Question
Quarter One - Consumer income has been on the rise and it is predicted to rise again in the first quarter of this year. Mexico
Quarter One - Consumer income has been on the rise and it is predicted to rise again in the first quarter of this year. Mexico and Canada have been forecast to have a very good first quarter also with the income of their average citizen on the rise. Investment spending is predicted to remain the same this first quarter. Will you raise, lower, or leave the money supply the same and why?
Quarter Two - Inflation is on the rise. After several quarters of 1-2% increases this quarter predicts inflation to increase an additional 4 or 5%. Unemployment has dropped to all time lows in the United States. Unfortunately, our major trading partners have seen unemployment go up in their countries and expect it to rise even further in this quarter. Business spending is thought poised to decline while consumer confidence is up. Would you raise, lower, or leave the money supply the same and why?
Quarter Three Six months of hard work have just ended. People are projected to set anew spending record. Investment spending will likely rebound as orders for manufactured goods jumped at the end of the 2nd quarter. Trade restrictions have been reduced through recent negotiations. The stock market has recorded increased trading activity and that trend will continue. Will you raise, lower, or leave the money supply the same and why?
Quarter Four (last three months of the calendar year) Inflation is now running at 6% on an annual basis. The trade deficit has grown steadily through the year but very prominently during the last quarter. Forecasters say that if this trend continues we might see inflation end up in double digits. There appears to be no end in sight to the building thats going on and consumers have taken on a whopping amount of debt. Will you raise, lower, or leave the money supply the same and why?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started