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How do people contribute to the supply of credit in the economy?
Wiki User
∙ 10y ago
People contribute to the supply of credit in an economy by offering loans to consumers. These would be banks, credit unions, payday loan companies, etc. Consumers contribute to the supply of credit by borrowing money and paying interest, sometimes at very high interest rates.
Wiki User
∙ 10y ago
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What are the advantages of VAt?
make your economy grow faster....and to supply the needs of the people..also to increase the fund of economy
Why does an economy's strength ultimately reside in its people?
People choose which goods to supply and what goods to demand; they supply labor and develop new technologies.
What is the concept of economy?
The concept of Economy is supply equals demand. Without demand there would be no supply which helps make up the economy.
How do changes in interest rates affect the money supply?
When the interest rates are high, people would prefer to save than holding money. That means money supply in the economy is decreased. Whereas when the interest rates are low people prefer to hold money and spend, means increased money supply in the economy.
What is supply and demand economy?
Supply is how much of the product an economy has. The demand is how much the people need the product. These two make the price. Let's say the supply is high and demand is low, the price would be low. If it was the other way around, price would be higher.
What is one way people contribute to the supply of credit in the economy?
By offering loans, saving money, or, in some cases, investing.
What factor did not contribute to the industrial revolution in England economy experienced?
forest and woods were in great supply
How does the colorado river contribute to the local economy?
The Colorado river give to the local economy in a few ways. The most common way is with water supply.
What are the advantages of VAt?
make your economy grow faster....and to supply the needs of the people..also to increase the fund of economy
Why does an economy's strength ultimately reside in its people?
People choose which goods to supply and what goods to demand; they supply labor and develop new technologies.
How do changes in interest rates affect money supply?
When the interest rates are high, people would prefer to save than holding money. That means money supply in the economy is decreased. Whereas when the interest rates are low people prefer to hold money and spend, means increased money supply in the economy.
What is the concept of economy?
The concept of Economy is supply equals demand. Without demand there would be no supply which helps make up the economy.
Supply has the potential to contribute to what?
Supply has the potential to contribute to demand. When a product is highly demanded, but the supply is low, a producer can increase their price. This process will increase revenue for the business.
How do changes in interest rates affect the money supply?
When the interest rates are high, people would prefer to save than holding money. That means money supply in the economy is decreased. Whereas when the interest rates are low people prefer to hold money and spend, means increased money supply in the economy.
What is supply and demand economy?
Supply is how much of the product an economy has. The demand is how much the people need the product. These two make the price. Let's say the supply is high and demand is low, the price would be low. If it was the other way around, price would be higher.
What does the economy produce Whatever people are willing to buy?
The concept of demand and supply comes into play in the economic arena when it comes to production and consumption pattern. The demand plays a crucial role and the break even is necessary in the economy. The demand curve always follows negative slope while the supply has a positive slope. The more the demand, the more would be the supply. So as we see that demand and supply are directly proportional and economy produces what people are willing to buy.
What is a group of people who wanted the new government to have a lot of control over the economy and the money supply?
Democratic
