Answer
The answer and procedures of the exercise are attached in the following archives.
Explanation
You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.
Answer:
c. lower unemployment and higher inflation.
Explanation:
Since Country A's LRPC lies to the left of Country B's LRPC, it implies that its natural rate of unemployment is less than that of Country B's. Also Country A's money supply growth rate is higher. This suggests that Country A will have a higher inflation and a lower unemployment rate. Attach below is the graph illustration.
Answer:
There are three types: Earned, Capital gains and passive
Explanation:
Earned: Requires you to trade time for money but can be earned quickly.
Capital Gains: Can be earned without ACTIVE work but takes a longer time. You get this by selling something/
Passive: Can be earned without ACTIVE work but takes a longer time. You get this after just one and investment that pays steadily like stock dividends.
For example, you could earn earned income from working a job, capital gains from buying and then selling a stock and passive income from stock dividends.
The loan I would select is loan A. This is because it has a lower effective annual rate.
<h3>Which loan would I select?</h3>
The loan I would select would be the cheaper one. In order to determine the cheaper loan, I would calculate the effective annual rate. The effective annual rate is the actual interest rate that is paid on a loan.
Effective annual rate = (1 + APR / m ) ^m - 1
Where: M = number of compounding
Loan A = ( 1 + 0.0775/365)^365 - 1 = 8.06%
Loan B = (1 + 0.08/2)^2 - 1 = 8.16%
To learn more about the effective annual rate, please check: brainly.com/question/4064975
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