The economics concepts of income effect and substitution effect express changes in the market and how these changes impact consumption patterns for consumer goods and services. The income effect expresses the impact of increased purchasing power on consumption, while the substitution effect describes how consumption is impacted by changing relative prices. Different goods and services experience these changes in different ways. Some products, called inferior goods, generally decrease in consumption whenever incomes increase. Consumer spending and consumption of normal goods typically increases with higher purchasing power, in contrast with inferior goods.
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Answer:
$0.6
Explanation:
Nominal interest rate (i) = 9% = 0.09
Output (Y) = 1,000
Money supply(M) = 1,200
==> (M/P)^d = (0.6Y) / i^(1/2)
==> 1200/P = 0.6*1000 / 0.09^(1/2)
==> 1200/P = 600 / 0.3
==> 1200/P = 2000
==> 1200 = 2000 * P
==> P = 1200/2000
==> P = $0.6
Therefore, the price level is $0.6
A basic Customer Relationship Management premise is that<u> (B) </u><u>customers form relationships with companies as opposed to companies conducting individual transactions with customers.</u>
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- A tool known as customer relationship management (CRM) is used to handle all interactions and relationships between your business and its clients.
- The objective is straightforward: to strengthen business ties.
- CRM systems assist businesses in maintaining contact with clients, streamlining procedures, and boosting profitability.
- Expressing gratitude to customers once they make purchases.
- If a customer buys a certain product, upsell or cross-sell to them.
- sending a coupon along with a birthday greeting. giving a customer who hasn't bought anything recently a discount.
What is CRM and why is it important?
- CRM enables organizations to establish a relationship with their clients, which fosters loyalty and client retention.
- CRM is a management technique that boosts a company's profits since customer loyalty and revenue are two factors that influence a company's revenue.
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Answer: Creating liquidity
Explanation:
Depository institutions includes commercial banks, credit unions, savings and loans. Depository institutions receive money from the depositors and lend out to their borrowers.
The primary function of the depository institutions is to create liquidity by making credit available to borrowers in the form of loans. Depository institutions also receive deposits from their customers in exchange for interest and then use them to create loans for people.
New media are forms of media from computers or that rely on computer/digital technology (old media are phones,radios, etc)
Examples of new media: computers, online databases, you tube, social media networks, online news articles, etc.
