List two reasons why the Fed can not control the exact size of the money supply
1) The Fed can not control how much money households deposit at banks.
2) The Fed does not control how much banks lend.
These two facts mean the Fed does not have perfect precision in controlling the money supply.
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What is resale price maintenance and why would a manufacturer want to use it? Under what circumstances would resale price maintenance increase social gain?
What will be an ideal response?
Your classmates from the University of Chicago are planning to go to Miami for spring break, and you are undecided about whether you should go with them. The round-trip airfares are $600, but you have a frequent-flyer coupon worth $500 that you could use to pay part of the airfare. All other costs for the vacation are exactly $900. The most you would be willing to pay for the trip is $1400. Your only alternative use for your frequent-flyer coupon is for your trip to Atlanta two weeks after the break to attend your sister's graduation, which your parents are forcing you to attend. The Chicago-Atlanta round-trip airfares are $450.What is the opportunity cost of using the coupon for the Miami trip?
A. $500 B. $450 C. $100 D. $550
Fiscal policy is determined by
a. the president and Congress and involves changing government spending and taxation. b. the president and Congress and involves changing the money supply. c. the Federal Reserve and involves changing government spending and taxation. d. the Federal Reserve and involves changing the money supply.
Which country is both one of the top markets for U.S. agricultural exports and the top supplier of agricultural imports to the United States?
A) South Korea B) China C) Mexico D) Varies by year.