FREE Trial
Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Credit cards are frequently used to buy goods and services. (a) Should we count credit cards as a part of money? Please explain. (b) How

Credit cards are frequently used to buy goods and services. (a) Should we count credit cards as a part of money? Please explain.

(b) How would the widespread use of credit cards affect money demand in the economy? Please explain. (c) How would the widespread use of credit cards affect the exchange rate in the economy? Please explain.



Step by Step Solution

★★★★★

3.47 Rating (150 Votes )

There are 3 Steps involved in it

Step: 1

Answer a Should we count credit cards as a part of money No credit cards should not be counted as part of the money supply Money is generally defined as anything that serves as a medium of exchange a ... blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Fundamentals of Financial Management

Fundamentals of Financial Management

Authors: Eugene F. Brigham, Joel F. Houston

Concise 6th Edition

324664559, 978-0324664553

More Books

Students also viewed these Finance questions

Question

As per UCP 600, a credit must not be issued available by a draft drawn on the ______________?

Answered: 1 week ago

Question

Python and most Python libraries are free to download or use, though many users use Python through a paid service. Paid services help IT organizations manage the risks associated with the use of...

Answered: 1 week ago

Question

Priority reversal can happen when strings of varying needs synchronize on admittance to normal assets - strings of more prominent need might wind up looking out for strings of lesser need, prompting...

Answered: 1 week ago

Question

★★★★★
The equity profolio of a company is thus 31/12/2001. Nature: Actions A, Quantity = 350, Unit cost = 36000, Purchase dates = 03/1999, 2000 = 37000, 2001= 34000. Nature: Actions B, Qauntity = 125, Unit...

Answered: 1 week ago

Question

★★★★★
Based on your analysis, did internal or external factors have the greater impact on stock price? Which factors had the more long-lasting effect? Which factors had the shorter effect?

Answered: 1 week ago

Question

★★★★★
Explain why a write-off of a bad debt should be reversed if collection occurs at a later date.

Answered: 1 week ago

Question

★★★★★
Identify each of the following variables as qualitative or quantitative: 1. The most frequent use of your microwave oven (reheating, defrosting, warming, other) 2. The number of consumers who refuse...

Answered: 1 week ago

Question

★★★★★
Quince Corporation has taxable income of $450,000 for its 2014 calendar tax year. Calculate the corporations income tax liability for 2014 before tax credits. $ ______________

Answered: 1 week ago

Question

★★★★★
Find a 2 x 2 matrix A , such that the linear transformation T: R ^ 2 - - > R ^ 2 defined by T ( x ) = Ax sends the unit circle C to the ellipse E . Save the matrix A as a 2 x 2 NumPy array called...

Answered: 1 week ago

Question

★★★★★
Eddie Kelly is running for reelection as mayor of a small town in Alabama. Jessica Martinez, Kelly's campaign manager during this election, is planning the marketing campaign, and there is some stiff...

Answered: 1 week ago

Question

★★★★★
1. Draw a graph of Yucatan's PPF amd explain how your graph illustrates a tradeoff. If Yucatan produces 150 pounds of food per month, how much sunscreen must it produce if it achieve production...

Answered: 1 week ago

Question

★★★★★
Mandatory Border Operations meetings are conducted for all employees in the Border Protection Unit every Monday. Employees are not permitted to telework on days when Border Operations meetings are...

Answered: 1 week ago

Question

★★★★★
A small southern West Australian country town has maintained records showing that the daily maximumtemperature during summer (Dec.,Jan.,Feb.) has averaged 30 degree Celsius with a standard deviation...

Answered: 1 week ago

Question

★★★★★
Develop a comprehensive analysis that identifies threats and vulnerabilities to the information systems infrastructure and organizational data. You may use a fictitious company, one that you...

Answered: 1 week ago

Question

★★★★★
Samstreet, Inc went public by issuing 1 million shares of common stock at $25 per share. The shares are currently trading at $30 per share. Current risk free rate is 4%, market risk premium is 8% an...

Answered: 1 week ago

Question

★★★★★
On November 12, 2020, Ms. Wilma Vander purchased an automobile to be used exclusively in her newly formed unincorporated business that commenced operations on June 30, 2020. The cost of the...

Answered: 1 week ago

Question

★★★★★
Zeus wanted to convey Mount Olympus to Artemis, Ares, Aphrodite, and Athena in equal shares. On July 1, he saw Artemis, Aphrodite, and Athena and gave them their conveyance stating to Artemis, Ares,...

Answered: 1 week ago

Question

★★★★★
Determine the annual percentage yield for a loan that charges a monthly interest rate of 1.5% and compounds the interest monthly.

Answered: 1 week ago

Question

★★★★★
27 Sound waves from a basketball. The American Journal ofPhysics (June 2010) did a study of sound waves in a spherical cavity. The frequencies of sound waves (estimated using a mathematical formula)...

Answered: 1 week ago

Question

★★★★★
25 Ranking driving performance of professional golfers.The Sport Journal (Winter 2007) conducted a study of a new method for ranking the total driving performance of golfers on the Professional Golf...

Answered: 1 week ago

Question

★★★★★
26 FCAT scores and poverty. In the state of Florida, elementary school performance is based on the average score obtained by students on a standardized exam, called the Florida Comprehensive...

Answered: 1 week ago

Previous Question Next Question