WebEconomics questions and answers. 36) The opportunity cost of holding money is the A) nominal interest rate B) real interest rate. C) inflation rate. D) time it takes to go to the … WebThe opportunity cost of holding money Suppose you've just inherited $5,000 from a relative. You're trying to decide whether to put the $5,000 in a non-interest-bearing account so that …
ARY News on Instagram: "Gold prices held near one-year highs on …
Web925 Likes, 7 Comments - ARY News (@arynewstv) on Instagram: "Gold prices held near one-year highs on Friday as recent US economic data reinforced hopes that t..." Web4. Explain why the interest rate is the opportunity cost of holding currency. (4 marks) It is the sum of the real interest rate on an alternative asset plus the expected inflation rate, which … bradford county pa history
Opportunity Cost Formula, Calculation, and What It Can Tell You
WebThe opportunity cost is defined as the: a. rate of return based on historical costs. b. rate of return available to an investor for a given level of risk. c. cost associated with the acquisition of investments. d. future value of the purchase price. The opportunity cost of holding excess reserves is the federal funds rate _____. WebThe opportunity cost of holding money balances is the interest that could have been earned if the money had been used to purchase interest-bearing assets instead. B. Anyone who wishes to enter into transactions in a monetary economy has to hold money as a medium of exchange. C. The quantity of money demanded for transaction purposes depends on ... Web11. When the nominal interest rate rises, the opportunity cost of holding money ________.A. rises and people hold more money B. falls and people hold more money C. falls and people hold less money D. rises and people hold less money E. does not change. D ) rises and people hold less money. 12. bradford county pa land records