1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
deff fn [24]
3 years ago
5

Everything else held constant, in the market for reserves, when the federal funds rate is 2%, lowering the interest rate paid on

excess reserves rate from 1% to 0.5% has no effect on the federal funds rate. has an indeterminate effect on the federal funds rate. lowers the federal funds rate. raises the federal funds rate.
Business
1 answer:
Rudiy273 years ago
4 0

Answer: lowers the federal funds rate.

Explanation:

The federal funds rate is the rate at which banks lend money to their selves overnight to ensure that they meet lending and reserve requirements.

The interest rate paid on excess reserves rate is the amount of interest that the Fed pays banks to keep excess reserves. If this rate was to decrease, banks would have less incentive to keep excess reserves at the Fed and so would have more money to meet lending and reserve requirements such that they won't need to borrow from other banks as much which would then lead to the federal funds rate decreasing due to less demand.

You might be interested in
Why does monetary policy usually involve a streamlined inside lag?
elena55 [62]
The Federal Open Market Committee can act almost immediately.
8 0
3 years ago
10 . What kind of good is it? Determine whether each of the following goods is a private good, a public good, a common resource,
Kipish [7]

Answer:

Common resource

Private Good

Public Good

Explanation:

A common resource would be any limited commodity, including such water or farmland, which offers tangible advantages to consumers but which no one in specific owns or has sole rights to.

Private commodities are items that must be bought in order to be eaten, and one person's consumption forbids another individual from purchasing them.

Public good can contribute to: social interest, an useful that is both non-exclusive and non-rival.

5 0
3 years ago
During the 1990s, one of the dominant firms in the U.S. cigarette industry would raise prices once or twice a year by about 50 c
Veronika [31]

Answer:

This is an example of price leadership.

Explanation:

Price leadership is a type of practice where a firm, most likely a dominant one, sets the price and other firms follow it. It is commonly seen in an oligopoly market.  

In an oligopoly market, there are a few firms, these firms are interdependent. A price change by one firm affects its rivals.

Price leadership is of different types.

  • Barometric
  • Collusive
  • Dominant

So when a dominant firm changes its price, the followers have to follow it if we they want to retain their market share.

8 0
3 years ago
The fiscal 2016 financial statements of Nike Inc. shows net operating profit margin (NOPM) of 11.4%, net operating asset turnove
Solnce55 [7]

Answer:

-13.562%

Explanation:

Data provided in the question:

Net operating profit margin (NOPM) = 11.4%

Net operating asset turnover (NOAT) = 3.83

Return on equity = 30.1%

Adjusted return on assets = 17.1%

Now,

Return on equity = Nonoperating Return + Return in net operating assets

or

Nonoperating Return = Return on equity - Return in net operating assets

Also,

Return in net operating assets = NOAT × NOPM

or

= 3.83 × 11.4%

= 43.66%

therefore,

Nonoperating Return = 30.1% - 43.66%

= 30.1% - 43.662%

= -13.562%

5 0
3 years ago
Examples of ______ are the AFL-CIO (a union) and the National Federation of Independent Business. Both are voluntary groups with
Vesnalui [34]

Answer:

Volunteer co-ops

Explanation:

Examples of VOLUNTEER CO-OPS are the AFL-CIO (a union) and the National Federation of Independent Business. Both are voluntary groups with the purpose of advancing member interests.

The above statement is true because Volunteer co-ops are otherwise known as Volunteer Cooperation is a form of cooperative relationship or establishment in which there are various volunteers involved in the process, whose purpose is to benefit real members or the citizens at large.

6 0
3 years ago
Other questions:
  • Which process in service operation contributes to continual service improvement?
    5·1 answer
  • Metallica Bearings, Inc., is a young start-up company. No dividends will be paid on the stock over the next seven years, because
    13·1 answer
  • Consider two spices, cumin and paprika, to be substitutes, a decrease in the supply of paprika, should cause an increase in the
    6·1 answer
  • What is your reaction to Harriet's suggestion of using the cost of debt only?
    8·1 answer
  • A(n) _____ is an outside firm that specializes in the creation, production, and/or placement of the communications message and t
    12·1 answer
  • A corporation purchased manufacturing equipment for $100,000, with an estimated useful life of 10 years and a salvage value of $
    14·1 answer
  • The city pays $4 million to a contractor for work on a new bridge. a) Special Revenue Fund b) Capital Projects Fund c) General F
    11·1 answer
  • Zinc, Inc. has 10,000 shares of $5 par, 5% preferred stock, and 5,000 shares of $10 par common stock issued and outstanding. If
    7·1 answer
  • Valley Orchards just paid a dividend of $1.2 per share on its stock. The dividends are expected to grow at a constant rate of 3.
    5·1 answer
  • MegaCable and Acme are competing for an exclusive contract to provide the city of Dustin with cable television for the next year
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!