Suppose that the central bank increases interest rates in an economy. How would this affect aggregate demand and inflation

Answers

Answer 1

Answer:

aggregate demand would fall and inflation would fall

Explanation:


Related Questions

Which statement is true about letters of credit?
OA. They are described in Article 4A of the UCC.
B. They are frequently used by new businesses.
C. They are issued by businesses to banks.
OD. They are used only for domestic transactions

Answers

Guessing it’s C. Not entirely sure!!

Answer:

B. They are frequently used by new businesses.

Explanation:

Letters of credit are frequently used by new businesses because they are new and can be a financial risk investment because of how unstable they can be when starting off. Letters of credit guarantees the safety of the payments to another a bank.

How has information technology impacted the economy? choose three answers. it has allowed economists to better predict how resources should be allocated. it has assisted governments to make better economic policy decisions. it has become more difficult for businesses to identify when shortages will occur. it has steadily increased the amount of time to share data between locations. it has expanded growth and outlook in information technology careers.

Answers

The IT impacted the economy by able to predict about resource allocation, governments policy decisions, employment in information technology sectors has grown.

What is information technology?

Anything relating to computing technology is referred to as information technology.

Information technology (IT) is the creation, process, storage, security, and sharing of all types of electronic data using computers, collection, connectivity, and various physical devices, infrastructure, and procedures.

Economists are more knowledgeable about how resources should be allocated. Economic policy decisions can be made more effectively by governments.

The number of persons working in the information technology industry has risen.

Therefore, option A, B, and E are correct.

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Answer:

option A, B, and E are correct

Explanation:

A domestic company creates a strategic partnership with a foreign company in order to enter a foreign market. Both companies share in ownership, control, and financial investments. This market entry strategy is known as ________.

Answers

When two companies come together strategically to operate is called a joint venture.

What is a Joint Venture?

A Joint simply put is when two separate entities or business agree to share resources with the aim of archeiving similar or one objective.

Mostly, this is carried out when a  company intend to enter a foreign market.

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1. Determine the amount of the impairment loss, if any. (Enter your answer in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5).)

Answers

The imparment value on the asset given the book value and the fair value of the asset is $-2.8 million.

What is the impairment loss?

An asset is impaired when its book value is greater than the total future cash flows. When an asset is impaired, in order to determine the impairment loss, subtract the fair value of the asset from the book value of the asset.

Impairment loss =  6.9 million - $9. 7 million = $-2.8 million

Here is the information that would be used to solve the question: Book Book value                                                  $9. 7 million

Estimated total future cash flows                    8.1 million

Fair value                                             6.9 million

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A decision-making process that managers use to determine how to invest the company’s funds in major capital assets, such as new facilities, equipment, and research and development projects is called.

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A decision-making process that managers use to determine how to invest the company’s funds in major capital assets is capital budgeting.

What is capital budgeting?

It should be noted that capital budgeting simply means the process undertaken by a business to evaluate investments.

In this case, the decision-making process that managers use to determine how to invest the company’s funds in major capital assets is capital budgeting.

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Talia, Shemp and Lola formed a corporation under the name Dependable Health Solutions, Inc., and advertise their services nationwide. All stock is owned by Talia, Shemp and Lola as principals, and none was offered to anyone outside the corporation. This would be classified as a

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Since All stock is owned by Talia, Shemp and Lola as principals, it would be classified as a municipal corporation.

What is municipal corporation?

municipal can be regarded as a corporation which is a large private corporation with many shares.

Therefore, the described corporation is a

municipal corporation because no share are sold to the public or traded on a stock exchange.

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Given beginning operating assets of $140,000, ending operating assets of $180,000, net operating income of $40,000, and tax expense of $8,000, return on investment is equal to

Answers

Answer:

25%

Explanation:

Net Operating Income÷Avg Invested Assets

AVG Invested assets=140,000+180,000÷2

40,000÷160000=25%

If the stock of money is $250 billion, velocity is 5, and the price level is 10, what is real output

Answers

The real output given the money supply, price level and the velocity of money is $125 billion.

What is the quantity theory of money?

The quantity theory of money states that the price of goods and services in an economy is directly proportional to the money supply.

Quantity theory of money: price x real output = money supply x velocity

What is the real output?

Real output = (money supply x velocity) / price

(250 billion x 5) / 10 =

$125 billion

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bank which must hold 100 percent reserves opens in an economy that had no banks and a currency of $150. If customers deposit $50 into the bank, what is the value of the money supply

Answers

Assuming the reserves opens in an economy that had no banks and a currency of $150.The value of the money supply is $150.

What is money supply?

Money supply can be defined as the flow of money or amount of money that is in circulation  in a country at a particular period of time.

Since the bank hold 100% reserve and a currency of $150 the value of the money supply will be $150.

Therefore the value of the money supply is $150.

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The hypothetical country of Villagestan has no imports, no income taxes, and current real GDP that equals $150 million . Calculate the new level of real GDP if investment spending increases by $13.5 million and the marginal propensity to consume (MPC) is 0.7 .

Answers

Based on the current level of GDP, the investment spending, and the MPC, the new level of the real GDP will be $195 million.

What is the new level of the GDP?

First find the investment multiplier as:

= 1 / (1 - MPC)

= 1 / (1 - 0.7)

= 3.333

The new level of GDP is:

= Current level of GDP + (Investment spending x Multiplier)

= 150 + (13.5 x 3.333)

= $195 million

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Davidson company received $80,000 from the issuance of bonds, paid cash dividends of $10,000, sold long-term investments for $12,000, and purchased new equipment for $19,000. What is the net cash flow from financing activities?.

Answers

Based on Davidson Company's cash from bonds, and cash dividends paid, the net cash flow from financing activities is $70,000.

What is the net cash from financing activities for Davidson Company?

The financing activities have to do with debt, and stock.

The net cash from financing acitivities is therefore:

= Bond issuance - Cash dividends paid

Solving gives:

= 80,000 - 10,000

= $70,000

In conclusion, the net cash from financing is $70,000.

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What is the value of contracting with celebrities to endorse the company's brand of athletic footwear?

Answers

The value added is that celebrity endorsement provides in increasing a company's sales and market share of branded footwear.

What does brand means?

A brand is the collective impact or lasting impression experienced by customers who come into contact with a company and its products and services.

It is a way of specially identifying your business because it create uniqueness to a company's image.

Hence, the value added is that celebrity endorsement provides in increasing a company's sales and market share of branded footwear.

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Glamor is a cosmetics company that uses a television program to explain the benefits of the company's unique skincare products developed over several years by a Beverly Hills dermatologist. The program shows a step-by-step process of daily skincare activities designed to improve a person's skin tone, wrinkles, and skin discoloration. This television _______ is a 30-minute or longer advertisement, which is relatively inexpensive to produce and air

Answers

The television infomercial is a 30-minute or longer advertisement, which is relatively inexpensive.

What is an infomercial?

An infomercial serves as a form of advertisement that educate the customer about a product.

Therefore, infomercial is a series of introduction as regards products via television.

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A kanban card is used to signal that: Select one: a. A machine has broken down. b. Work is needed from the preceding station. c. A worker has run out of parts. d. Work is ready to be moved to the next

Answers

A kanban card is used to signal that Work is ready to be moved to the next.

What a Kanban Card is used for?

The Kanban system or process is based on product signals throughout its production process from start to finish.

When a "customer service center" removes something from the store, a "kanban" or signal goes with the equipment. So this is a "pull" system that is driven by need.

Thus, A kanban card is used to signal that Work is ready to be moved to the next. Option D is correct statement.

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Anyone in the Marines or thinking of joining or any other military? Tell me about it, I hear the marines are the hardest one so If I did try that I don't know how I would survive. They are all hard but I don't know there is a lot of benifits like full college tuitions payed off, medical etc.

Answers

Answer:

well if you do good u will not be dead u know

Explanation:

Located on a college campus, Howie's Hot Dog Hut charges $3.99 for its deluxe dog basket. However, students receive a 10 percent discount off the price for showing their student ID. This is an example of

Answers

The discount offered to students who buy the hot dog is an example of price discrimination.

What is price discrimination?

Price discrimination is when the same product is sold at different prices to customers in different markets

Third degree price discrimination is when a firm charge different prices to different groups of customers. e.g. having a certain price for senior citizens, students

Here is the complete question:

Located on a college campus, Howie's Hot Dog Hut charges $3.99 for its deluxe dog basket. However, students receive a 10 percent discount off the price for showing their student ID. This is an example of

Multiple Choice

predatory pricing.

price fixing.

price inflation.

price discrimination.

deceptive pricing

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In 2020 a U.S. private entity reported $8 million of goodwill in last year's balance sheet. The entity has elected the accounting alternative for subsequent measurement of goodwill. How should the entity calculate its reported goodwill for the current year?

Answers

The private entity should calculate its reported goodwill for the current year by evaluating goodwill impairment.

What is goodwill impairment?

Goodwill impairment occurs when the carrying value of acquired goodwill on financial statements exceeds its fair value.

Accounting standards allow for the evaluation of goodwill impairment at the end of the financial period.

The evaluation of impairment shows the difference (impairment loss) between the carrying value and the fair value of goodwill, which reduces the book value of goodwill.

Thus, the private entity should calculate its reported goodwill for the current year by evaluating goodwill impairment.

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When filing an insurance claim, the policyholder must pay a ________________, which is the amount you owe before insurance will cover the rest of the bill.

Answers

Answer:

The answer is deductible.

Explanation:

When filing an insurance claim, the policyholder must pay a deductible, which is the amount you owe before insurance will cover the rest of the bill.

When filing an insurance claim, the policyholder must pay a deductible which is the amount you owe before insurance will cover the rest of the bill.

What is an insurance claim?

The official application to a financial institution for coverage or compensation for a covered loss or additional event made by a policyholder is called an insurance claim which helps an individual to recover from damages and losses.

Many insurance plans have deductibles which can be seen in, including health insurance, auto insurance, and homeowners insurance.  to help manage expenses by requiring policyholders to bear a portion of the financial burden A deductible is intended in the claim of any insurance.

Before insurance coverage begins, a policyholder must pay the deductible amount. When the deductible is met, the insurance coverage will pay the balance of the bill.

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Petra has been working in procurement for two years. She is interested in doing something new with supply chain operations that would build on her current skills. What would inhibit her from advancing her career

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The factor that would inhibit Petra, who works in procurement, from advancing her career in supply chain operations is her professional qualification.

How is supply chain management different from procurement?

Procurement concentrates on acquiring goods and services needed in an organization.

Supply chain management embraces all the activities involved in the procurement, production, and distribution of an organization's goods and services until they reach the end-users and create value for the organization.

Thus, the factor that would inhibit Petra, who works in procurement, from advancing her career in supply chain operations is her professional qualification and experience.

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The economic term for the want-satisfying ability, or value, that organizations add to goods or services is

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The economic term for the want-satisfying ability, or value, that organizations add to goods or services is utility.

What is utility?

Utility refers to the amount of satisfaction a consumer derive from the consumption of certain commodities.

It is the importance or value added to a product or service that helps gives the consumer useful information about all products and services.

Hence, the economic term for the want-satisfying ability, or value, that organizations add to goods or services is utility.

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In a resource constrained project, the work must be finished by a certain time, or date, as efficiently as possible. True False

Answers

In a resource-constrained project, the work must be finished by a certain time or date, as efficiently as possible: False

What is a resource-constrained project?

A resource-constrained project can be defined as any form of limitation of inputs or risks that are related to resources, which may serve as an obstacle to the successful completion of a project in due time.

This ultimately implies that, it is false to say that the work must be finished by a certain time or date, as efficiently as possible in a resource-constrained project.

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When trying to assess whether an applicant will be a good performer, managers utilize interviews, background information, paper-and-pencil tests, and references, which are known as _____

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When trying to assess whether an applicant will be a good performer, managers utilize Selection Tools.

What selection tools?

Selection is the process that managers in all organizations use to determine:

The qualifications of job applicants. Their performance potential.

The known selection tools include:

Paper-and-pencil testsPhysical abilities testPerformance testsBackground informationInterviewsReferences.

Thus, when trying to assess whether an applicant will be a good performer, managers utilize interviews, background information, paper-and-pencil tests, and references, which are known as Selection Tools.

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A ________ would most like argue in favor of more progressive taxation, strong reproductive rights, and foreign aid to poorer nations.

Answers

A socialist would most like argue in favor of more progressive taxation, strong reproductive rights, and foreign aid to poorer nations.

Who is a socialist?

Socialist is a person that stand to fight and support the poorer nations for their maximum rights and access to essentials in which other nations benefits from.

They support and fight for them in terms of progressive taxation, reproductive Rights and so on.

Therefore, socialist would most like argue in favor of more progressive taxation, strong reproductive rights, and foreign aid to poorer nations.

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Question 10 of 10
What is one of the main benefits of using slide transitions?

Answers

Answer:

they have a timer function that can help your presentation stay on pace.

Fred Jones withdraws $1,000$1,000 in cash from his savings account. What immediate effect does this transaction have on the monetary aggregate measures of M1M1 and M2M2 ?

Answers

The withdrawal of $1,000 in cash will lead to increase in the money supply, which results in increase in M1 money and decrease in M2 money.

What is M1 and M2 money in economics?

The M1 includes money in circulation and checkable bank deposits. The M2 includes a M1 savings deposit (under $ 100,000) as well as money market funds.

The immediate effect this transaction have on the monetary aggregate measures of M1M1 and M2M2 is that there will be increase in money supply in the economy which will increase the M1 money.

On the other hand, it will decrease the money in the savings accounts. leading to reduction of M2 money by the same amount.

Thus,The withdrawal of $1,000 in cash will lead to increase in the money supply, which results in increase in M1 money and decrease in M2 money.

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A company sells a product for $3. Direct materials are $1.80 per unit. The company prepares a flexible budget at two sales volumes. At a sales volume of 50 units, budgeted direct materials will be $ . At a sales volume of 60 units, budgeted direct materials will be $

Answers

Answer:

$150 for budgeted direct materials and $180 for budgeted direct materials.

Explanation:

You take direct materials of 1.80 x sales volume of 50 units= budgeted direct material $90

To find a sales volume of 60 units, you take $1.80 of direct material X sales volume of 60 units= budgeted direct material of 108.

In the Toyota Production System, waste and inefficiency are referred to as __________, and the ongoing effort to reduce this is referred to as __________. jidoka; heijunka muda; kanban kaizen; heijunka muda; kaizen muda; jidoka

Answers

Toyota has one of the finest production system of cars in the world.

It constinuously strives to improve its production lines and waste managements.

The waste and inefficiency are refetrred to as Muda and the company makes ongoing efforts to reduce this is known as Kaizen.

Muda

It is a Japanese term which is used for uselessness.  Toyota tries to manage and allocate its resources effectively so that its waste is limited.

Kaizen

It is a Japanese term which means continuous improvement.

Toyota follows this technique iin its production so that its allocates optimal resources and produces minimum possible waste which leads to increased profitability.

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Diego wants to expand his business to build a warehouse and office building for $2 million. He'll use the 5 acre property he owns and currently rents to a local cattle rancher for $5,000. What are the implicit costs of of this expansion

Answers

The rents of $5,000 that Diego currently receives from the local cattle rancher are the implicit costs of this expansion.

What is an implicit cost?

An implicit cost can e described as the opportunity cost that a company must forgo in order to use a factor of production that it already owns and hence does not have to pay rent for it.

In this case, the implicit costs are the $5,000 rents Diego currently receives from the local cattle rancher

Implicit cost is the polar opposite of an explicit cost which is paid directly such as the $2 million Diego wants to build a warehouse and office building.

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Otto is one of many employees working from home. Because his home is located in a rural area, the only form of connectivity available is dial-up. To connect to his office located in an urban community, what must the IT department set up

Answers

Given that the only type of connectivity that they have is a dial upo, it would be necessary for the IT department to set up a remote access network.

What is a remote access network?

This type of network is the type that gives the ability to use the system or a given network even tough one is not present at the time.

This is a network that allows one to work while thaey are offline. This type of network would be good for Otto.

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The stock of Yakir Development has a beta of 1.31. The risk-free rate of return is 1.5 percent and the market rate of return is 8 percent. What is the risk premium on this stock

Answers

The risk premium of a stock of Yakir Development given its beta, risk free rate of return and market rate of return is 6.5%.

What is the risk premium?

A stock is used to raise capital by public companies. Stocks gives its holders an ownership right in the company.

The risk premium is the rate of interest in excess of the risk free rate that investors demand for holding a risky stock.

Risk premium = market rate of return - risk free rate

8 - 1.5 = 6.5%

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