Answer:
Money multiplier= 1 / reserve requirement
a. Reserve requirement = 0.09
Money multiplier = 1 / 0.09
Money multiplier = 11.11
b. Reserve requirement = 0.25
Money multiplier = 1 / 0.25
Money multiplier = 4
c. Reserve requirement = 0.12
Money multiplier = 1 / 0.12
Money multiplier = 8.33
d. Reserve requirement = 0.04
Money multiplier = 1 / 0.04
Money multiplier = 25
Answer:
sensitivity
Explanation:
A financial sensitivity analysis consists of analyzing the variables that influence decisions related to a business. That is, the dependent and independent variables are analyzed and how they will affect the economic results of a company.
This analysis is effective so that companies can make projections about how one variable is directly influenced by another according to the data found, assisting in the financial and economic decision-making process that will contribute to the profitability and positioning of the business.
Answer:
a. A reduction in short-run aggregate demand likely causes a decline in real output, rather than the price level, because __________.
- d. prices are inflexible downward.
A decrease in the aggregate demand curve will cause a decline in output rather than price because prices are sticky, that means that they do not change that often and producers are generally not willing to lower prices, instead they are more willing to lower output.
b. A full-strength multiplier applies to a decrease in aggregate demand when aggregate.
The aggregate supply curve becomes horizontal at the price level where producers are not willing to supply products any more.
Answer:
C.
Explanation:
Being an editor for a local newspaper counts as an economic sense because that is the only part that takes part as a job and helps the economy.