Answer:
Following are the solution to these question:
Explanation:
In point a:
The population feels wealthier and seems to be socially secure. This will boost consumption, moving AD to the correct. There is a difference in deflation. Govt must adopt a discretionary monetary policy to fight deflation, that will change AD left.
In point b:
Expenditure has been decreased to increasing jobs or costs. Disinflationary distance exists. To improve DA (shift rectors) and restore full job production, Govt must pursue the expansionary monetary policy.
In point c:
It will once again raise NPA because part A contributes to even more competition with higher public expenditure. The deflation divide is that there is. That alternative is an expansionary tax reform to move to the left.
In point d:
The rise in interest rates declines expenditure and, as part B, reduces AD. The deflationary difference remains. Government must use expansionary monetary policy to fight it, moving AD to a correct.
Answer:
actual inflation rate will be equal to the expected inflation rate in the long term.
Explanation:
Since in the given instance, both companies sign the long term contract rather than the short term contract, because they believe that the expected inflation rate for each year cannot be accurately expected, but that the inflation rate for a long term period can be more accurately expected.
This is based on the concept of trend analysis, a trend analysis can help find long term results with more close to reality.
Thus, both the companies here believe that the long term rate can be expected properly of inflation.
Answer:
The United States Department of Commerce.
Explanation:
The United States Department of Commerce is executive in nature and is in charge of the economic growth of the country. Its role include generating demographic and economic data for government and business decision-making, and also help to set industrial standards. The main purpose of the organization is to accelerate economic growth, create jobs, encourage, sustainable development and also block trade practices of other countries that are harmful.
The Department works with universities, communities businesses, and the countries employees to improve the living standards for Americans. The Department of Commerce is made up of several offices and bureaus, such as the US patent, the Trade Office, the US Census Bureau, and the Bureau of Economic Analysis.
Answer: all the above steps are considered when evaluating financial planning except OPTION C how all small projects are added up for one big project.
Explanation:
financial is delicate aspect of any b business and company. financing a project companies need to follow some steps. the financial planning of a company of business must consider the following: i. the planning horizon which is the time frame of the planning process.
ii. the project horizon which explain the feasibility time of the project.
iii. identifying the total need of the investment. this explain the importance of the project at that particular time
iv. sets of assumptions for various scenarios. this explain various alternative courses of action concerning the said project.
the above listed steps are the only considered steps. there are others such as identifying the current financial position of the company,reviewing and revising the plan,creating and implementation of the financial action and many more
Answer:
On the short run, most factors of production are fixed since both wages and prices are sticky, but on the long run, all the factors of production are variable. So firms cannot decide which factors to keep fixed or not, they simply are fixed or not.
A variable factor of production is one whose input level can change in the short run, e.g. a company can extend working hours from the regular 8 hours a day to 10 hours per day.
A fixed factor is one whose input level cannot be changed in the short run, e.g. it takes several months or even years to build a new production facility, lease contracts usually last 3-5 years.
