Q1 1. Assume that the current interest rate is 8%. Let’s say that investors know that normally interest rates are 10%. How would this affect investors’ decisions with regard to how much money and bond holdings to keep? Investors will want to hold more cash instead of bonds. Because the investors know that normally interest rates are 10% which is more than the current interest 8%. That is to say investors expect the interest rates would increase in the future which will cause the decrease of value
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1. Distinguish between an absolute advantage and a comparative advantage. Cite an example of a country that has an absolute advantage and one with a comparative advantage. Absolute advantage is when a monopoly exists in a country when it is the only source and product of an item. Meanwhile‚ a comparative advantage is when a country can supply products more efficiently and at a lower cost than it can produce other items. South Africa has an absolute advantage because of its diamonds. The United States
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the BBC’s Panorama show to raise awareness to the public eye. This included the perspective of the families of some of the victims‚ Professor Tim Mansell and a former senior Nurse at Winterbourne Terry Bryan. The Guardian news paper‚ (plus other mainstream news papers) made a large report on this that was made public on the internet too. (http://www.theguardian.com/society/2012/oct/26/winterbourne-view-care-staff-jailed). There were also two follow up articles related to this on what happened to
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Unit 4222-203 Introduction to equality and inclusion in health‚ social care or children’s and young person’s settings Outcome 1 Understand the importance of equality and inclusion Diversity Diversity in the modern world is an understanding that each individual is unique and that each individual will have his or her own needs. Encompassed under the heading diversity come the categories in which we all have to learn acceptance and respect. The categories are as follows. * Race * Ethnicity
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Macro economics 1876 to 1929 (Classical theory) Then great depression happened. US AND UK changes US - Tax increase by Herbet Hoover UK- No change‚state wouldn’t intervene Then Keynes came into picture 1.Get govt to spend on public works program which is relatively cheaper 2.Put money into the hands of the people‚increase in the consumption The problem is that of lack of aggregate demand.He gave a fiscal policy kind of solution..Why? Aggregate demand was tackled.. Either through
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am contacting you today to see if there is anything you can do about my grade in accounting 203. I am not sure you are aware of this but my father passed away a few weeks ago while I was in the course and I had to miss a week and a half of class. Before his passing I was doing well in the course and I received a 89 on the first exam‚ but after his passing and missing class and dealing with his estate my final was a 50 and I looked on banner and saw I received a 76 for the course. I am not saying I
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Fundamentals of Macroeconomics Fundamentals of Macroeconomics Throughout this paper I will provide an explanation of the following terms: Gross domestic product (GDP)‚ Real GDP‚ Nominal GDP‚ Unemployment rate‚ Inflation rate‚ and Interest rate. Within this paper I will consider purchasing of groceries‚ massive layoff of employees‚ and decrease in taxes as examples of economic activities. I will then describe how each of these activities affects government‚ households‚ and businesses as well
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Fundamentals of Macroeconomics ECO/372 Principles of Macroeconomics Alisha Wisniewski May 28‚ 2013 David Aloyan Part 1 Using Resource: Figure 3-1 in Ch. 3 of Macroeconomics 1. Gross Domestic Product – Is value of how much every household and a business can produce within the United States in a year. 2. Real GDP – The dollar amount of money made by businesses‚ government‚ and households combined. 3. Nominal GDP – GDP without taking in account other factors like inflation. It
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When it comes to corporate business and the common business the government needs to intervene to make the playing field fair for everyone involved. When competitors seek out the next get big money merger or expansion‚ this is where I believe the government steps in. with the government putting in place regulation such as fiscal policy‚ and monetary policy‚ the grounds of society become equal to the groups of power that have greater economic influence. My stand point on government regulation has
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Narrative of Redemption 12/3/13 Final Paper – The Millennium The Biblical teachings on the millennium are vague and difficult to recognize without a clear understanding of the Old Testament and its covenant promises to Israel. This paper will address the way that the Old Testament sets the stage for the future fulfillment of promises and covenants. Throughout the New Testament there are still continuations of these unfulfilled promises that have future inclinations. This paper will outline the teachings
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