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Liquidity and the multiple contraction of deposits
Many of the instruments of monetary policy depend upon limiting liquidity, which has a multiple effect upon bank' deposits through their liquidity ratios. If however, banks keep surplus liquidity this will protect them against such measures as open market operations and special deposits.
The efficacy of open-market sales is also affected by who purchases the securities. For open-market sales to be effective it is necessary that sales to be the general public, if the securities are bought by the banks they will have little effect upon their liquidity since most of them count as liquid assets.
types of elasticity
construct a decision tree for the baked potatoes outlet using sales per day, number of days that quantity is sold together with selling prices per unit and average costs
bargaining power of customer for a cement company
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Average Propensity to save The Average Propensity to Save [APS] is defined as the fraction of aggregate national income which is devoted to savings. Thus if S denotes savin
Arc Elasticity Is the average elasticity between two given points on the curve, i.e. Because of the negative relationship between price and quantity demanded, pr
A firm producing hockey sticks has a production function given by X = 2 KL In the short-run, the firm's amount of capital equipment is fixed at K = 1000. The rental rate fo
Pragmatic Managerial economics Managerial economics is pragmatic. In pure micro-economic theory, analysis is performed, based on certain exceptions, which are far from reality
Q10000-50p
In the short-run the firm can't modify or change overhead factors like equipment, plant and scale of its organisation. In the short-run output can be decreased or increased by chan
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