Is Gold reserve essential for the economy's growth and stability?
in all of history, there has never been a fiat currency that has not failed
How are statistics used in the stock market ?
Some of the ways are in what is called technical analysis. Price prediction based on past price information. one is a least squares fit of the points on a stock price graph in order to extrapolate out to a future price--very dangerous assumption IMHO. Another is to plot "moving" averages of a stock price, where the first point of say a ten day MA will be the average of the 10 preceeding day's prices, to get the 2nd you drop the price that's now 11 days old and use today's price as the 10th price in the avg....and so on. Another is "beta". "Beta is calculated using regression analysis, and you can think of beta as the tendency of a security's returns to respond to swings in the market. A beta of 1 indicates that the security's price will move with the market. A beta of less than 1 means that the security will be less volatile than the market. A beta of greater than 1 indicates that the security's price will be more volatile than the market. For example, if a stock's beta is 1.2, it's theoretically 20% more volatile than the market. " (from Investopedia.com) There are other ways statistics are used, try a yahoo search of "stock statistics" or something like that, but be careful of some of the sites---they'll try to talk you into buying some great speculative venture.
Economic Question.?
Please help me anyone!!! Suppose the central bank wants to achieve an inflation rate equal to 1% and the current growth rate of real GDP is 2%. If the quantity theory of money holds, what should the Fed set the money growth rate equal to? (Hint: Use the equation of exchange in growth-rate form.) THankyou so much in advance!!!