If people thought that many banks in a certain country were at or near the point...
If people thought that many banks in a certain country were at or near the point of bankruptcy, then that country’s interest rate
a. and net exports would rise.
b. would rise and its net exports would fall.
c. and its net exports would fall.
Homework Answers
Answer
Option a
a. and net exports would rise.
the people will take out most of the savings from banks so the supply of loanable funds decreases and interest rate increases which decreases consumption and investment in the country so the price level decreases and exports increase whereas imports decreases so the net export increases.
Add Answer to:
If people thought that many banks in a certain country were at
or near the point...
in this question,i thought at minimum wage rate 8$ rate there is more people to apply...
in this question,i thought at minimum wage rate 8$
rate there is more people to apply to jobs,but at 5$ people are
more reluctant to apply for jobs,so 8$ labor force increases but at
5$ unemployment rate would increase.
Is this approach true? Which variables ffected by setting minimum
wage price in macroeconomics? Thank you
Figure 20-1 Price (dollars per hour) $8.00 6.50 5.00 0 8 10 12 Labor (millions of workers) 47) Refer to Figure 20-1. Based on the...
Suppose a country wants to maintain its exchange rate at the current level, but it is...
Suppose a country wants to maintain its exchange rate at the current level, but it is worried that market forces will push it down (that is, make the currency less valuable relative to other countries’ currencies). (This is a problem that countries commonly face. A recent examplewas in Russia in 2014-15.) In an attempt to keep the exchange rate from falling, the country’s central bank adopts a tight money policy. 8. Quick review: if the central bank adopts a tight money policy, do interest...
The 2010 census in a certain country counted 293,833,709 people and there were 3,211,602 births that...
The 2010 census in a certain country counted 293,833,709 people and there were 3,211,602 births that year a) Compute the ratio of births to population and scale the second quantity to 1,000. This is known as the birth rate b) The birth rate in part a) is 3% lower than the 2009 birth rate. Why is the birth rate lower in 2010 even though the population increased between 2009 and 2010 c) Why are the fertility rates in the given...
Suppose a country reduces restrictions on how many hours people can work. If reducing these restrictions...
Suppose a country reduces restrictions on how many hours people can work. If reducing these restrictions increase the total number of hours worked in the economy, but all other factors that determine output are held fixed, then a. productivity falls and output rises. Selected:b. productivity rises and output falls.This answer is incorrect. c. productivity and output both rise. d. productivity and output fall.
1. The interest rate on Treasury bills (with short maturities) can be thought of as the...
1. The interest rate on Treasury bills (with short maturities) can be thought of as the opportunity cost of holding (non-interest bearing) money. We think of the money stock as being determined by the Federal Reserve. In the liquidity preference graph, we put the interest rate on the vertical axis and the amount of money supplied and demanded on the horizontal axis. An increase in the money supply a. shifts the demand for money curve to the left, which causes...
Suppose that banks are less able to raise funds and so lend less. Consequently, because people...
Suppose that banks are less able to raise funds and so lend less. Consequently, because people and households are less able to borrow, they spend less at any given price level than they would otherwise. The crisis is persistent so lending should remain depressed for some time. If nominal wages are sticky, which of the following helps explains the change in output? a. real wages fall, so firms choose to produce less b. real wages fall, so firms produce more...
10. In the 1970s "Great Inflation", inflation was increased because Policy makers thought potential output was...
10. In the 1970s "Great Inflation", inflation was increased because Policy makers thought potential output was higher than it actually turned out to be and policy shifted the AD curve to the left Policy makers thought potential output was lower than it actually turned out a. b. to be and policy shifted the AD curve to the left Policy makers thought potential output was lower than it actually turned out to be and policy shifted the AD curve to the...
1. Which statement best predicts the effects of an increase in the supply of loanable funds?...
1. Which statement best predicts the effects of an increase in the supply of loanable funds? a. The interest rate and the real exchange rate both increase. b. The interest rate and the real exchange rate both decrease. c. The interest rate increases, and the real exchange rate decreases. d. The interest rate decreases, and the real exchange rate increases. 2. Which statement is consistent with an above-the-equilibrium exchange rate of the...
1. Although there were very large losses experienced by many financial firms, it was clear which...
1. Although there were very large losses experienced by many financial firms, it was clear which firms would lose, and the amounts they would lose. This "certainty" reduced the economic impact of the "crisis." True False 2. The interest rate on very short term loans between banks (LIBOR = London Interbank Offered Rate) increased during the financial crisis. True False 3. Dr. Bernanke argued two problems contributing to the financial crisis included: Group of answer choices banks reliance on long-term...
what did Keynes think about business people? a. he thought that they were very entrepreneurial. b....
what did Keynes think about business people? a. he thought that they were very entrepreneurial. b. he respected their bold and decisive leadership c. he thought that they were very sensitive to change in real interest rates d. he thought that they were very practical e. he thought that they were rather unimaginative followers (rather than leaders) when it came to investment decision-making d. he thought that thy were very practical e. he thought they were rather unaimagive follower (rather...
in this question,i thought at minimum wage rate 8$
rate there is more people to apply to jobs,but at 5$ people are
more reluctant to apply for jobs,so 8$ labor force increases but at
5$ unemployment rate would increase.
Is this approach true? Which variables ffected by setting minimum
wage price in macroeconomics? Thank you
Figure 20-1 Price (dollars per hour) $8.00 6.50 5.00 0 8 10 12 Labor (millions of workers) 47) Refer to Figure 20-1. Based on the...
The 2010 census in a certain country counted 293,833,709 people and there were 3,211,602 births that year a) Compute the ratio of births to population and scale the second quantity to 1,000. This is known as the birth rate b) The birth rate in part a) is 3% lower than the 2009 birth rate. Why is the birth rate lower in 2010 even though the population increased between 2009 and 2010 c) Why are the fertility rates in the given...
1. The interest rate on Treasury bills (with short maturities) can be thought of as the opportunity cost of holding (non-interest bearing) money. We think of the money stock as being determined by the Federal Reserve. In the liquidity preference graph, we put the interest rate on the vertical axis and the amount of money supplied and demanded on the horizontal axis. An increase in the money supply a. shifts the demand for money curve to the left, which causes...
10. In the 1970s "Great Inflation", inflation was increased because Policy makers thought potential output was higher than it actually turned out to be and policy shifted the AD curve to the left Policy makers thought potential output was lower than it actually turned out a. b. to be and policy shifted the AD curve to the left Policy makers thought potential output was lower than it actually turned out to be and policy shifted the AD curve to the...
Most questions answered within 3 hours.
-
Where is the error in this code sequence?
String s1 = "Hello";
String s2 = "ello";...
asked 11 months ago -
Financial data for Joel de Paris, Inc., for last year
follow:
Joel de Paris, Inc.
Balance...
asked 11 months ago -
Consider this reaction:
Al2(SO4)3 (aq)+ BaCl3
(aq) Al2Cl6 (aq)- +
3BaSO4(s) . What is the...
asked 11 months ago -
Suppose that Savneet is considering increasing her
recent random sample from 20 car rentals to 40...
asked 11 months ago -
Trucks arrive at an unloading terminal at an average rate of 120
per hour.
Trucks arrive...
asked 11 months ago -
Why are methanol and ethanol completely soluble in water while
octanol is not very little soluble....
asked 11 months ago -
A facilities manager at a university reads in a research report
that the mean amount of...
asked 11 months ago -
When the CuSO4 is rehydrated by adding water to the anhydrous
compound, is this an endothermic...
asked 11 months ago -
A ray of sunlight is passing from diamond into crown glass; the
angle of incidence is...
asked 11 months ago -
A block of mass 0.249 kg is placed on top of a light, vertical
spring of...
asked 11 months ago -
how do the kidneys compensate in the presences of acidosis
a) trigger hyperventilate
b) reserve acid...
asked 11 months ago -
Question 501 pts
The rental rate of capital to the firm increases. Which of the
following...
asked 11 months ago