Margin requirements for deflationary gap
Elucidate the role of margin requirements for correcting deflationary gap.
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Deflationary gap terms to a situation whenever at full employment level of income AD falls/downs short of AS. It is termed as deficient demand.
Margin requirements terms to the margin on the security given by the borrower. Whenever margin is lower, the borrowing capacity of the borrower is higher. If central bank lowers the margin then the borrowing capacity of the borrowers increase. This increase AD.
Lowered interest rates since households have determined to save more tend to: (1) give incentives for financial investors to switch by stock to bonds. (2) reduce the optimal level of economic investment. (3) discourage investments in new residential c
Can someone please help me in finding out the precise answer from the following question. The ‘error of omission’ takes place when: (1) Managers pursue policies which outcome in layoffs. (2) Corporations vend more stock than is really available. (3) Manage
I have a problem in economics on Supply of Labor: Income and Substitution Effects. Please help me in the following question. When the income effect of higher wage rate is more influential than the substitution effect, then: (1) The supply curve of labor is positively
Production within a competitive market system tends to be: (1) a process that exploits labor to the maximum. (2) geared to respond to the whims of central planners. (3) relatively efficient and low cost. (4) highly automated because labor costs more t
A bond which pays a fixed annual income always is: (w) an eternity. (x) a perpetuity. (y) worthless. (z) infinitely valuable. Can anybody suggest me the proper explanation for given problem regarding Econom
Into equilibrium, a monopoly which does NOT price discriminate will tend to produce: (w) the socially optimal rate of output. (x) a level of output where price exceeds marginal social cost. (y) lower output at lower prices than a competitive market. (
The firm's objective within price discrimination is to: (w) make the community better off economically. (x) make several consumers better off economically. (y) increase revenue and profit. (z) minimize average cost. Q : Means of GDP Provide the solution of Provide the solution of this question. The GDP is the: A) monetary value of all final goods and services produced within a nation in a particular year. B) national income minus all nonincome charges against output. C) monetary value of all economic resources used in p
Provide the solution of this question. The GDP is the: A) monetary value of all final goods and services produced within a nation in a particular year. B) national income minus all nonincome charges against output. C) monetary value of all economic resources used in p
Price floor: Price floor refers to the lowest amount price fixed by the government over the market determined price and hence the producers of the necessary items such as wheat, rice and so on might not experience losses.
The areas illustrates in this Lorenz diagram can be used to compute a Gini index as: (i) (cow + pig)/cow. (ii) cow2/(cow + pig). (iii) pig2/(cow + pig). (iv) cow/(cow + pig) (v) (cow + horse)/pig. Discover Q & A Leading Solution Library Avail More Than 1439326 Solved problems, classrooms assignments, textbook's solutions, for quick Downloads No hassle, Instant Access Start Discovering 18,76,764 1947311 Asked 3,689 Active Tutors 1439326 Questions Answered Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!! Submit Assignment
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