identify three functions of the federal reserve, other than its main role of controlling the supply of money. lo14.5
Answers
Apart from controlling the money supply, the Federal Reserve performs three key functions: acting as a lender of last resort, conducting monetary policy, and regulating and supervising banks.
Firstly, the Federal Reserve acts as a lender of last resort, providing emergency liquidity to banks and financial institutions during times of financial stress or crises. This function ensures stability in the financial system and helps prevent widespread bank failures.
Secondly, the Federal Reserve conducts monetary policy by influencing interest rates and managing the economy's overall money supply. Through its control over the federal funds rate and open market operations, the central bank aims to promote price stability, full employment, and economic growth.
Thirdly, the Federal Reserve is responsible for regulating and supervising banks to maintain the safety and soundness of the banking system. It sets and enforces regulations, conducts bank examinations, and oversees compliance with consumer protection laws, ensuring the stability and integrity of the banking sector.
These three functions demonstrate the broader role of the Federal Reserve beyond controlling the money supply, encompassing financial stability, economic management, and safeguarding the banking system.
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Related Questions
What is Jack doing to ensure savings for a new car?
Answers
Answer:
Could you add more context?
Explanation:
Answer:
He could be putting the money into the bank.
Explanation:
he said to me "no sir I did not quarrel with your servant yesterday"
change into indirect
Answers
he said “no i did not quarrel with the servant yesterday”
Answer:
He denied that he quarreled with my servant the previous day
Emily's grandmother bought her a treasury bond in 2020. When will it reach its maturity date?
Α.
2030
B.
2040
C.
2045
D
2050
Answers
Answer:
The correct answer is: D. 2050
Explanation:
Answer: 2050
Explanation: Treasury bonds are sold in $1,000 increments and have a 30-year maturity date.
Thus, 2020 + 30 years = 2050
Studies reveal that organizational cultural values such as fairness, growth opportunities, and reputation of organization have a positive effect on the job satisfaction. In contrast, organizational traits like aggressiveness negatively influence job satisfaction. As a future engineer, what do you think the term "organizational culture" is considered as ____________, while the term "job satisfaction" is considered as:____________
Answers
In the context of the relationship between organizational culture and job satisfaction, "organizational culture" can be considered as an influencing factor, while "job satisfaction" can be considered as an outcome.
Organizational culture refers to the shared values, beliefs, norms, and practices that shape the behavior and interactions within an organization. It represents the collective mindset and character of an organization, influencing the attitudes and behaviors of its members. In the context of the relationship between organizational culture and job satisfaction, organizational culture is considered as an influencing factor. The cultural values of an organization, such as fairness, growth opportunities, and reputation, create an environment that can positively impact employees' job satisfaction. When these cultural values align with employees' needs and expectations, it fosters a sense of belonging, motivation, and fulfillment, ultimately leading to higher job satisfaction.
On the other hand, job satisfaction refers to an individual's subjective evaluation of their job and work experience. It reflects the level of contentment, fulfillment, and happiness an employee derives from their work. Job satisfaction is influenced by various factors, including organizational culture. It is considered as an outcome in the sense that it is the result or consequence of multiple factors, such as the organizational culture, work environment, job characteristics, interpersonal relationships, and personal expectations. When employees perceive positive cultural values within the organization, it can contribute to a supportive and satisfying work environment, leading to higher levels of job satisfaction. Conversely, negative organizational traits like aggressiveness can have a detrimental effect on job satisfaction.
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Please help
9. Describe preventing/controlling risk in relation to how businesses deal with each of the
following:
a. Safety-
b. Security-
c. Employee incompetence-
d. Product selection-
e. Credit-
f. Changes-
g. Weather extremes-
Answers
a. Safety - Businesses can prevent and control risks related to safety by implementing safety protocols and guidelines, providing adequate training to employees, regularly inspecting equipment and facilities, and promptly addressing any safety concerns.
b. Security - Businesses can prevent and control risks related to security by implementing access control measures, using security cameras and alarms, regularly reviewing and updating their security policies, and training employees on how to identify and respond to security threats.
c. Employee incompetence - Businesses can prevent and control risks related to employee incompetence by providing thorough training and development programs, setting clear performance expectations, and regularly monitoring employee performance and providing feedback.
d. Product selection - Businesses can prevent and control risks related to product selection by conducting thorough research on products, identifying potential risks and liabilities associated with them, and regularly reviewing and updating their product selection policies.
e. Credit - Businesses can prevent and control risks related to credit by establishing credit policies and procedures, conducting credit checks on customers, setting credit limits, and regularly monitoring accounts receivable.
f. Changes - Businesses can prevent and control risks related to changes by conducting thorough risk assessments before implementing any changes, communicating changes to stakeholders, establishing contingency plans, and regularly reviewing and updating their change management policies.
g. Weather extremes - Businesses can prevent and control risks related to weather extremes by implementing weather emergency protocols, regularly monitoring weather forecasts, having emergency supplies on hand, and regularly reviewing and updating their weather emergency plans.
\( \: \)
Preventing and controlling risk in business involves implementing various strategies for different aspects such as safety, security, employee competence, product selection, credit, changes, and weather extremes.
Explanation:Preventing/Controlling Risk in BusinessSafety: Businesses can prevent safety risks by implementing safety measures such as providing proper training, enforcing safety protocols, and conducting regular inspections.Security: Businesses can control security risks by installing security systems, implementing access control measures, and conducting background checks on employees.Employee incompetence: Businesses can prevent employee incompetence risks by providing comprehensive training programs, establishing clear performance expectations, and conducting periodic performance evaluations.Product selection: Businesses can control product selection risks by conducting thorough market research, partnering with reputable suppliers, and performing product testing.Credit: Businesses can prevent credit risks by setting strict credit policies, conducting credit checks on customers, and implementing effective collection procedures.Changes: Businesses can control risks associated with changes by implementing change management strategies, communicating effectively with stakeholders, and conducting impact assessments.Weather extremes: Businesses can prevent or mitigate risks associated with weather extremes by implementing weather monitoring systems, having emergency response plans in place, and investing in appropriate insurance coverage.Learn more about Risk management in business here:https://brainly.com/question/33515955
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Entrepreneurs start a business with the desire to grow the business and generate wealth while start a business that will stay small, allowing them to have a balanced lifestyle and the ability to do the kind of work they want to do.
Answers
Shaw and Barry mention three arguments for legally protecting trade secrets. Which of these is one of them?
Answers
Employees who reveal trade secrets are in breach of their obligation to keep them private. Shaw and Barry list three justifications for enforcing trade secret protection laws.
limiting access to those who "need to know" the information; non-disclosure agreements that forbid the recipient from using or disclosing confidential information without the recipient's permission with partners, suppliers, and employees; educating staff members on trade secret policies and actionable steps.
The protection of trade secrets is partially covered by the Paris Convention for the Protection of Industrial Property (Paris Convention), which is overseen by WIPO, as well as the Agreement on Trade-Related Aspects of Intellectual Property Rights of the World Trade Organization (WTO) (TRIPS Agreement).
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how does finance relate to accounting? are they combined or treated as two separate functions?
Answers
Finance focuses on managing money and creating value, while accounting records, classifies, and summarizes financial transactions.
Finance and accounting are closely related functions, but they are treated as separate functions; accounting is focused on recording, classifying, and summarizing financial transactions, while finance is concerned with managing and analyzing those transactions to make strategic decisions for the organization.
Finance and accounting are two interrelated areas that deal with an organization's financial activities. Accounting provides financial information through record-keeping, reporting, and analysis of transactions. The data provided by accounting helps finance professionals make informed decisions regarding investment, financing, and risk management.
Finance, on the other hand, is concerned with managing money, investments, and other financial resources to create value and maximize returns for stakeholders. While both functions are critical to an organization's success, finance and accounting have different objectives and responsibilities, and are typically handled by separate departments within a company.
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A life estate is a person's present right to property ownership and possession in the future. True or false
Answers
A person's present right to future ownership and possession of property is known as a life estate.
A life estate is a piece of property that a person owns and can use for their entire life, typically a house. This individual, called the presence occupant, shares liability regarding property with another person. The remainderman automatically acquires title to the property upon the death of the life tenant.
Most property holders in the US make life domains to stay away from probate, the lawful course of demonstrating a will, and guarantee that the family home goes to the future. A deed is used to establish the life estate, which allows the property's occupants to use it for the rest of their lives. The deed will likewise name the individual who will get the property after the existence occupant's passing.
A daily existence bequest is a type of joint homeownership. A so-called "remainderman" and a life tenant share ownership. The remainderman has an ownership interest, as the name suggests, but cannot take possession until the life tenant passes away. Despite the life tenant's right to live there, the remainderman must consent before the property can be sold or mortgaged.
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The mayor wants to see a set of ordinances to create bicycle lanes and provide tax incentives for walking and bicycling to work. Discuss strategies that are available to the mayor to accomplish this objective
Answers
To create bicycle lanes and provide tax incentives for walking and bicycling to work, the mayor can use the following strategies:
1. Conduct public consultations: The mayor can conduct public consultations with community members and cyclists to get feedback and suggestions on the creation of bicycle lanes and tax incentives for active commuting.
This can help identify potential issues and concerns and help develop a plan that will be supported by the community.
2. Work with city council: The mayor can work with the city council to draft and pass the necessary ordinances to create bicycle lanes and tax incentives for active commuting.
This will require a coordinated effort between the mayor's office and city council members to gain their support and approval.
3. Create a task force: The mayor can create a task force comprised of stakeholders, including cycling advocates, and business leaders, to help develop and implement a plan for creating bicycle lanes and tax incentives for active commuting.
The task force can also help identify potential sources of funding to support the initiative.
4. Identify funding sources: The mayor can identify potential funding sources, such as grants or partnerships with private businesses, to support the creation of bicycle lanes and tax incentives for active commuting.
This can help ensure that the initiative is sustainable and does not burden the city budget.
5. Use data to make informed decisions: The mayor can use data and research to make informed decisions about where to create bicycle lanes and what tax incentives will be most effective in encouraging active commuting.
This can help ensure that the initiative is based on evidence-based practices and has the greatest impact on the community.
By utilizing these strategies, the mayor can successfully create bicycle lanes and provide tax incentives for walking and bicycling to work, which can lead to a more sustainable and healthy community.
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When her manager asked talia if she would "lose" the invoice that came in with the extra shipment of parts because the supplier wouldn’t know any difference, talia replied "no. " her response is an example of
Answers
The action by Talia in refusing to do what the manager said is called organizational citizenship.
What is organizational citizenship?This refers to moral actions by people that go beyond the roles and obligations they are tasked with to ensure that a company is successful.
Talia refuses to lose the invoice which was beyond what the manager had told her because she wanted the supplier to be successful in its transactions with her company.
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Definition for crime and violence
Answers
Answer:
Crime can therefore be defined as a violation of the law and an act of deviance from established rules, or a non-commission of an action that is required by law. Violence, on the other hand, is an act of physical aggression that in most cases results in harm.
Any purchased materials that will go into the finished product are first recorded in the (1) (2) inventory account. (Enter only one word per blank.)
Answers
Any materials that are purchased and used to create the final product are first tracked in the company's inventory account.
This is essential for tracking the cost of goods sold and keeping the books in balance. The inventory account is a type of asset account that is recorded in the balance sheet, and it keeps track of the cost of goods purchased for resale or to be used in the production process.
This account must be updated on a regular basis so that the company can keep track of its inventory levels and ensure that it has enough stock to meet customer demand. Monitoring the inventory account is essential for successful business operations.
This inventory account is used to monitor and keep track of all the necessary materials needed to complete the project. It also helps to ensure that enough supplies are ordered and that the right type of materials are being used.
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which of the following is/are employed to express the values of interest groups?
Answers
The term that is employed to express the values of interest groups is b. Lobbyists.
What is interest groups?A special interest group can be descrbed as the community within a larger organization that is been seen to be having shared interest in as regards specific area of knowledge.
t should be noted that the learning or technology are the things that can be attributed to the interet group and the members cooperate to affect or to produce solutions which can be seen to be in a particular field, and help to meet, and organize conferences to achieve a goal.
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complete qustion;
Which of the following is employed to express the values of interest groups? a. Pressure groups c. Executive appointees b. Lobbyists
Give 3-5 examples of how FDR mentioned land labor and capital public works as part of the engine of economic
recovery.
HERE IS THE PASSAGE: "I am certain my fellow Americans......This great Nation will endure as it has endured, will revive and will prosper. So, first of all, let me assert my firm belief that the only thing we have to fear is fear itself—nameless, unreasoning, unjustified terror which paralyzes needed efforts to convert retreat into advance. In every dark hour of our national life a leadership of frankness and vigor has met with that understanding and support of the people themselves which is essential to victory. In such a spirit on my part and on yours we face our common difficulties. They concern, thank God, only material things. Values have shrunken to fantastic levels; taxes have risen; our ability to pay has fallen; government of all kinds is faced by serious curtailment (reduction) of income; the withered leaves of industrial enterprise lie on every side; farmers find no markets for their produce; the savings of many years in thousands of families are gone. More important, a host of unemployed citizens face the grim problem of existence, and an equally great number toil with little return. Only a foolish optimist can deny the dark realities of the moment. Yet our distress comes from no failure of substance. Nature still offers her bounty and human efforts have multiplied it. Plenty is at our doorstep, but a generous use of it languishes in the very sight of the supply. The measure of the restoration lies in the extent to which we apply social values more noble than mere monetary profit. Happiness lies not in the mere possession of money; it lies in the joy of achievement, in the thrill of creative effort. The joy and moral stimulation of work no longer must be forgotten in the mad chase of evanescent profits. These dark days will be worth all they cost us if they teach us that our true destiny is not to be ministered unto but to minister to ourselves and to our fellow men. This Nation asks for action, and action now. Our greatest primary task is to put people to work. This is no unsolvable problem if we face it wisely and courageously. It can be accomplished in part by direct recruiting by the Government itself, treating the task as we would treat the emergency of a war, but at the same time, through this employment, accomplishing greatly needed projects to stimulate and reorganize the use of our natural resources. Hand in hand with this we must frankly recognize the overbalance of population in our industrial centers and, by engaging on a national scale in a redistribution, endeavor to provide a better use of the land for those best fitted for the land. It can be helped by preventing realistically the tragedy of the growing loss through foreclosure of our small homes and our farms... It can be helped by the unifying of relief activities which today are often scattered, uneconomical, and unequal. It can be helped by national planning for and supervision of all forms of transportation and of communications and other utilities which have a definitely public character. There are many ways in which it can be helped, but it can never be helped merely by talking about it. We must act and act quickly. ...I shall ask the Congress for the one remaining instrument to meet the crisis—broad Executive power to wage a war against the emergency, as great as the power that would be given to me if we were in fact invaded by a foreign foe."
Answers
FDR's remarks indicate the importance of utilizing land, labor, and capital through employment, public works projects, redistribution of land, and national planning to overcome the economic challenges of the time and stimulate recovery.
In the provided passage, President Franklin D. Roosevelt (FDR) mentions several ways in which land, labor, and capital are part of the engine of economic recovery. Here are three examples:
Employment and Public Works: FDR emphasizes the importance of putting people to work as the primary task. He suggests direct recruiting by the government and treating the task as an emergency, similar to war efforts. Through this employment, he mentions the accomplishment of greatly needed projects to stimulate and reorganize the use of natural resources. This indicates the utilization of labor and capital in public works projects to boost economic activity.
Redistribution of Land: FDR acknowledges the overbalance of population in industrial centers and highlights the need for a national-scale redistribution of population, engaging those best fitted for the land. This implies a focus on utilizing available land resources more efficiently and matching individuals' skills to suitable areas, harnessing the potential of both land and labor.
National Planning and Supervision: FDR suggests that relief activities, transportation, communications, and other utilities with a public character should be unified and subject to national planning and supervision. This implies a centralized approach to coordinate and optimize the use of resources, including land, labor, and capital, for more effective economic recovery.
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Charry was pretty sure she wanted to work at Hogs Foot Brewery after she read the ad for an open position and researched the company. She concluded she was enough of a fit with the vacant position to warrant submitting an application. This process is termed
Answers
Considering the situation described above, when Charry concluded she was enough of a fit with the vacant position to warrant applying. This process is termed "Self-selection."
This is because Self-Selection is a process in which individuals select themselves among the lots.
It is done by conducting self-analysis and concluding that one is more fit for a role than others.
The self-selection process usually occurs in sports when individuals select themselves to play free kick or penalty kick.
Hence, in this case, it is concluded that the correct answer is "Self-Selection."
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Imagine you are working as an insurance broker, and a company comes to you wanting to insure one of its production factories. Identify at least two distinct risks you would analyze as you decide what kind of coverage and premiums this client can expect to pay in order to be fairly and sufficiently insured.
30 POINTS IF YOU KNOW THE ANSWER ASAP!!!!!!
EXPLAIN REASONING
Answers
The client should pay a sum determined by the business and how much they have previously been required to pay. Making it fair and anticipating potential outcomes will enable the client to obtain insurance. I think you get the picture.
What is the insurance?Insurance is a tool for risk management. You purchase protection against unforeseen financial losses when you purchase insurance. If something unpleasant happens to you, the insurance company pays you or someone else of your choosing. If an accident occurs and you don't have insurance, you can be liable for all associated expenses.
Risk analysis comes in two primary flavors: qualitative and quantitative. Let's find out more about these two methods. working as an insurance broker, and a company comes to you wanting to insure one of its production factories
Therefore, By the company comes to you wanting to insure one of its production factories. qualitative risk is there
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" Which of the following is not involved in project planning? a. Risk management planning b. Material requirements planning (MRP) c. Purchase planning d. Communication planning Oe. Quality planning "
Answers
It can be concluded that the option not typically involved in project planning is b. Material requirements planning (MRP). Option B
a. Risk management planning: This involves identifying potential risks, assessing their impact and probability, and developing strategies to mitigate or manage them. Risk management planning is an integral part of project planning to ensure potential risks are anticipated and appropriate measures are in place to address them.
b. Material requirements planning (MRP): MRP is a manufacturing and inventory management technique used to determine the quantity and timing of materials required for production. While MRP is essential for production planning and control, it is not typically a part of project planning, especially in non-manufacturing or service-oriented projects.
c. Purchase planning: Purchase planning involves identifying and procuring the necessary materials, equipment, or services required for the project. It ensures that the required resources are available when needed. Purchase planning is an important aspect of project planning, particularly in projects that involve significant procurement activities.
d. Communication planning: Communication planning involves determining the communication needs of the project stakeholders, defining communication channels, and establishing protocols for effective communication. It ensures that the right information is shared with the right people at the right time.
e. Quality planning: Quality planning involves defining the quality objectives, standards, and processes to be followed during project execution to ensure that the deliverables meet the specified quality requirements. Option B is correct.
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Hammers, screwdrivers, drills, and saws are _____ a construction worker uses.
-tasks
-skills
-tools
-qualifications
Answers
Answer:
are a - tool - construction workers use
Need help?????!!!!!!
Answers
2.direct
3.he could’ve covered his nose when he sneezed.
4.by sitting somewhere else.
a multinational corporation is subject to foreign exchange exposures. exposures are the result of foreign exchange rates changing. based on the three types of exposures mentioned in the textbook, which financial instruments would you recommend for the multinational corporation you are advising in your final project? why?
Answers
A multinational corporation can effectively manage its foreign exchange exposures through the use of forward contracts, currency options, and currency swaps. These financial instruments allow the company to mitigate transaction, economic, and translation exposure risks, ensuring the financial stability and competitiveness of the corporation.
In addressing the foreign exchange exposures faced by a multinational corporation, it is essential to consider the three types of exposures mentioned in the textbook: transaction exposure, economic exposure, and translation exposure. These exposures arise from fluctuations in foreign exchange rates and can significantly impact a corporation's finances.
For transaction exposure, which refers to the potential change in the value of outstanding financial obligations due to exchange rate movements, I would recommend using forward contracts. These contracts allow the corporation to lock in a specific exchange rate for future transactions, thus mitigating the risk of adverse rate fluctuations.
Lastly, translation exposure occurs when a corporation's financial statements are consolidated, and the assets and liabilities of foreign subsidiaries are converted into the parent company's currency. This exposure can be managed through the use of currency swaps, which allow the company to exchange cash flows in one currency for those in another currency, effectively mitigating the impact of currency fluctuations on the consolidated financial statements.
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liabilities are amounts representing: multiple choice taxable income. items of value. debts owed now. living expenses. current assets.
Answers
Liabilities are amounts representing debts of an individual, firm, organization, etc.
A liability is a debt that a person or business has, typically in the form of money. Through the transmission of economic benefits like money, products, or services, liabilities are eventually satisfied. Three basic types of liabilities exist: current liabilities, non-current liabilities, and contingent liabilities.
Liabilities are items that are listed on the balance sheet's right side and consist of debts including loans, accounts payable, mortgages, deferred income, bonds, warranties, and accumulated expenses. Liabilities (money owed) aren't always a bad thing. Some loans are taken out to buy new equipment or cars that aid a small business in running and expanding.
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Which of the following statements is true?
Answers
Answer:
True
Explanation:
China's growth rate has___
that of most other countries,___
A. topped, but its real GDP per person declined in 2008–2009.
B. lagged behind, and its real GDP is close to other Asian economies
C. lagged behind; but its real GDP per person is higher than other Asian economies
D. equalled, and its real GDP per person declined in 2008-2009.
E. topped, but its real GDP per person is still lower than other industrialized countries
Answers
Answer: E. topped, but its real GDP per person is still lower than other industrialized countries
Explanation:
China has seen consistent growth for much of the past 20 years which has enabled them to topped the growth rate of most other countries.
Their real GDP per person however, is still lower than other industrialized nations like the U.S. and U.K.
This is due to their large population - largest in the world - making their GDP per person appear smaller despite them having a very substantial real GDP.
Now that Amazon does collect sales tax in most states, what other loopholes has Amazon found to evade other taxes?
(In depth response)
Answers
Another area in which Amazon has found another tax loophole in order to evade taxes is:
They make use of foreign based companies to receive payments from customers in another country.What is a Tax Loophole?This refers to the legal clauses which the rich people and corporations exploit in order to evade paying tax or paying as much as other people.
One tax loophole which is being used by Amazon to evade tax is the use of foreign based companies to receive payments from customers in another country and bypass HMRC.
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use the data below to construct the arms ratio on each of the five trading days. (do not round intermediate calculations. round your answers to 3 decimal places.) stocks advancing advancing volume stocks declining declining volume monday 1,580 690,503 1,300 544,997 tuesday 2,018 903,360 1,318 442,665 wednesday 1,586 623,494 1,308 719,695 thursday 2,496 1,102,338 538 173,106 friday 1,544 509,034 1,460 498,460
monday
tuesday
wednesday
thursday
friday
arms ratio
Answers
The Arms ratio on each of the five trading days is as follows: Monday: 1.662, Tuesday: 2.009, Wednesday: 0.898, Thursday: 0.358, Friday: 0.911.
As per the given question, we have to construct the arms ratio on each of the five trading days. Now, the Arms ratio is a technical analysis indicator that compares the market's volume to its change in price over time. The Arms Index is commonly used by traders to determine market breadth. Here's how to calculate the Arms Ratio:
Arms Ratio = (Advancing Issues / Declining Issues) ÷ (Advancing Volume / Declining Volume)
Now, let's calculate the arms ratio on each of the five trading days as given below:
Monday: Arms Ratio = (1580/1300)/(690503/544997)=1.6623
Tuesday: Arms Ratio = (2018/1318)/(903360/442665)=2.0086
Wednesday: Arms Ratio = (1586/1308)/(623494/719695)=0.8977
Thursday: Arms Ratio = (2496/538)/(1102338/173106)=0.3575
Friday: Arms Ratio = (1544/1460)/(509034/498460)=0.9114
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Which option completes the explanation for conflict of interest in an organization?
Answers
Answer:
Explanation:
conflict of interest is defined as a condition where an individual or organization is in a conflicting situation where the fulfillment of one’s interest could mean the detriment to the others. organizations tend to avoid these kinds of situations to occur, especially between the employee and the organization.
How important is money
Answers
Answer:
very important
Explanation:
money is a global income source for everyone. we all have different types but it is all still money. now say one country got rid of money and had people pay for stuff using other things. if china did that lots of different countries wouldn't be able to get stuff from there unless they had so much of that product they could just give it up.
You are advising Aramco in Saudi Arabia. The firm is in high-growth stage and is looking at the optimal way to finance it. Looking at petroleum companies in the U.S, it concludes that a significant proportion of capital should come from debt. Is this conclusion justified? Why and why not?
Answers
Answer:
No the conclusion is not justified
Explanation:
The decision is not justified and this because , Aramco stage in business ( High-growth stage ) will most likely be different from that of the petroleum firms in the US. This might be due to tax advantage of debt for firms in US which might be absent in Saudi Arabia. also the cost of finding Oil in the US might be higher when compared to the cost of finding Oil in Saudi Arabia
Hence the decision is not justified
if enforcement is aimed at buyers of an illegal good, the result will bean increase in the short-run supply of the good. a decrease in the short-run supply of the good. a decrease in demand for the good. an increase in the price of the good.
Answers
If enforcement is aimed at buyers of an illegal good, the result can be a decrease in demand for the good.
This is because if consumers are being targeted, they'll be much less probable to purchase the unlawful good, as they fear the effects of getting caught. This lower in demand will ultimately cause a lower in the brief-run deliver of the good, as producers can have fewer customers to sell to.
Similarly, the reduced demand and supply will likely result in an growth within the charge of the good. that is due to the fact the illegal nature of the good limits the number of providers who are inclined to take at the chance of producing and distributing it.
As a end result, the providers who are willing to take in this risk can be able to charge better charges, specifically within the short run when the deliver is restrained.
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