Sells government bonds will short-term interest rates rise

Assignment Help Macroeconomics
Reference no: EM1337806

Effect on short-term interest rates of Fed selling bonds

If the Federal Reserve sells government bonds, will short-term interest rates increase or decrease? Explain how this will affect aggregate demand and the rate of growth of the economy.

 

Reference no: EM1337806

Questions Cloud

Elucidate why at one point in time a keynesian approach : Elucidate why, at one point in time, a Keynesian approach to managing the macro-economy might be appropriate while, at another point in time, a classical approach might be more likely to produce a superior outcome.
Negative effect of aiming for perfection : Perhaps there is a negative effect of aiming for PERFECTION rather that just aiming high.
Regarding international criminal court : Can the international criminal court (ICC) award reparations to victims?
Make a web page called "game.html" : design a Web page called "game.html" and add a layer to it, which will be treated as an object, with an image for its contents. Add another image which will start the game when clicked on.
Sells government bonds will short-term interest rates rise : If the Federal Reserve sells government bonds, will short-term interest rates rise or fall. Explain how this will affect aggregate demand and the rate of growth of the economy.
Explain segmenting a market : Explain Segmenting a Market and To be useful and effective market segments should have five different characteristics.
Create an assessment model : Create an assessment model tailored to a company.
Cost function of the market requirement : Is cost often a function of the market requirements and can high quality is achieved at any cost point? Why or why not?
Division within roman citizen : What were the major divisions within the body of Roman citizens between 133 and 31 BC?

Reviews

Write a Review

Macroeconomics Questions & Answers

  Elucidate is fiscal policy expansionary or contractionary

Elucidate is the fiscal policy expansionary or contractionary.

  Assume demand shifts out to the right

Assume demand shifts out to the right by 10 percent, the elasticity demand is 1.5 and the elasticity of supply is .5, By how much will price change.

  Illustrate how is the magnitude of each affected

Illustrate how is the magnitude of each affected if, instead of a moderate inflation, hyperinflation occurs.

  Ricardian model application

In light of Ricardian model, how might you measure the claim by developing countries that they're at a disadvantage in trade

  Explain why might intangible resources such as human capital

Explain why might intangible resources such as human capital and intellectual assets be a more likely source of sustainable competitive advantage than tangible resources.

  Calculating the growth rate of output

What is the inflation rate in Home? In Foreign? What is the rate of change in the nominal exchange rate? Which currency is expected to appreciate? At what rate? Explain.

  Discuss the evolution of the federal reserve system

Discuss the evolution and responsibilities of the Federal Reserve System. What circumstances promulgated both the development and composition of the system.

  What happens when government levy tax

A monopolist faces the following demand curve: P=120-0.02Q-What is the level of production, price and total profits per week?

  Explain what are the factors you identified

Explain what are the factors you identified similar or dissimilar for the embezzlement and burglary plots.

  Factors affecting the capability to create value

In what ways do the offering MBA courses at other locations create producer and consumer borne value to both the university and the malls? What factors affect the ability of the university and malls to capture value?

  Provide the cyclical nature of government tax revenues

Provide the cyclical nature of government tax revenues and spending, how would the resulting budget deficit or surplus vary over the business cycle.

  Explain should they stay in business for three months

Explain should they stay in business for three months or should they close down right now.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd