To a household, what kinds of spending are sensitive to interest rate fluctuation? Please provide at least two examples with a brief explanation.
Please provide detail in your example, so I can find similar sensitive spending examples.
Answer: to a household, spending on durable goods are sensitive to interest rate fluctuation. If the interest rate is high household reduces their spending on durable goods and increase their savings while if interest rate is low they increase their spending.
For example:
So buying expensive things for which households need huge amount of money are extremely sensitive to interest rate fluctuations.
in general, when interest rate is high people prefer to save more and spend on consumption less and when interest rate is low people prefer to save less and spend more.
To a household, what kinds of spending are sensitive to interest rate fluctuation? Please provide at...
Topic: Organic Chemistry Please provide step by step solutions to each problem along with a brief explanation as to why you picked your answer. To whoever helps me, please know that I am stuggeling so hard with this class. I'm not smart like everyone else, so please (if you can) be detailed and if you have time, please try to explain to me why you did what you did. I just don't get this subject, it seems so random and...
Please provide explanation. Question 5 0/3 pts If the interest rate on a note is 12.5% and the principal was $57,000, what is the maturity value of the note, if the term of the note is 5 months? (Round your final answer to the nearest dollar.) You Answered $64,125 Correct Answer $59,969 O $61,156 $57,000
Please explain the determining factors of the interest rate and make sure to include hypothetical examples for better clarity. Describe the meaning of the yield curve. Verify how the shape of the yield curve provides predictions on the economy in future years. Please visit the US Governments’ Treasury site, retrieve the data on the U.S. Treasury rates, and construct the yield curve. Indicate the date of retrieving the data. Please explain the terms associated with the bonds, namely, corporate bond,...
Answer each questions in detail & provide in-text citations in support of your argument. Include examples whenever applicable. Make sure to provide examples for each of the questions below. 1. Please explain the determining factors of the interest rate and make sure to include hypothetical examples for better clarity. 2. Describe the meaning of the yield curve. Verify how the shape of the yield curve provides predictions on the economy in future years. Please visit the US Governments’ Treasury site,...
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Please read the directions for this question when answering! Thank you very much, I appreciate the help! 4. Fill in the blank with "all", "no", or "some" to make the following statements true. Note that "some" means one or more instances, but not all » If your answer is "all", then give a brief explanation as to why. » If your answer is "no", then give a brief explanation as to why » If your answer is "some", then give...
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Rate = k [A] [B]2 What are the units for k ? --> Please provide a Detailed Explanation.
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