = 16000

And z = 5000

8 0
4 years ago
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