Buy custom Macroeconomic Impact on Business Operations
Essay's paper info
| Topic: |
Business
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| Number of pages / Number of words: |
8 / 1972 |
Essay's paper body
The GDP will decline as there will be less money to produce goods. The inflation rate will also decline as there is less money available compared to the supply of goods and services created. The unemployment rate will increase because businesses will not produce as much since there will less money to borrow...
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The unemployment rate will increase because businesses will not produce as much since there will less money to borrow.
Reserve Ratio
The Fed also uses the reserve ratio to control how much money is available to the economy. The Fed requires every bank that is a member of the Federal Reserve System to keep a percentage of deposits on hand and available to its customers...
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