Answer:
This would harm the union and favor Friendly Airlines because the real wage increase would now be low.
Explanation:
With an increase in inflation more than was expected, it will be bad for the union but will be good for Friendly Airline because the higher the rate of inflation, the lower the real wages. The implication of this is that Friendly Airline can afford to increase its fare because of the high inflation rates, and due to inflation the union will not have any increase in wages.
<u>Full question:</u>
With respect to interest rate parity, When parity conditions are not in effect in currency and money markets, traders could make extraordinary profits from a practice known as ________.
A) covered interest rate parity
B) covered interest rate arbitrage
C) triangular arbitrage
D) forward market arbitrage
<u>Answer:</u>
When parity conditions are not in effect in currency and money markets, traders could make extraordinary profits from a practice known as covered interest rate arbitrage
<u>Explanation:</u>
Covered interest arbitrage is an endowment strategy intended to profit from the variations in interest rates within two countries when purchasing and trading foreign currencies. It includes using a forward contract to restrict disclosure to exchange rate danger.
Returns on covered interest rate arbitrage manage to be short, particularly in markets that are competing or with comparatively low levels of information asymmetry. Although covered interest arbitrage is a low-risk procedure you may discover it tough to obtain a large profit.
<span>Conformity is a psychological/social phenomenon that occurs within a group setting wherein members of a group try to match each others attitudes, beliefs, and behaviors. Conformity can have a negative impact on group decision making, particularly if making the "right" decision is viewed by the group as less important than maintaining harmony within the group.</span>
Answer:
B. large amount of natural resources
Explanation:
Comparative advantage is a country's ability to produce a product or service for a lower opportunity cost than rival countries. Opportunity costs are the benefits given up in the extraction process. If a country has a large amount of natural resources, it will use fewer resources in the extraction process than other countries. The trade-off costs will be so little compared to the benefits.
Other countries will find it cheaper to import from a country with large natural resources. For example, oil-rich nations have a comparative advantage in the extraction and processing of oil and oil by-products.
Answer:
The correct answer is letter "A": an acceptance speech.
Explanation:
Acceptance speeches are those the winner of an award gives after receiving a prize. In acceptance speeches, the speakers usually start by thanking the individuals who help them reach their objectives and who they consider played a key role in achieving the reward.
After that, the speakers usually appreciate the fact of selecting their work as the best and immediately after that, they take advantage of telling a little story that could motivate others to work hard to pursue their objectives.