Loanable funds market will result in shift in supply

Assignment Help Business Economics
Reference no: EM131090883

Please decide whether each of the follow scenarios related to the loanable funds market will result in a shift in supply or a shift in demand. China decides to reduce its capital investment in the United States as it expects low returns do to a weak U.S. economy. Calopolis, a college town in Northern California, has for many years banned the presence of fast food restaurants in city limits. As of 2012, however, the city will allow several fast food companies to open franchised locations. Due to an increase in revenues after a tax hike, the United States is able to eliminate the deficit and begins to maintain a balanced budget for the first time in several decades. As a result of a stock market boom, individuals begin to feel richer and spend more while also saving less.

Reference no: EM131090883

Questions Cloud

According to transparency international : According to Transparency International (2014) Why do you think the U.S. does not have a perfect score? What does it need to do to improve its corruption perception index?
Renovated area of hometown : You are a small business owner and you recently opened a restaurant in a newly renovated area of your hometown.  One of your co-owners recently asked you what your risk mitigation plan was and you didn't have an answer so you did some research on ..
Handbook on effective employee management : How prevalent do you find "making employees number one" to be? Do you think it is common? Why or why not? Is it a lack of knowledge, ignorance, or arrogance? You would think that this concept was easy to understand. Do you think today's managers and ..
Designing an incentive plan : Imagine you are designing an incentive plan for your organization's (or an organization of your choice) middle managers. Create both short-term and long-term incentives,
Loanable funds market will result in shift in supply : Please decide whether each of the follow scenarios related to the loanable funds market will result in a shift in supply or a shift in demand. China decides to reduce its capital investment in the United States as it expects low returns do to a weak ..
Health services finance-cash and working capital : Complete an APA-formatted two-page paper (not including the title and reference pages) answering the following questions. What are four general phases of the working capital cycle?
Ethics impact business relationships : How does ethics impact business relationships within an organization? How can leaders and their leadership styles impact the ethical practices within an organization? How does ethics impact an organization's overall culture?
How policy affects equilibrium price and quantity of small : To reduce the construction of big luxury apartments, the Chinese government requests that at least 70% of the new apartments must not exceed 90 square metres. Use a diagram to show and explain how this policy affects the equilibrium price and quantit..
Ethics impact business relationships : How does ethics impact business relationships within an organization? How can leaders and their leadership styles impact the ethical practices within an organization? How does ethics impact an organization's overall culture?

Reviews

Write a Review

Business Economics Questions & Answers

  Detriments of each form of control

if they use a regulation should they allow for pollution permits? explain the benefits and detriments of each form of control. what would you recommend?

  Estimate that the production function

The BlackBerry production function is Q = 2.83L1.52K0.82. Epple et al. (2010) estimate that the production function for U.S. housing is q = 1.38L0.144M0.856, where L is land and M is an aggregate of all other mobile, non-land factors, which we call m..

  Principles of the keynesian model

Applying the principles of the Keynesian model, what specific economic policies would you propose to accomplish these goals.

  What single amount on july is equivalent to this system

The nominal interest rate is 12% compounded semi-annually. What single amount on July 1, 2015 is equivalent to this cash flow system?

  Compete in a cournot duopoly

Firms 1 and 2 compete in a Cournot duopoly. If firm 2 adopts a strategy that raises firm 1's marginal cost:

  Future value of the payment

If a payment received two years from now has a present value of $200 and the annual interest rate on the payment is 5 percent, then the future value of the payment.

  Accumulated large amounts of savings

When the Federal Republic of Germany (West Germany) absorbed the German Democratic Republic (East Germany) in 1990, residents of East Germany had accumulated large amounts of savings. Papers in the United States explored why East Germans saved so muc..

  Assume that the default probability for a company

Assume that the default probability for a company in a year, conditional on no earlier defaults is X and the recovery rate is R. The risk-free interest rate is 5% per annum. Default always occur half way through a year. The spread for a five-year pla..

  Show the quantity of domestic production of apples

Initially Country A imports apples because the world price (PW, blue) is below the price that would apply (PA), in the absence of trade, in A; illustrated in diagram 1. Consumer and producer surplus are shaded in green and yellow respectively. show t..

  If the growth rate of the money supply

If the growth rate of the money supply is 6?%, velocity is? constant and real GDP grows at 4?% per year on? average, then the inflation rate will be what %? If the growth rate of the money supply increases to 18?%, velocity is constant and real GDP g..

  Who benefits from a tariff or quota who loses

Who benefits from a tariff or quota? Who loses? Why would domestic markets benefit from protectionist trade policies? How do protectionist trade policies affect a government’s wealth and fiscal policy?

  Paper or metallic currency will disappear entirely

Even though the use of checks lower transaction costs when compared to the use of paper currency, it is unlikely that the use of paper or metallic currency will disappear entirely. Why?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd