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What will interest rates do if the demand for money in the money market exceeds the supply?
Wiki User
∙ 14y ago
If the demand for money is greater than the supply, interest rates will go up.
Whenever the demand for anything is greater than the available supply, the price goes up.
Wiki User
∙ 14y ago
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What is a market interest rate?
The market interest rate is the rate of interest on cash deposits or loan which is determined by the market. Factors such as demand and supply of cash in the market
How do you solve when demand exceeds supply?
Make or stock more but sell higher until supply meets demand, usually selling at a fair market price will cause higher volumes of sales because more can afford it. Conversely, too much supply will cause you to sell for less until demand meets supply !
When demands exceeds supply is called what?
supply or demand <3
Is Supply and demand the same as supply exceeds demand?
Supply and demand is an economics tool used graphically to demonstrate the relative effects on market price generated by the quantity of supply and the quantity of demand. Supply exceeding demand generally is shown, again graphically, to lower market price. On the other hand, demand exceeding demand generally results in a higher market price. Verbally, the supposition can be stated, "as supply increases, given that demand remains static, price will fall. as demand increases, while supply remains static, prices will rise. as supply decreases, while demand remains static, prices will rise. as demand decreases, while supply remains static, prices will fall.
In a free market supply and demand determines?
The brilliant thing is that no-one has that job. The buyers determine the demand, without colluding, and the sellers determine the supply. If they get it right, demand equals supply. If demand exceeds supply, people have to queue up. People at the back might shout out that they will play a higher price, so they jump the queue and that drives the price goes up. If supply exceeds demand, some sellers might shout out that they will sell more cheaply than the rest, and that drives the price down.
What is a market interest rate?
The market interest rate is the rate of interest on cash deposits or loan which is determined by the market. Factors such as demand and supply of cash in the market
How do you solve when demand exceeds supply?
Make or stock more but sell higher until supply meets demand, usually selling at a fair market price will cause higher volumes of sales because more can afford it. Conversely, too much supply will cause you to sell for less until demand meets supply !
When demands exceeds supply is called what?
supply or demand <3
In which situation is a forest most likely to be sustainable?
When supply is greater than demand
Is Supply and demand the same as supply exceeds demand?
Supply and demand is an economics tool used graphically to demonstrate the relative effects on market price generated by the quantity of supply and the quantity of demand. Supply exceeding demand generally is shown, again graphically, to lower market price. On the other hand, demand exceeding demand generally results in a higher market price. Verbally, the supposition can be stated, "as supply increases, given that demand remains static, price will fall. as demand increases, while supply remains static, prices will rise. as supply decreases, while demand remains static, prices will rise. as demand decreases, while supply remains static, prices will fall.
When would a forest be sustainable?
When supply exceeds demand
In a free market supply and demand determines?
The brilliant thing is that no-one has that job. The buyers determine the demand, without colluding, and the sellers determine the supply. If they get it right, demand equals supply. If demand exceeds supply, people have to queue up. People at the back might shout out that they will play a higher price, so they jump the queue and that drives the price goes up. If supply exceeds demand, some sellers might shout out that they will sell more cheaply than the rest, and that drives the price down.
When demand exceeds supply are there any instances where prices wouldn't be raised?
When demand exceeds supply, prices will usually increase. However, prices may not increase if the sellers are non-profit organizations.
What determines supply and demand in the foreign-exchange market?
Supply and demand in the foreign-exchange market are determined by changes in many market variables, including relative price levels, real interest rates, productivity, product preferences, and perceptions of economic stability.
If supply exceeds demand for a product what economic explation occurs?
demand decreases and price will decrease.
What was the key ideas of free-market system?
the law of self-interest the law of competition the law of supply and demand
What was the key idea of free market system?
the law of self-interest the law of competition the law of supply and demand
