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agasfer [191]
3 years ago
6

If a Pennsylvania gun manufacturer raises the price of rifles it sells to the U.S. Army, its price hikes will increase a. both t

he CPI and the GDP deflator. b. neither the CPI nor the GDP deflator. c. the CPI but not the GDP deflator. d. the GDP deflator but not the CPI.
Business
1 answer:
Anastaziya [24]3 years ago
6 0

Answer:

D. The GDP deflator but not the CPI

Explanation:

GDP deflator is a tool used in measuring the changes in prices of goods and services produced in the country. It is measured by dividing nominal GDP with the real GDP. Since the Gun is part of the GDP, hike in prices will affect the GDP deflator.

On the other hand Consumper price index measures changes in prices of basket of goods and services consumed by households. The guns are not been bought by households but rather they are bought by the army in the US. Therefore changes in the price doesn't affect CPI.

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The Federal Open Market Committee promotes price stability and economic growth through management of the money supply oversight
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Answer:

management of the money supply

Explanation:

The Federal Open Market Committee (FOMC) is made up of seven members of the Board of Governors, the president of the federal reserve bank of New York and four rotating regional federal reserve bank presidents. It is in charge of conducting the Fed's monetary policy, i.e. buying and selling US securities to increase or decrease the money supply.

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Mexico-based Rodriguez Engineering Corp. requires host-country nationals to be recruited to manage subsidiaries, while parent-co
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3 years ago
Macroeconomics, as opposed to microeconomics, includes the study of what determines the level of
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It includes the study of <span>employment in the economy.  


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Answer:

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Passive losses are losses resulting from financial activities, i.e. investments in other corporations where the investor doesn't participate in.

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