This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: How have depository institutions made innovations that have influenced the composition of money? ... (Read 82 times)

lracut11

  • Hero Member
  • *****
  • Posts: 536
on: Jun 29, 2018
How have depository institutions made innovations that have influenced the composition of money?
 
  What will be an ideal response?

Question 2

Using Figure 15.1, identify which demand curve would belong to that of a purely competitive firm and which would belong to a monopolistically competitive firm and explain your reasoning.
 
  What will be an ideal response?


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Jsherida

  • Sr. Member
  • ****
  • Posts: 314
Reply #1 on: Jun 29, 2018
Answer to Question 1

Checking deposits at thrift institutions such as S&L's savings banks, and credit unions are examples of deposits that were created by innovations in the 1980s and 1990s. These deposits have become an increasingly large percentage of M1 . Savings deposits have decreased as a percentage of M2, while time deposits and money market mutual funds have increased, and checking deposits at commercial banks have become a decreasing percentage of M1 .

Answer to Question 2

The demand curve that a monopolistic competitor faces is likely to be less elastic than the demand curve that a perfectly competitive firm faces. Demand is more elastic than the demand curve that a monopolist faces because close substitutes for the products of a monopolistic competitor are available. Therefore D1 belongs to the purely competitive firm and D2 belongs to the monopolistically competitive firm.


lracut11

  • Member
  • Posts: 536
Reply 2 on: Jun 29, 2018
Gracias!

nothere

  • Member
  • Posts: 324
Reply 3 on: Yesterday
Wow, this really help

« previous next »
 

Did you know?

In the United States, an estimated 50 million unnecessary antibiotics are prescribed for viral respiratory infections.

Did you know?

Signs of depression include feeling sad most of the time for 2 weeks or longer; loss of interest in things normally enjoyed; lack of energy; sleep and appetite disturbances; weight changes; feelings of hopelessness, helplessness, or worthlessness; an inability to make decisions; and thoughts of death and suicide.

Did you know?

Children of people with alcoholism are more inclined to drink alcohol or use hard drugs. In fact, they are 400 times more likely to use hard drugs than those who do not have a family history of alcohol addiction.

Did you know?

The types of cancer that alpha interferons are used to treat include hairy cell leukemia, melanoma, follicular non-Hodgkin's lymphoma, and AIDS-related Kaposi's sarcoma.

Did you know?

Anti-aging claims should not ever be believed. There is no supplement, medication, or any other substance that has been proven to slow or stop the aging process.

This engraving of the Boston Massacre (1770) became the most reprinted depiction of the event, and p This engraving of the Boston Massacre (1770) became the most reprinted depiction of the event, and p
Wassily Kandinsky, Sketch I for "Composition VII". Wassily Kandinsky, Sketch I for "Composition VII".
Composition of lipoproteins: (a) HDL; (b) LDL; (c) VLDL. Composition of lipoproteins: (a) HDL; (b) LDL; (c) VLDL.
Food: Made Over Made Better Food: Made Over Made Better
What is the mole fraction of I2 in a solution made by dissolving 139 g of I2 in 245 g of ... What is the mole fraction of I2 in a solution made by dissolving 139 g of I2 in 245 g of ...
Chart showing average yearly dose of radiation from natural and human-made sources Chart showing average yearly dose of radiation from natural and human-made sources
Video: Interview with Person who has Schizophrenia

For a complete list of videos, visit our video library