The number by which a change in the monetary base is multiplied to find the resulting change in the quantity of money is called the
A) desired reserve ratio.
B) money multiplier.
C) currency multiplier.
D) currency drain.
E) open market operation.
B
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A bank is in the position to make loans when required reserves
A. are less than actual reserves. B. are greater than actual reserves. C. equal actual reserves. D. equal excess reserves.
All of the following are examples of producer goods except: a. machinery
b. tools. c. appliances. d. factory buildings.
While Keynesians and supply-siders agree that stabilization policy can affect levels of unemployment and inflation, they disagree over
a. how much taxes should be cut b. how much government spending should be increased c. how monetary policy should be used d. how consumers spend their tax reductions e. whether aggregate demand or aggregate supply is the critical variable
Notice the costs as given in the table below. What is the marginal cost when total cost is $23?
A. $3 B. $2 C. $1 D. $5