Answer:
Short range predictors:
c. Nominal interest rate differential
d. Psychological effects
e. Investor expectations
f. Bandwagon effect
Long range predictors:
a. Relative monetary growth
b. Relative inflation rates
Explanation:
Nominal rate, the real rate, and inflation. long term predictors of an economic theory in which a relationship between inflation, nominal interest rate and real interest rate is identified. It defines that real interest rate is equal to inflation minus nominal interest rate.
Bandwagon effect is a short range predictor because it is effect of uptake when people follow others. They take decisions what other do and its their belief that other people have taken the right decision so we too. This is just a short term hop based on beliefs regardless of any underlying evidence.
Answer:
The answer is monetary policy
Explanation:
Monetary policy is an economic policy that manages the size and growth rate of the money supply in an economy. It is a powerful tool to regulate macroeconomic variables such as inflation, consumption, growth and liquidity.
Answer:
b. Decrease his inputs
Explanation:
The Equity Theory explains the influence that the perception of fair treatment has on the motivation of individuals. Or, from another point of view, in its demotivation.
People tend to compare ourselves to others. With other people's situations, inside and outside work. Thus, we form a perception about what is fair or unfair.
If the result of the comparison is understood as fair, people are more likely to feel motivated. On the contrary, when they perceive that they are treated unfairly, tension and demotivation appear.
In short, when compared to others, people want to be treated fairly for their contributions to the organization. And beliefs regarding what is fair and unfair can affect their motivation, attitudes and, therefore, their behaviors at work.
In building a sustainable economy, there are three-step process that should be followed :
First , Shift towards a new business model that generate a shared value
Second, Create Assets' ownership structures
Third, involves indicators that indicate progress, such as social and health indicators
