Why have recessions become rarer and shorter in length in recent years?

Q: What may be the case of public finance during national pandemic

A: Public finance is analysing the government activities done for the economy. It includes government…

Q: What has led to the downturn of the financial industry, and therefore the decrease of finance jobs?

A: The reasons for the downturn of financial industry and the subsequent recession is discussed below.…

Q: Why have prepackaged bankruptcies become so popular in recentyears?

A: Pre-packaged bankruptcy is the financial strategy where reorganization plan is prepared in advance…

Q: Why have trust funds become especially popular in recent years?

A: Trust fund Trust funds are defined as a legal entity which holds the assets, property on the behalf…

Q: 2. What happens to domestic investment as the real interest rate rises? Explain your answer

A: The Federal Reserve (the Fed) has three goals: maximizing employment, maintaining price stability,…

Q: Where did global financial crisis begin?

A: After the great depression of 1930 the global financial crisis was seen in 2007-2008 based on…

Q: What should we do for the future to not happen like financial crises 2007?

A: This can be as it were by such extraordinary money related intercession that it handicaps the…

Q: What is the general trend of the company’s current assets? Did you observe any account with…

A: In case of multiple sub-parts, only first 3 parts shall be answered. The trend analysis can be…

Q: How did the decisions made during the 2008 financial crisis affect our economy and financial markets…

A: The 2008 financial crisis was one of the worst economic downturns in modern history. It was…

Q: How would an unexpected increase in inflation affect the loss rates on property policies? a. Loss…

A: Inflation means the sustained increase in the price level of goods and services in an economy over a…

Q: Why is the quick ratio frequently a betterindicator than the current ratio of a firm’s ability to…

A: Current Ratio & Quick Ratio are short liquidity ratios. Both Ratios show efficiency of business…

Q: How does a high rate of inflation affect money in all its different roles?

A: Inflation: Inflation is a rate at which the price of the products and services rises. It frequently…

Q: What is the general trend of the company’s current liabilities? Did you observe any account with…

A: The trends can be observed for over a period of time. It seems that data is given for 3 periods for…

Q: The severity of a recession can be magnified by credit market imperfections in which: there is…

A: Credit market imperfections refer to the situations where the assumptions of perfect competition,…

Q: Are government treasury bills good protection from inflation? Why?

A: TIPS (Treasury Inflation-Protected Securities) offers inflation protection. As assessed by the…

Q: Last year Artworks, Inc. paid a dividend of $1.10. You anticipate that the company’s growth rate is…

A: The objective of this question is to calculate the maximum price that an investor would be willing…

Q: Financial Crises have Adverse effects on the Economies. Write a Comprehensive Note on the causes and…

A: Financial crisis is defined as wide variety of the situation, which has the financial assets by…

Q: What does the financial breakeven point shows?

A: A breakeven point is a situation of no loss no profit. The breakeven point is generally calculated…

Q: What do you think about the interest rate i for

A: A recession refers to the time period which is affected by a temporary economic decline during which…

Q: How have the financial challenges changed over the years?

A: Financial Challenges  In recent years the challenge in financial system are more complicative.  Due…

Q: How do rising interest rates affect a firms decisions to invest in long term assets?

A: The interest rate refers to the current landing and borrowing rate. The interest rate affects the…

Q: Explain the challenges policymakers face when interest rates are very low.

A: An interest rate is referred to as an amount that is charged over as well as above the principal…

Q: The economy is said to be entering a recession but your company needs to borrow money for an…

A: Recession: Recession is a slowdown of economic activity. In recession there is an increase in…

Q: In periods when home prices declined substantially, some homeowners blamed the Central bank. In…

A: In order to maintain a stable level of economic activity, the Fed uses monetary policy to do so. The…

Q: How do you relate development of global value chains in global economy and the causes of 2008…

A: The question is based on the concept global value chain and its role in crisis of 2008-09.

Q: How does climate change threaten financial stability?

A: Climate change is threatening financial stability at a rapid speed and in a highly tangible and…

Q: Why is the annual report of great interest to investors?

A: Annual report means all financial documents or statements which shows the performance of an…

Q: Why did actual home buyers/ borrowers start defaulting in the financial crisis of 2007/2008?

A: Financial crisis: A financial crisis is any of a number of scenarios in which some financial assets…

Q: How were financial corporations viewed pre-, during and post- recession from a nation-state and…

A: Financial corporations are those corporations which provide financial services to the customers.…

Q: Explain why a credit crunch occurs in particular why it often occurs after a financial crisis.

A: Credit crunch can be defined as the critical situation where borrowers are not able to borrow money…

Q: Why haveprepackaged bankruptcies become more popularin recent years?

A: Prepackaged bankruptcy is a strategy adopted by the organization in order to protect itself from…

Q: Explain why traditional banking has been on the decline in recent years.

A: Traditional banking refers to banks that have a physical presence and are licensed to operate in the…

Q: Discuss how the subprime mortgage crisis of 2007 was based upon the flawed financial model that…

A: The subprime mortgage crisis of 2007 was a significant financial event that had far-reaching…

Q: Discuss quantitative easing. What is it and how is it accomplished?  Is it effective as currently…

A: The question is based on the concept of quantitative easing used by central bank of a country to…

Q: 20 Which of the following is the positive impact of inflation?   Inflation makes debtors pay less…

A: Inflation refers to the phenomenon of rising price levels. This is the condition when the general…

Q: How can a federal budget deficit increase market equilibrium interest rates and reduce private…

A: The federal budget is the budget prepared by the government for the purpose of considering the…

Q: What does the statement mean?

A: A financial system is a collection of entities that allow money to be exchanged, such as banks,…

Q: finance

A: Public Finance can be defined as managing the debt, revenue & other expenditure of the country…

Q: Describe the Fed’s balance sheet in “normal” times. How did it change duringthe fnancial crisis?…

A: It is also known as the Federal Rerserve or the Federal Reserve System. It is the monitory authority…

Functions of the Federal Reserve System

The Federal Reserve System looks after the financial activities and operations of the banking system. It is the apex body that has complete control over the banking regulations. All the guidelines regarding the banking system, money supply, and formulation of the monetary policy come under the purview of the Federal Reserve System. The New York Fed also helps in drafting the monetary policy and supervising the financial system.

Elastic and Inelastic Markets

Measuring the change in percentage of an economic variable with respect to change in a different economic variable is known as elasticity. This change in percentage results in a change in price concerning changes in other factors. In simple terms, when one factor brings a change to another factor, it is called elasticity.