Purchase of a security by the bank will decrease the reserves in the banking and as a result the monetary base will also decrease.
<u>Explanation:</u>
The federal reserve system is the central bank of the United States of America. It has certain measures under it's control to manage the supply of money in the economy.
One of those measures is the purchase and the selling of the securities. If the security is purchased by the bank from the Federal reserve system, it will decrease the money reserve in the banks. As a result of this the monetary base will decrease in the country also.
Answer:
Rewards for inefficiency
Explanation:
Rewards for inefficiency refers to simply rewarding an employee or group of employees for not doing their work properly. In this case, the team that was working on project XK11 is inefficient and they are simply lazy or bad at what they do, and instead of taking actions to correct this bad behavior, management rewards them by giving them more time = less work.
The problem with this scenario, is that the team that is currently working on project YK12 will eventually realize that they are being punished for being efficient and working properly. They will soon start being inefficient and lazy as the other team in order to be rewarded.
Corporates raise money through selling their shares. The correct answer is shares. By selling the shares, the corporates get an opportunity to grow, prosper and create economic opportunity.
<h3><u>Why do Corporates sell shares?</u></h3>
All businesses require capital to function. Selling shares in a sale of ownership can be done for a variety of reasons, including debt consolidation, funding business expansion, or risk diversification. Selling shares in a company might bring in a sizable sum of money that can be put toward debt repayment, investments, or charitable contributions. The money may also be reinvested in the company to finance growth. Similar to how selling a portion of a company can lower risk and help owners diversify their own holdings.
Other factors may also motivate business owners to sell their shares. Selling shares gradually can help you plan for eventual succession and transfer ownership in a way that will cause the eventual new owners to experience the least amount of tax shock possible. Finally, selling shares in a company can be the result of burnout or a refusal to expand the company further.
You can learn more about stocks using the below link:
brainly.com/question/24330980
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