b) Moral hazard is a phenomenon that may lead some people to delay or prolong their job search so they can continue receiving unemployment benefits.
Describe moral hazard.The possibility that a party did not enter into a contract in good faith or gave false information regarding its assets, liabilities, or credit capacity is known as a moral hazard. Moral hazard can also refer to a party's incentive to take exceptional risks in an effort to benefit before the contract is settled.
Any time two parties reach an agreement, there is a potential for moral risks. Every party to a contract may be able to benefit from going against the guidelines outlined in the agreement. The likelihood of a moral hazard increases any time a party to an agreement does not have to bear the potential consequences of a risk.
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what laws could legitimately regulate (or apply to) the activities of a large bank that engages in the businesses of taking deposits, lending money and investing, all through a network of physical branches located across canada?
The operations of a large bank that operates physical branches across Canada could only be lawfully governed by federal law.
What is federal law ?The Canadian Parliament and the provincial legislatures share "jurisdiction" the power to enact laws. Regarding topics delegated to it by the Constitution, Parliament may pass laws that apply to the entire country of Canada.The body of legislation developed by a nation's federal government is known as federal law. When several political entities, such as states or provinces, unite to form a federation, they cede much of their individual sovereignty and authority to the federal government while keeping or reserving other, more restricted, powers. As a result, there are two or more levels of government within a defined geographical area. Federal law is the body of law governing the common central government.Everyone in the nation is subject to federal laws. People who reside in or conduct business in a certain state, commonwealth, territory, county, city, municipality, town, township, or village are subject to the state's and area's local laws.To learn more about federal law refer :
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seren works for alpha communications and is responsible for preparing and analyzing the company's financial statements. seren can be best described as a(n)
Seren works for alpha communications and is responsible for preparing and analyzing the company's financial statements. Seren can be best described as an Accountant.
Accountant may be defined as the person or professional working for a firm or individually who looks after the financing and accounts of the firm. All the expenses, revenue and all the business profits and accounts are managed by the accountant of the firm. An accountant is solely responsible for any ambiguity in the accounts of the firm and is the most responsible person within the firm. There are many business-related expenses, profits and shares that incur within a firm. These all are looked upon by the accountant. An individual has to give an examination in order to be legally get a degree of an Accountant and to practice accountancy. Further he/she can tie up with an organization or practice individually.
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consider the following question describing the demand curve facing a monopolist: quantity price 0 17 1 15 2 13 3 11 4 9 5 7 6 5 .... what is the marginal revenue generated by the production and sale of the 3rd unit?
Monopolists face downward sloping demand curves due to the fact they are the only dealer of a unique exact or service and the market demand curve is consequently the monopolist's demand curve.
How lots market strength a firm has is a function of the shape of the demand curve.
Is monopoly demand curve elastic or inelastic?elastic
The monopolist will choose to be on the elastic portion of the demand curve, to the left of the midpoint, the place marginal revenues are positive. The monopolist will keep away from the inelastic element of the demand curve through reducing output until MR is fantastic
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https://brainly.com/question/15695659#SPJ4Which of the following types of accounts would prevent you from withdrawing ANY money without significant fees? Checking Account Savings Account Certificates of Deposit Money Market Accounts
A certificate of deposit (CD) locks your money away from one month to five years, while it earns a fixed interest rate. It's more restricting than a traditional savings account because you can't access your money until the term is finished.
A certificates of deposit (CD) is a time deposit, a financial product commonly sold by means of banks, thrift establishments, and credit unions within the u.S.A.. CDs vary from financial savings accounts in that the CD has a specific, constant term (frequently one, 3, or six months, or one to five years) and usually, a hard and fast hobby rate. The bank expects the CD to be held until adulthood, at which period they may be withdrawn and hobby paid. Like financial savings accounts, CDs are insured "cash inside the financial institution" (in the US up to $250,000) and hence, as much as the neighborhood insured deposit restriction, honestly threat unfastened. In the US, CDs are insured by means of the Federal Deposit coverage organisation (FDIC) for banks and with the aid of the national credit Union administration (NCUA) for credit score unions.
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acme wants to locate a warehouse to serve their major customers that are shown in the table. what is the location that will minimize the transportation costs for their family of products?
The location that will minimize the transportation costs for their family of products is Near (4,5).
Transportation costs are all the costs associated with the transportation of uncooked substances, completed products, and employees. it is the cash behind ensuring all moving elements get wherein they want to be so your clients get their products or services on time.
Transportation is an economic issue of manufacturing of products and services, implying that it's far fundamental of their era, even supposing it bills for a small proportion of input costs. because of this no matter the fee, an hobby can not take area without the transportation thing and the mobility it gives.
Majorly the factors Influencing the value of Transportation Are call for and deliver.
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cooper medical center was concerned about rising costs for patients who have surgery for joint replacement. it tried rewarding staff in any quarter they met targets for lower use of supplies, but costs continued to rise. an investigation showed that one source of costs was the readmission of patients who experienced infections after surgery. the human resource department proposed setting up a gainsharing program with an effectiveness measure related to reducing infections. which statement about gainsharing best supports this recommendation? group of answer choices gainsharing creates a competitive environment, so employees will try to outdo one another. the success of gainsharing requires management acceptance of employee input. with gainsharing, employees are freed to collaborate on how to improve performance. gainsharing will narrow employees' focus to the key aspects of their individual jobs and rewards. gainsharing is appropriate because the jobs in this case are simple, and so are the performance standards.'
Gainsharing is commonly used in a healthcare system. Gain sharing means that organization shares its gains like profits with employees and employees collaborate with each other to increase efficiency and effectiveness of organization.
What are the benefits of gainsharing?
A gainsharing plan not only motivates a worker to put in his best performance, but also cultivates in him a sense of pride in his achievements at the workplace. This results in indirect benefits such as lower levels of employee attrition and subsequently, lower time and money spent in training new workers.What's the difference between gainsharing and profit-sharing?
Gainsharing systems typically have a (potential) payout on a monthly basis. Profit Sharing systems typically payout (potentially) on an annual basis. Of course, the more closely we tie the rewards to the performance, the greater the motivational impact of the rewards paid out.Learn more about gainsharing plan
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"if you knew that candidate x cheated on her taxes, would you vote for her?" is a question typical of __________.
"If you knew that a candidate x cheated on her taxes, would you vote for her?" is a question of push polls.
A push poll is a marketing strategy used during political polls when organizations or an individual manipulate the perspective of the voters. It usually occurs in the disguise of an opinion poll.
Opinions of voters are collected by these organizations and then analyze the responses to identify the trends in the opinion of the voters. It is a type of telemarketing or gossip propaganda that could support a candidate and criticize another candidate.
It has been criticized by the American Association of Political Consultants and the American Association for Public Opinion Research.
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if a rational behavior style customer makes intermittent eye contact, a service strategy you may want to use is to
If a rational behavior style consumer initiates fleeting eye contact, attentively listen and make eye contact as a possible customer service tactic.
Explain about the Active listening?A technique for listening to and responding to another person that improves understanding between the two people is active listening. It is essential to make this first move in order to defuse the situation and hunt for solutions to problems. In this lesson, students will discover what active listening is and why it is so important for managing conflicts.
You can prevent missing important information by paying close attention. You can learn more specific information from the conversation as a consequence of your heightened level of involvement with the speaker as a result of active listening's emphasis on hearing the complete message.
"Active listening" refers to genuinely listening, as the name suggests. That requires active listening as opposed to passively "hearing" what is being said.
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Which form of departmentalization is best if the company services both business clients and end consumers?.
An organizational structure known as departmentalization divides people into groups known as departments based on a particular set of criteria.
Each of these departments has its own leader, but they collaborate to complete tasks. It is possible for multiple departments to collaborate on large or complicated projects.
An illustration of departmentalization
In functional departmentalization, an organization is divided into departments according to the roles they play in the company. A manufacturing company, for instance, might establish departments for production, sales and marketing, accounting, and human resources.
Which five kinds of departmentalization are there?
By function, process, product, market, customer, geographic area, and sometimes matrix (also known as project organization) are the primary types of departmentalization.
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suppose that in 2018 and 2019, households and firms reduced desired expenditures. during the same period inflation fell and unemployment rose. a. the change in unemployment, but not the change in inflation, is consistent with what a given short-run phillips curve implies. b. neither the change in inflation nor the change in unemployment are consistent with what a given short-run phillips curve implies. c. the change in inflation, but not the change in unemployment, is consistent with what a given short-run phillips curve implies. d. both the change in inflation and the change in unemployment are consistent with what a given short-run phillips curve implies.
Suppose that in 2018 and 2019, households and firms reduced desired expenditures. during the same period inflation fell and unemployment rose then option D) both the change in inflation and the change in unemployment are consistent with what a given short-run phillips curve implies.
The broad word for an increase in the cost of goods and services throughout an economy in the study of economics is inflation. As the general price level rises, each unit of currency may buy fewer goods and services, hence inflation is related to a reduction in the purchasing power of money. Inflation is the term used to describe when prices in an economy rise or when the purchasing power of money falls. According to economists, a number of factors, such as a rise in the money supply, higher wages, and increased aggregate demand, may contribute to inflation. Economic weakness can result from both low and high levels of inflation. When the economy is struggling and inflation is too low, the Fed will use the opposite technique, cutting interest rates or buying assets to increase cash flow.
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An organization's ________ is the group of potential customers toward whom it directs its marketing efforts.
A.) product market
B.) marketing demographic
C.) target market
D.) market segment
The correct option is C. An organization's target market is the group of potential customers toward whom it directs its marketing efforts.
A goal marketplace, also called a serviceable obtainable market (SOM), is a group of clients within an enterprise's serviceable-to-be-had market at which the enterprise pursues its marketing efforts and assets. A goal marketplace is a subset of the whole marketplace for services or products.
The goal marketplace typically includes customers who showcase comparable characteristics (which include age, region, profits, or way of life) and are considered most probable to buy a business's market services or are probable to be the most worthwhile segments for the commercial enterprise to the carrier via OCHOM.
A target marketplace is a set of human beings that have been identified as the most probable ability customers for a product because of their shared traits together with age, income, and lifestyle.
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one of the journal entries that clayborn must record as a result of the bank reconciliation includes:
Debit Cash $1,725 and credit Notes Receivable $1,725 are the adjusting journal entries that Clayborn needs to make as a result of the bank reconciliation.
The process of making two parties or groups amicable again following a dispute or conflict. [noncount] It was praised that the two nations had reconciled by signing the trade pact. Reconciliation ensures the legitimacy and correctness of financial data. A proper reconciliation procedure also makes sure that no illegal alterations to transactions have taken place while they are being processed. If reconciliation is required, some committees are instructed to make particular adjustments to spending, revenues, deficits, and the debt ceiling. Each committee creates a bill to accomplish its goal, and if more than one committee is required to take action, the Budget Committee combines the individual measures into a single large bill. And they all support you in maintaining your balances.
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mr. green enters into a partnership with it doctors llp. mr. green's capital investment into the business is $10,000. shortly after joining the new business, a client sues the it doctors llp and wins a judgment of $750,000. how much is mr. green liable for?
Mr. green is liable for $10,000.
In an LLP, the individual partners are not held responsible for the debts and obligations of the partnership as a whole, but only for liabilities arising from their own conduct while acting on behalf of the firm. If an LLP was sued, each partner's individual assets would be protected, but the partnership's assets could be taken as well. The negligent or at-fault partner could be held personally liable for their actions even though the partnership would be sued. The conduct of the other partners or the LLP as a whole is not subject to your liability as a partner in an LLP; rather, it is restricted to your own conduct and the conduct of those you directly supervise.
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when the percent change in price is than the percent change in quantity demanded, demand is . please choose the correct answer from the following choices, and then select the submit answer button. answer choices smaller; inelastic smaller; either elastic or inelastic larger; elastic smaller; elastic
When the percent change in price is smaller than the percent change in quantity demanded, demand is inelastic smaller. Hence, option A 'smaller; inelastic smaller' is the correct choice.
When demand stays constant regardless of changes in price, it is called inelasticity. Demand inelasticity is evident when demand for a product or service is static when changes in its price or other factors occur.
Inelastic products or services are usually necessities without any acceptable substitutes. The most common products with inelastic demand are prescription drugs, utilities, and tobacco products. Businesses that offer such products keep greater flexibility with prices because demand stays constant even if prices increase or decrease.
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a monopolistically competitive firm faces group of answer choices a horizontal demand curve. a vertical demand curve. a downward sloping demand curve. a perfectly elastic demand curve.
Answer:
Which career professional would be considered part of the Human Resources pathway of the Business, Management, and Administration career cluster?
Labor Relations Specialist
Data Entry Keyer
Compliance Manager
Management AnalystWhich career professional would be considered part of the Human Resources pathway of the Business, Management, and Administration career cluster?
Labor Relations Specialist
Data Entry Keyer
Compliance Manager
Management Analyst
Explanation:
some countries have oil as a natural resource and capstone engineering based in iowa, is considering building a facility in one of those countries since it does not have easy access to oil near its manufacturing plant. which theory of foreign direct investment provides an explanation for this decision?
An eclectic paradigm, also known as the ownership, location, internalization (OLI) model or the OLI framework, is a three-tiered evaluation framework that businesses can use to determine whether or not they should pursue FDI.
What are Dunning's three components of his eclectic theory?
John Dunning created the eclectic paradigm in a series of publications (Dunning 1980, 1981, 1988, and 1992).The international activities of multinational enterprises (MNEs) are influenced by three factors.These are the advantages of ownership (O), location (L), and internalization (I).
How significant is eclectic theory?
The level and pattern of firms' foreign value-added activities, not the multinational corporation, are the focus of the eclectic paradigm.It contributes to the explanation of both the beginning and expansion of foreign production.
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a commitment fee is calculated based on the undisbursed loan amount and is usually paid .
Usually, the commitment fee is paid following the conclusion of the credit agreement. However, if the amount is levied on the undistributed loan, it may be collected on a periodic basis.
A cost imposed by a lender onto a borrower as compensation for the lender's promise to lend is known in the financial sector as a commitment fee. Usually, commitment costs are connected to idle lines of credit or outstanding loans.
Because it has reserved the money for the client and is therefore unable to charge interest, the lender is paid for giving access to a possible loan through a commitment fee. Typically, a commitment fee is characterized as a fixed amount or a fixed proportion of the outstanding loan amount. Lender receives payment in the form of a commitment fee for guaranteeing a credit at a date in the future or for maintaining an open credit line.
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An increase of one on the richter scale represents ____ increase in the movement of the earth.
An increase of one on Richter scale represents 10-fold increase in movement of the earth.
What is Richter scale?Charles Francis Richter created the Richter scale, also known as the Richter magnitude scale, Richter's magnitude scale, and Gutenberg-Richter scale, and first published it in his seminal 1935 work under the name "magnitude scale." Later, the local magnitude scale, abbreviated as ML or ML, was developed and named. Most seismological authorities now publish earthquake magnitudes using other comparable scales, including the moment magnitude scale (Mw), as a result of the original ML scale's numerous flaws; yet, a large portion of the news media continues to refer to them as "Richter" magnitudes. All magnitude scales are adjusted such that their numerical values are substantially equivalent and keep the original's logarithmic nature (typically in the middle of scale).
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an eight-year bond paying coupons annually has a yield of 12% and a duration of 7.198 years. if the bond's yield changes by 50 basis points, what is the percentage change in the bond's price? (input the value as a positive value. do not round intermediate calculations. round your answer to 2 decimal places.)
An eight-year bond paying coupons annually has a yield of 12% and a duration of 7.198 years. if the bond's yield changes by 50 basis points, Then the percentage change in the bond's price is 3.21%.
Modified duration= Macaulay duration/(1+r)
Modified duration= 7.198/ (1+0.12)
Modified duration= 6.426796
50 basis points= 0.5%
%Change in price= -modified duration*change in yield
%Change in price= -6.426786*0.005
%Change in price= -0.0321 or-3.21%
The bonds price decreased by 3.21%
What is bond price?
The bond price is the current discounted value of future cash flows generated by the bond. It is the sum of the present value of all expected coupon payments and the present value of face value at maturity. To calculate the bond price, we simply need to discount the known future cash flows. Bond prices and yields to maturity are negatively correlated.
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the jolly green giant used by the green giant company facilitates the development of a. brand quality. b. product equity. c. brand associations. d. product preference. e. brand loyalty.
The jolly green giant used by the Green Giant Company facilitates the development of brand associations.
Brand association definition?When a customer associates your brand with a concept, picture, emotion, experience, person, interest, or activity, this is known as a brand association. This association, which has a strong influence on buying decisions, might be immediately favorable or unfavorable.
Which brands have examples of associations?Coca-Cola is a timeless brand, similar to Downey's softness, Apple's simplicity, Tesla's electricity, and Nike's performance.
What three categories exist for brand associations?Despite the fact that a brand can be linked with a wide variety of things, brand associations often fall into one of three groups: qualities, benefits, or attitudes. Because they have an impact on purchasing decisions, brand associations are significant.
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in a case where a client's ability to bear risk is significantly less than the client's expressed willingness to bear risk, the most appropriate action for a financial advisor is to:
In a case where a client's capacity to bear risk is significantly less than the client's expressed willingness to bear risk, the most appropriate action for a financial advisor is to (B) base the assessment of risk tolerance in the IPS on the client's ability to bear risk.
What is the risk?An organization's ability to create profits at the desired levels is threatened by hazards, which can also pose a long-term threat to the sustainability of the organization.The process of identifying, evaluating, and controlling risks to your company's financial stability is referred to as risk management.The best course of action for a financial adviser in a situation where a client's capacity to bear risk is much lower than the client's expressed desire to bear risk is to base the IPS' evaluation of risk tolerance on the client's capacity to bear risk.Therefore, in a case where a client's capacity to bear risk is significantly less than the client's expressed willingness to bear risk, the most appropriate action for a financial advisor is to (B) base the assessment of risk tolerance in the IPS on the client's ability to bear risk.
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Complete question:
In a case where a client's capacity to bear risk is significantly less than the client's expressed willingness to bear risk, the most appropriate action for a financial advisor is to:
A. counsel the client and attempt to change his attitude towards risk.
B. base the assessment of risk tolerance in the IPS on the client's ability to bear risk.
C. attempt to educate the client about investment risk and correct any misconceptions.
analysis of the statement of cash flows involves assessment of operating, financing and investing cash flows and analysis of the resulting net income. group startstrue or false
Analysis of the statement of cash flows involves assessment of operating, financing and investing cash flows and analysis of the resulting net income is group structure.
What exactly does a cash flow analysis cover?
A cash flow analysis can be used to evaluate a company's working capital, or the amount of money available to conduct transactions and manage business activities. That is determined by subtracting current obligations from current assets (cash or near-cash assets, such as notes receivable) (liabilities due during the upcoming accounting period). The statement of cash flows is used to show the reader of the report the cash inflows and outflows during a reporting period. Operating, investing, and financing operations are other categories used to categorize these inflows and outflows.
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which of the following is not a condition for perfect competition? multiple choice firms take prices as given. firms sell a standardized product. firms are protected by barriers to entry. firms have perfect information.
Option C is correct. Firms are protected by barriers to entry is not a condition for perfect competition.
Perfect competition is a market structure where there are many buyers and sellers in the open market and the prices influence supply and demand. In this competition, a large number of producers and consumers compete with one another, and the opposite of a monopolistic market involves the supremacy of one firm in one field. Firms cannot influence the market price of their products with minimal differences in features and pricing.
All firms are allowed to come and sell their product in the open market, there is no barrier to entry in perfect competition.
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why is reducing air pollution a public good ? the clean up is financed by the public sector the public generally desires cleans up of air pollution members of the public who do not pay for the cleaner air can still benefit from the cleaner air. cleaner air is beneficial to the public.
The Clean Air Act of 1970 established a number of federal organisations to monitor air pollution. The organisations entrusted with managing the air pollution were attempting to reduce pollution from several sources.
The solution is because they provided incentives to businesses to reduce their pollution.According to analysts, maintaining clean air and eliminating pollution would cost close to $500 billion, but the associated benefits would be $22 trillion, or 44 times more valuable. The Environmental Protection Agency presented this report to examine the costs and advantages of the Clean Air Act from 1970 to 1990. People will be able to enjoy long, healthy lives because to the advantages of clean air. It will benefit the industries that ultimately depend on clean air, resulting in higher revenues.The Clean Air Act of 1970 (also known as the 1970 CAA) marked a significant change in the federal government’s approach to combating air pollution. With the help of this legislation, comprehensive national and state regulations to control emissions from both fixed (industrial) and mobile sources can be created.
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an observation that stocks with above average price-to-earnings ratios have consistently underperformed those with below average price-to-earnings ratios least likely contradicts which form of market efficiency?
An observation that stocks with above average, price-to-earnings ratios have consistently underperformed those with below average, price-to-earnings ratios least likely contradicts weak form of market efficiency.
What is the weak form of market efficiency?There are three versions of the efficient market hypothesis that are varying degrees of the same basic theory. The weak form suggests today’s stock prices reflect all the data of past prices and no form of technical analysis can be utilized effectively to aid investors in making trading decisions.
Advocates for the weak form believe that undervalued and overvalued stocks can be determined if the fundamental analysis is used, and companies' financial statements can be researched by investors to increase their chances of making higher-than-market-average profits.
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what job function is least likely to be handled by union workers in unionized performing facilities?
An organization of a company's workers into a labor union, which will serve as a middleman between the workers and corporate management, is the process of creating a unionized workplace.
What is a Unionized Workplace?
An organization of a company's workers into a labor union, which will serve as a middleman between the workers and corporate management, is the process of creating a unionized workplace. The majority of workers must vote in order to authorize a union in most circumstances. The company is said to be unionized if a union is formed.
The workplace is more secure when it is unionized. Employees who belong to a union often have better job security than nonunion employees, and they frequently get richer pay and more comprehensive benefit packages. As a result, union employees might be less inclined to leave the company in order to pursue other opportunities, particularly if they would have to work in a nonunion setting. Less turnover for employers and lower costs for recruiting and training new employees result from greater stability.
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erica is a social media influencer. she is hired by a snowboard company to promote their boots, helmets, and boards but is told not to disclose her connection with the brand. what legal or social issue in internet marketing does this most closely relate to?
Your firm may benefit greatly from marketing.It strengthens current client relationships and forges new ones.
However, before you start contacting clients or potential consumers, there are a few important legal considerations you need to be aware of.
The FTC and other consumer protection agencies' rules and regulations, as well as privacy and data collecting, intellectual property issues, and other legal matters, are the three primary legal areas you need to take into account.
It might sound obvious to say that you must gather contact information from your clients or potential customers before you can send marketing emails or messages.
The actual method of gathering the data, however, is far more difficult than it first appears, especially if you're attempting to do so in a way that complies with the law.
The majority of countries and regions have privacy laws in place that provide for notifying people before collecting their personal information.
This also applies to a current client, albeit in the UK there are a few rules that are a little more lenient for clients who have previously made a purchase from you.
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A real estate agent would like to know how much she can expect a home to sell for depending upon the square footage of the home. Complete the statement based on the information. In this case, the explanatory variable is the and the response variable is the.
An explanatory variable that explains the results is the intended cause. The response variable, or anticipated outcome, responds to the explanatory variables.
According to your predictions, changes in one explanatory variable will occur before any modifications to the response variable. The variables are connected causally, either directly or indirectly. Through a mediator in a connection, an explanatory variable may indirectly affect a response variable. In the case of purely correlative relationships, there are no explanatory and response variables. A response variable may be the cause of both changes, even though changes in one variable are connected to changes in another. Explanatory and independent factors are very similar, but they also differ just somewhat. Research theory holds that independent variables are only subject to manipulation or modification at the hands of researchers and are not anticipated to be impacted by or dependent upon any other variables. If you do a controlled experiment in which you can exactly regulate how much caffeine each participant takes, the caffeine dose is an independent variable. However, the term "explanatory variable" is occasionally preferred over "independent variable" since independent variables can occasionally be influenced by other variables in real-world contexts. It appears from this that they are not truly independent.
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Answer:
-square footage
-selling price
Explanation:
edge 2023
stefan is going in for a job interview and realizes he needs to whiten his teeth. he goes to the store and picks out a brand of whitening strips he remembers from an advertisement on television. his level of brand loyalty could be described as .
Sandy is going in for a job interview and realizes he needs to whiten his teeth. His level of brand loyalty could be described as-----recognition.
How would you describe your brand awareness?
Brand awareness is the degree to which a consumer can correctly identify a particular product or service simply by looking at the product or service's logo, slogan, packaging, or advertising campaign. Brand awareness can also be triggered by audio cues such as: A jingle or theme song associated with the brand.
What is good brand awareness?
Brand awareness is a concept used in advertising and marketing. It is considered successful when people can recognize a brand based on visual or auditory cues such as logos, slogans, packaging, colors, or jingles.
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Which situation best describes how a change in the reserve requirements affects the economy?.
If reserve requirements were increased, there would be more money in reserves and less money available for banks to lend, which would raise customer interest rates and slow economic growth.
What is economic growth?Economic growth, when accounting for inflation, is the increase or improvement in the market value of the goods that an economy generates during a specific time period. This growth is often measured by statisticians as a percentage rate of growth in the real GDP, or gross domestic product. Growth is often measured in real terms, or terms that have been corrected for inflation, in order to remove the inflationary distortion on the pricing of goods produced. Economic growth is measured using national income accounting. Since GDP growth is used to measure economic growth, both the advantages and disadvantages of that strategy are present. Using the GDP to population ratio, nations' economic growth rates are commonly compared (per-capita income).
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