Answer:
1) False
when the inflation is lower than expected, the real interest rate will be higher, since
real interest rate = Nominal interest rate - inflation.
2) Gains
In case of unexpected lower inflation the lender gains and the borrower loses.This is because real value of the loan increases due to lower inflation.
3) Loses
In case of unexpected lower inflation the lender gains and the borrower loses.This is because real value of the loan increases due to lower inflation.
Answer:
Explanation:
Profit is the surplus revenue after a firm has paid all its costs. ... In a capitalist economy, profit plays an important role in creating incentives for business and entrepreneurs. For an incumbent firm, the reward of higher profit will encourage them to try and cut costs and develop new products
<span>Community
</span><span>Sourcing/ Supply Chains
</span><span>Workplace/ Employee Health and Safety
</span><span>Environment/ Sustainability</span>
Answer:
have customer deposits as its primary asset and loans to borrowers are their primary liabilities.
Explanation:
Bank are the institution which provide liquid asset to borrowers and earn interest on the amount lend. Banks have primary assets which are the deposits from its customers. The bank invests those deposits in some profitable projects and then give interest to the customers based on a percentage.
This economy could move closer towards its production possibilities curve by e<span>mploying more of its available resources.
The production possibility curves is a theoretical portrayal of the measure of two unique merchandise that can be gotten by moving assets from the creation of one to the generation of the other. The bend is utilized to portray a general public's decision between two unique merchandise.
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