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Mnenie [13.5K]
2 years ago
9

Suppose some banks decide to increase their holdings of excess reserves relative to deposits. Ceteris paribus, this action will

put _______ pressure on the money supply, and to reduce the impact of this action the Fed could _______.
Business
1 answer:
slava [35]2 years ago
5 0

The action of the bank will put decreased pressure on the money supply, and to reduce the impact of this action, the Fed could decrease the discount rate.

Basically, a decrease in discount rate will make it easy and cheaper for commercial banks to borrow money from Federal Reserve System and thus, results to increase in available credit and lending in the economy

Therefore, if the commercial banks decide to increase their holdings of excess reserves supposed to be remitted to Feds, then, this will put <u>decreased</u> pressure on the money supply, and the Fed would act by <u>decreasing</u> the discount rate.

Read more about this here

<em>brainly.com/question/20023706</em>

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Because you understand the law of supply, you can deduce that the correct graphical representation of the supply for CDs must be
Bas_tet [7]

Answer:

S1

Explanation:

Law of Supply, is the law which states or claims that all else being constant or equal, then the quantity supplied of the good increases when the price of the goods also increases.

Ans this states the positive relationship among the price and the quantity, thus an upward sloping curve. Therefore, it is the curve (supply curve), which is more likely for the CDs.

This curve shows the relationship among the amount that the sellers willing to and able to supply and the price of the CDs, which is called as the quantity of CDs supplied.

3 0
3 years ago
When a price ceiling is​ imposed, the price system is prohibited from rationing the product in the market in which the ceiling w
padilas [110]

Answer:Queuing, Favoring customers, and ration coupons

Explanation: Price ceiling is a price control mechanism used by Government and price regulators to control the market price of a product or services, price ceiling is the price of a product above which no manufacturing company or marketer is expected to sell any Product.

Rationing methods are methods used to control the sale or availability of the product to the consumer.

Queuing is rationing method which is based on the first come first serve, everyone is served According to the time he or she comes or signify interest.

Favouring Customers is.anotjer rationing technique it gives certain Customers some prevelegd based on some conditions.

Ration coupon is used to specify which Quantity can be issued to a customer at a given time.

7 0
3 years ago
Your job includes ordering phone service for new employees. You are considering two phone plans. The first plan charges $23.35 p
BabaBlast [244]

Answer:

$34.68

Explanation:

The total cost by following the first plan will be the charge per months times  12 months

= $23.35 x 12

= $280.2

The total cost from the second plan will be the cost of the first three months at  $14.99 plus the cost of 9 months at $29.99

=($14.99 x 3) + ($29.99 x 9)

=$44. 97 +$269.91

=$314.88

The first plan is the better deal. It will save

= $314.88 - $280.2

=$34.68

5 0
3 years ago
9. Benchmarking is
Ann [662]

Answer:

d. making comparisons to direct attention to why differences in costs exist across companies.

Explanation:

  • A benchmark is a simple comparison or evaluation of the business processes that measure productivity and time and costs.
  • Used to measure the performance using specific indicators like cost, productivity and time per unit also referred to as the best practice of increasing the performance of the company.
  • It has certain stages like the selection of subjects, definition of the process, identification of potential partners and collection of data.
4 0
4 years ago
You were asked to investigate extremely high, unexplained merchandise shortages at a department store chain. Classify each of th
Nutka1998 [239]

Answer:

(a) INDICATOR OF FRAUD

Explanation:

The reason is that the supervisor has an outside business setup related to the department's setup which gives rise to a conflict of interest.

8 0
3 years ago
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