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How is the supply of money measured and what factors are taken into account in determining its quantity?

The supply of money is measured by the total amount of currency in circulation, plus deposits in banks. Factors taken into account in determining its quantity include the amount of currency printed by the government, the reserves held by banks, and the level of economic activity affecting the demand for money.


Are any other entities outside the OPEC nations involved in the production and sa le gasoline?

OPEC nations account for two-thirds of the world's oil reserves. Other entities include Mexico and the North Sea area. ChaCha!


Why balance of payment is always balanced?

balance of payments consists two accounts namely current account and capital account. The current account deals with import of visible and invisible items and unilateral transfers. a surplus in this accounts makes a country's BOP a surplus and a deficit in this accounts indicates that the country's BOP is deficit. The capital account indicates the capital movements of that country with other countries. it also shows the countries gold and other reserves. a surplus and a deficit in the current accounts increases and decreases the reserve and so the balance of payments is equalised always. so when we say that BOP is deficit we mean only the current account in the BOP. because BOP will always be equalised.


Why a country is better off running a current account surplus rather than a current account deficit?

A country running a current account surplus is typically better positioned economically, as it indicates that it exports more goods and services than it imports, leading to stronger domestic production and job creation. This surplus can enhance foreign exchange reserves, providing a buffer against economic shocks and greater investment opportunities. Conversely, a current account deficit may signal over-reliance on foreign capital, increasing vulnerability to external economic fluctuations and potentially leading to debt sustainability issues. Overall, a surplus can contribute to long-term economic stability and growth.


How does the reserve requirement affect interest rates?

The reserve requirement affects interest rates by impacting the money multiplier and monetary base. With more money in the system, interest rates will be lower, with a higher reserve interest rates will be higher. Also if a bank has to keep for example 50% reserves then they can only lend out and collect interest on 50% of their money which means that the rate charged to borrowers will have to be significantly higher.

Related Questions

Collect data on India's current account balance capital balance account and forex reserves for the period 2001-2006 and list the major features?

pls send answer


What are India's account balances and major features of their account balance and capital account balance and Forex reserves for 2001 to 2006?

1. capital account balance and forex reserves for the period 2001-2006 and list the major features.


Collect data on India's current account balance capital account balance and forex reserves for the period 2001-2006?

Collect data on India's current account balance capital account balance and forex resevers for a period 2001-2006?


'What is India's current account balance capital account balance and forex reserves for the period 2001-2006 and list the major features?

data on indias current account balance for period 2001-2006


India's current account balancecapital account balance and forex reserves for the period 2001-2006 and list the major features?

please send the answer to enable me submit the assignment to ignou MBA programme


What is journal entry to taking funds to reserve account?

[Debit] Net income account [Credit] General Reserves


Collect data on India's current account balancecapital account balance and forex reserve for the period of 2001-2006 and list the major features?

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Where on the earth are the largest reserves of coal found?

The largest reserves of coal are found in the United States, Russia, Australia, China, and India. These countries account for the majority of the world's coal reserves.


India's current account balance capital account balance and forex reserves for the period 2001-2006 and list the major features?

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How do you collect judgment money from a levied account?

Court


What is the accounting entry for booking homeowners association restricted reserves?

Read your governing documents to determine how 'restricted reserves' are treated as accounts. Often, and state laws can dictate -- that 'restricted reserves' are mandated to be kept in separate accounts, in a bank, for example. Whether these are 'maintenance reserves' , 'capital reserves' or 'insurance deductible reserves', your chart of accounts should differentiate (each of) them from the association's operating account.


How can you collect on a check written to you from a closed account in Arizona?

No you cannot.