economics

Essay specific features

 

Issue:

Business

 

Written by:

Angelina S

 

Date added:

January 2, 2014

 

Level:

University

 

Grade:

A

 

No of pages / words:

6 / 1469

 

Was viewed:

906 times

 

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Essay content:

(Toews, 2006) when an economy experiences a growth period, IR is decreased to stimulate the amount of money circulating in the market. Conversely, IR is relatively high when a stagnation or recession occurs. Figure 1 illustrates the relationship between real GDP which represents the economic grow and IR over 40 years in the UK...
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In the late 1980s the UK experiencing a huge stagnation period and from the figure the IR was high and the gap between IR and real GDP. During the late 1990s the UK economy were growing and the IR dropped. The observations reveal that a high growth will lead to low interest rate and vise versa. Same as other commodities, there is a market for money...
displayed 300 characters

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