“The Federal Open Market Committee has decided to lower its target for the federal funds rate 50 basis points t0 1 11/2 percent. The Committee took this action in light of evidence pointing to a weakening of economic activity and a reduction in inflationary pressures. Incoming economic data suggest that the epace of economic activity has slowed markedly in recent months. Moreover, the intensification of the financial market turmoil is likely to exert additional restraint on spending, partly by further reducing the ability of households and businesses to obtain credit. Inflation has been high, but the Committee believes that the decline in energy and other commodity prices and the weaker prospects for economic activity have reduced the upside risks for inflation.

The Committee will monitor economic and financial developments carefully and will act as needed to promote economic growth and stable prices.

Votes for the action. Mr. Bernanke, Mr. Geithner, Ms. Duke. Mr. Fisher, Mr. Kohn, Mr. Koszner, Mr. Plosser, Mr Stern and Mr. Warsh

Voting against the Action : None

According to the source, what type of policy did the Fed use in October 2008?

A. Expansionary, Fiscal

B. Contractionary, Monetary

C. Contractionary, Fiscal

D. Expansionary, Monetary

b) to encourage free trade

marginal cost is a microeconomic measure that us to evaluate the extent to which the level of production of a good is sustainable in accounting, that is, to how many quantities the company plans to profit from the production of the good.

the concept of marginal cost is simple, it means the cost of producing one more item. for example, in the case of pies, the marginal cost is the cost of producing one more pie than those that have already been produced.

it is important to understand that productive activity influences marginal cost. the marginal cost of some goods can be very high, while others may be insignificant. for example, the marginal cost of producing an extra plane is very high. already the marginal cost of a water company to provide 1l more water is derisory.

in the case of pies, the cost involves the inputs, the labor and the fixed cost, which involves the fixed space of the bakery. the level of production initially has the marginal cost decreasing because there is space and manpower available. however, to produce more you have to hire more workers and buy more inputs. if physical space is limited, workers will conflict with places, inputs and their productivity will decrease, meaning there is an optimum point of production for each level of space and manpower. from this point on, the productivity of the workers will be getting smaller because of lack of space, so that the marginal cost of producing one more pie will be increasing. so, although you have not posted the chart, but if you have the answer, you can see that my explanation goes according to the marginal cost curve that will increase from the 4th pie, answer (c).

it depends on which society you are referring to. many civilization performed rituals so the gods would with their growing season but the most well known is that of the aztecs. they would make sacrifices, usually animals, but sometimes humans as well.

muslims have taken his goods and products to different parts of asia an indonesia. sometimes just traveled and trade, but in other occasions, stayed in the place and made a living.

trade was the key for muslims economies to prosper. their commerce routes reached far places like malaysia and java in the 11th century.

another important factor for prosperity was that muslim states served as the middle point for european traders.

they used to travel by land but sailing the seas -the indian ocean- really increase the exportation of products.