Unused Capacity (At Times of Low Demand)that Is Lost Forever,and

question 63

Short Answer

Unused capacity (at times of low demand)that is lost forever,and cannot be used to meet later demand is called ________.

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Definitions:

Reserves

Assets held by a bank or financial institution, often to meet regulatory requirements or as a safeguard against potential crises.

Discount Rate

The interest rate charged to commercial banks and other depository institutions on loans they receive from their regional Federal Reserve Bank's lending facility.

Money Supply

The overall pool of financial assets in an economy at a given stage.

Leverage Ratio

A financial metric measuring the amount of debt used by a company to finance its assets relative to the value of those assets.