Complete Question:
Suppose an event has occurred that has decreased money demand. This will cause the equilibrium interest rate to: Multiple Choice decrease, but equilibrium quantity to remain constant. decrease, but equilibrium quantity to increase. increase, but equilibrium quantity to decrease. Increase, but equilibrium quantity to remain constant.
Answer:
Suppose an event has occurred that has decreased money demand. This will cause the equilibrium interest rate to:
decrease, but equilibrium quantity to increase.
Explanation:
Money demand equilibrium occurs at the interest rate at which the quantity of money demanded equals the quantity of money supplied. This implies that all other things unchanged, a shift in money demand will lead to a change in the equilibrium interest rate. This result will come about because with the reduced interest rate, more consumers and businesses will be angling for more loans.
Answer:
because of scarcity because when we look at scarcity is the shortage of something
Given the information, the firm will earn a negative economic profits in the short run but remain in business if the market price is $5.
<h3>What is a
negative economic profits?</h3>
This is an recorded profit that occurs when the cost of equity capital exceeds the accounting profit in a firm.
Hence, as its records a negative economic profit. the firms have the cause to leave the market because since its resources would be more profitable elsewhere.
Therefore, the Option A is correct.
Read more about negative economic profit
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A) is not read closely by many audiences
When you wirte an essay or a paper for school, the first thing that you have to bear in mind is your audience. To whom will be directed? Who will read it? Once clarified that, you can start writing. It is not the same to write for scientists that for your peers at school. Everyone will read it diferently.
Regarding the other options, once you consider your target, you should know if the register used will be formal, or informal.
Everything you write should be considered important, regardless of the topic. To be a good writer, you have to write from the heart, and that is not fulfilled if you do not consider it important.