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Explain how information technology dampens the business cycle in Kenya

      

Explain how information technology dampens the business cycle in Kenya

  

Answers


Faith
Technological advances have made it easier for lenders to acquire and disseminate information on the creditworthiness of prospective borrowers.

Lending organisations are also able to better assess and price risk. Many firms and individuals who could not have had access to credit now qualify. In this case individuals and businesses are able to smooth their consumption through tough times hence the economy does not face major downturns.

Information technology has reduced instability in inventories. It makes production systems operate in real time. Products are made without stocking. Future levels of demand are predicted accurately thus reducing inventories in the business cycle
Faimus answered the question on February 10, 2018 at 16:15


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