Economic Policy
Monetary policy will never be effective if interest rates: not respond to a change in the money supply, and investment spending does not respond to changes in the interest rate.
An increase in the nation's money supply lowers interest rates, thus decreases the cost of doing business. With a higher return on investment, investment spending increases and so too does aggregate supply. As aggregate supply increases, aggregate demand increases and so prices go up. Thus real GDP and APL increase.
The control of money supply can be achieved with two main concepts. One is to lower interest rates and the other is to control spending.
The Answer is B) Steady and predictable changes in the money supply.
neither would lead to growth. a higher interest rate would deter firms from investing higher taxation would lead to lower consumption spending and less supply of labor. both bad.
Monetary policy will never be effective if interest rates: not respond to a change in the money supply, and investment spending does not respond to changes in the interest rate.
An increase in the nation's money supply lowers interest rates, thus decreases the cost of doing business. With a higher return on investment, investment spending increases and so too does aggregate supply. As aggregate supply increases, aggregate demand increases and so prices go up. Thus real GDP and APL increase.
The control of money supply can be achieved with two main concepts. One is to lower interest rates and the other is to control spending.
"Supply chain management software" (aka: SCMS) is a business term which refers to a whole range of software tools, programs, and modules used in executing supply chain transactions, managing supplier relationships and controlling associated business processes.
Supply chain management software is a business term which refers to a whole range of software tools or modules used in executing supply chain transactions, managing supplier relationships and controlling associated business processes. You can learn about them online or in school.
The Answer is B) Steady and predictable changes in the money supply.
market capital manpower technology availability of resources individual skills and interest supply of raw materials
supply sourcing refers to the number of procurement practices, aimed at finding, evaluating and engaging suppliers of goods and services. It is the process of contracting a business function to someone else.
The term, renal, refers to the kidney. Therefore, renal blood supply refers to blood supply of the kidney.
neither would lead to growth. a higher interest rate would deter firms from investing higher taxation would lead to lower consumption spending and less supply of labor. both bad.
when money supply is increased, interest rates decrease
Monetary policy is referred to as either being an expansionary policy, or a contractionary policy, where an expansionary policy increases the total supply of money in the economy, and a contractionary policy decreases the total money supply. Expansionary policy is traditionally used to combat unemployment in a recession by lowering interest rates, while contractionary policy involves raising interest rates in order to combat inflation. Monetary policy should be contrasted with fiscal policy, which refers to government borrowing, spending and taxation. More useful Information here: www.vinayakjobs.com .