Question
In: Finance
Using commodity, such as gold, as money could have which of the following negative effect? I....
Using commodity, such as gold, as money could have which of the following negative effect?
I. It could cause deflation
II. It could limit growth
III. It could lead to massive inflation
A- I only
B- II and III
C- I and II
Solutions
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jeff jeffy answered 2 years agoRelated Solutions
i) Discuss the effects of Gold discovery in an economy where commodity Gold Standards are followed?...
i) Discuss the effects of Gold discovery in an economy where
commodity Gold Standards are followed? Also explain the effects of
increase in demand for gold.
ii) Assume a kingdom presently is producing gold coins to
maximize his seigniorage from being the sole supplier of money. His
present total revenue from producing gold coins is equal to 148
million units of goods and service, and this total cost of
producing the coins is equal to 102 million units of goods...
19. Gold, silver, and cigarettes in a prisoner of war are all examples of commodity money....
19. Gold, silver, and cigarettes in a prisoner of war are all
examples of commodity money.
True
False
20. A devaluation is a reduction in the official value of a
currency.
True
False
21. Specialization means that a country devotes its energy and
resources to only a small proportion of the world’s productive
activities.
True
False
22. Under the Bretton Woods system of fixed exchange rates, the
price of the U.S. dollar was fixed in terms of gold and the...
Commodity money (silver or gold) does not create inflation in the economy, why governments or Reverse...
Commodity money (silver or gold) does not create inflation in
the economy, why governments or
Reverse Banks still printing fiat money? Explain
Which of the following are hedging strategies on a commodity for a company which uses the commodity as an input for their production
Which of the following are hedging strategies on a commodity for
a company which uses the commodity as an input for their production
(i.e. they are a buyer of the commodity)? For each of the
strategies below, indicate with either a “Yes” if it is a hedging
strategy for the buyer or a “No” if it is not a hedging strategy
for the buyer. Also, provide an brief explanation for why you’ve
selected either a “Yes” or a “No” for...
which of the following is not a characteristic of a commodity the demand for which is...
which of the
following is not a characteristic of a commodity the demand for
which is elastic
16. Indicate whether the following will have a positive or negative EFFECT ON CASH. A positive...
16. Indicate whether the following will have a positive or
negative EFFECT ON CASH. A positive effect could also be thought of
as a source of cash, an increase in cash, or a positive amount on
the cash flow statement. A negative effect could also be thought of
as a use of cash, a decrease in cash, or a negative amount on the
cash flow statement. For an answer, either write "positive" or
"negative". d. The Loss on the Sale...
16. Indicate whether the following will have a positive or negative EFFECT ON CASH. A positive...
16. Indicate whether the following will have a positive or
negative EFFECT ON CASH. A positive effect could also be thought of
as a source of cash, an increase in cash, or a positive amount on
the cash flow statement. A negative effect could also be thought of
as a use of cash, a decrease in cash, or a negative amount on the
cash flow statement. For an answer, either write "positive" or
"negative". d. The Loss on the Sale...
Which of the following numbers could be the probability of an event? 0.05, negative 0.41, 1,...
Which of the following numbers could be the probability of an
event? 0.05, negative 0.41, 1, 0, 0.33, 1.22, -0.53
Complete the following sentence - A project issue is anything that could have an …… effect...
Complete the following sentence - A project issue is
anything that could have an …… effect on the project
A
Beneficial
B
Detrimental
C
Either detrimental or beneficial
D
Adverse
Which of the following activities is not a key point in the
management of risk flow?
A
Authorize the Project
B
Updating the Business Case
C
Plan the next Stage
D
Capture and examine issues and Risks
Which of the following processes should cover the first
aspect of project quality...
The actions of which of the following could influence the money supply? Select one: a. the...
The actions of which of the following could influence the money
supply?
Select one:
a. the federal reserve, commercial banks, and the nonbanking
public
b. the federal reserve and commercial banks only
c. the nonbanking public only
d. commercial banks only
True or false: An open market purchase is expansionary monetary
policy.
If bank reserves are 200, the public holds 500 in currency, and
the desired reserve-deposit ratio is 0.20, the money supply is
________.
Select one:
a. 1,300
b....
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