Why have recessions become rarer and shorter in length in recent years?

Q: What has led to the downturn of the financial industry, and therefore the decrease of finance jobs?

A: The reasons for the downturn of financial industry and the subsequent recession is discussed below.…

Q: Is the World heading for a recession? Explain the conditions under which the world can be classified…

A: The question is based on the concept of economic recession due to ill effect of COVID -19.

Q: Suppose you believe that the economy is just entering a recession. Your firm must raisecapital…

A: A rate at which a borrower is ready to pay and depositor is ready to receive the money is known as…

Q: Suppose you believe that the economy is just entering a recession. Your firm must raise capital…

A: Interest Rate:   A rate at which a borrower is ready to pay and depositor is ready to receive the…

Q: Why have average trade sizes declined in recent years?

A: Investors trading have different intention and motive for trading. Large investors fear that if they…

Q: Why have prepackaged bankruptcies become so popular in recentyears?

A: Pre-packaged bankruptcy is the financial strategy where reorganization plan is prepared in advance…

Q: Calculate the Net Interest Margin of the bank. What do you think caused the changes you observed?…

A: Answered:

Q: In Thailand unemployment recently decreased. Which of the following observations is consistent with…

A: Option C is the correct answer . The Labour force participation rate has gone down. The number of…

Q: Where did global financial crisis begin?

A: After the great depression of 1930 the global financial crisis was seen in 2007-2008 based on…

Q: What is the money measurement concept? Which one factor can make it difficult to compare the…

A: Accounting assumption: These are the accounting practices or principles which are considered to be…

Q: did real estate returns exceed the rate of inflation?

A: Answer: Introduction: An analysis of real estate investment is a process of determining to what…

Q: Conditions under which the world can be classified as being in a recession

A: The question is based on the concept criteria of classified as being in a economic recession.

Q: Which of the following situations will most likely motivate managers to infl ate earnings inthe…

A: Sometimes managers may inflate the earnings if required.

Q: The concept that market forces in the macroeconomy can remedy a recession is referred to as:…

A: Monetary Policy- Monetary policy refers to the actions and communications of the central bank in…

Q: How does a deterioration in balance sheets of financialinstitutions and the simultaneous failures of…

A:

Q: of the recession phase. (Check all that apply) Choose the characteristics Unemployment begins to…

A: Characteristics of Recession include: Unemployment begins to rise Businesses lower production of…

Q: How did the recession of 2007–2009 compare with other recessions since the Great Depression in terms…

A: The recession of 2007-2009 was a long and deepest recession. During this recession, gross domestic…

Q: In recent years the global economy has experienced recession levelsunprecedented since the Great…

A: Audit refers assessment of the financial statements and preparing a report, stating whether or not…

Q: 6-3 Suppose you believe that the economy is just entering a recession. Your firm must raise capital…

A: Here the economy is entering recession and hence to counter that recession interest rates will be…

Q: During the Great Recession of 2008-2009, corporate cash conversion cycles typically increased in…

A: Cash conversion cycle or CCC shows the number of days required by firm to convert its resources in…

Q: The economy is said to be entering a recession but your company needs to borrow money for an…

A: Recession: Recession is a slowdown of economic activity. In recession there is an increase in…

Q: Suppose interest rates in the economy increase. How would such a change affect the costs of both…

A: In Finance, the Capital Asset Pricing Model is a model used to determine a theoretically appropriate…

Q: In periods when home prices declined substantially, some homeowners blamed the Central bank. In…

A: In order to maintain a stable level of economic activity, the Fed uses monetary policy to do so. The…

Q: Why should company managers or investors pay attention to macroeconomic indicators? Is it a good…

A: A macroeconomic indicator is one that is used to measure the economic state of a country.…

Q: Why did actual home buyers/ borrowers start defaulting in the financial crisis of 2007/2008?

A: Financial crisis: A financial crisis is any of a number of scenarios in which some financial assets…

Q: Explain why a credit crunch occurs in particular why it often occurs after a financial crisis.

A: Credit crunch can be defined as the critical situation where borrowers are not able to borrow money…

Q: Why haveprepackaged bankruptcies become more popularin recent years?

A: Prepackaged bankruptcy is a strategy adopted by the organization in order to protect itself from…

Q: Explain why traditional banking has been on the decline in recent years.

A: Traditional banking refers to banks that have a physical presence and are licensed to operate in the…

Q: Discuss quantitative easing. What is it and how is it accomplished?  Is it effective as currently…

A: The question is based on the concept of quantitative easing used by central bank of a country to…

Q: Discuss the 2007-2008 financial crisis and what impact it had on the financial markets. Who was…

A: The 2007 financial crisis was caused by the subprime mortgage crisis, which itself was due to the…

Q: Define the term recession?

A: Recession: When an entire economy performs poorly (i.e. having a negative performance or decline in…

Q: How does GDP growth and capital inflows affect the performance of equity markets in the new…

A: Affect of GDP growth on performance of equity market:GDP is total amount of goods and services…

Q: who are the guardians of finance and did they play a role in the housing boom and bust, and…

A: Finance: It is defined as proper management of money & includes activities like saving,…

Q: What would you expect to happen to the spread between yields on commercial paper and Treasury bills…

A: The decline of the economy due to recession will increase the credit risk. Investors will demand a…

Q: Is offering clients big discounts to shift future revenue into the current quarter a violation of US…

A: Revenue Recognition According the US Generally Accepted Accounting Principles (GAAP) the recognition…

Q: What effects did the Great Recession have upon civic finances? Why was it so hard for cities…

A: Great Recession: Great recession is the downfall of economic activities and it is occurred in U.S…

Q: Why have banks been losing income advantages ontheir assets in recent years?

A: The growth of the cash equivalent market and bond certificate market implies that firms aren't any…

Q: How did a decline in housing prices help trigger the subprime financial crisis that began in 2007?…

A: The subprime mortgage crisis in the United States was a worldwide financial crisis that occurred…

Functions of the Federal Reserve System

The Federal Reserve System looks after the financial activities and operations of the banking system. It is the apex body that has complete control over the banking regulations. All the guidelines regarding the banking system, money supply, and formulation of the monetary policy come under the purview of the Federal Reserve System. The New York Fed also helps in drafting the monetary policy and supervising the financial system.

Elastic and Inelastic Markets

Measuring the change in percentage of an economic variable with respect to change in a different economic variable is known as elasticity. This change in percentage results in a change in price concerning changes in other factors. In simple terms, when one factor brings a change to another factor, it is called elasticity.