« previous next »

Author Question: Describe how financial innovation has affected the demand for money. What will be an ideal ... (Read 83 times)

codyclark

  • Hero Member
  • *****
  • Posts: 538
on: Jun 29, 2018
Describe how financial innovation has affected the demand for money.
 
  What will be an ideal response?

Question 2

In an unregulated market for healthcare, the equilibrium quantity is that at which ________ and the efficient quantity is that at which ________.
 
  A) D = S; MB = MSC
  B) D = S; MSB = MSC
  C) D = MSC; MB = MSC
  D) MSB = S; MB = S


tandmlomax84

  • Sr. Member
  • ****
  • Posts: 323
Reply #1 on: Jun 29, 2018
Answer to Question 1

Financial innovation is the development by depository institutions of new financial products and changing technology within the banking industry. Examples include daily interest checking deposits, automatic transfers of money between deposits, ATM's and credit cards. In general these innovations have allowed the public to be more flexible in their choices between cash and less liquid assets as banks have delivered greater liquidity without forgoing interest earned. The result has been a large decrease in the demand for M1 and a smaller decrease in the demand for M2.

Answer to Question 2

B


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Eat fiber! A diet high in fiber can help lower cholesterol levels by as much as 10%.

Did you know?

In the United States, congenital cytomegalovirus causes one child to become disabled almost every hour. CMV is the leading preventable viral cause of development disability in newborns. These disabilities include hearing or vision loss, and cerebral palsy.

Did you know?

The lipid bilayer is made of phospholipids. They are arranged in a double layer because one of their ends is attracted to water while the other is repelled by water.

Did you know?

No drugs are available to relieve parathyroid disease. Parathyroid disease is caused by a parathyroid tumor, and it needs to be removed by surgery.

Did you know?

More than 30% of American adults, and about 12% of children utilize health care approaches that were developed outside of conventional medicine.

Transmission of autosomal dominant disorders (50% chance for an affected child). Transmission of autosomal dominant disorders (50% chance for an affected child).
How to describe transformations of a sinusoidal function (y=a*sin⁡b(x−c)+d) How to describe transformations of a sinusoidal function (y=a*sin⁡b(x−c)+d)
The growth in demand for oil in China is driven by the growth in demand for personal transport The growth in demand for oil in China is driven by the growth in demand for personal transport
Describe how fat is digested, absorbed, and transported in the body Describe how fat is digested, absorbed, and transported in the body
During a period of high power demand, the voltage output of the power company is reduced by ... During a period of high power demand, the voltage output of the power company is reduced by ...
Describe the Conceptual Forecasting Framework in your own words. Describe the Conceptual Forecasting Framework in your own words.
Video: Vascular tissues in a corn stem and a buttercup root

For a complete list of videos, visit our video library