A bank is able to make new loans equal to:
A. legal reserves of the bank
B. required reserves of the bank
C. total reserves of the bank
D. excess reserves of the bank
Answer: D
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Assume a firm organizes all individuals by their willingness to pay (least to most). If the firm starts to perfectly price discriminate, what is likely to happen?
A) Consumers start to arbitrage amongst themselves. B) The firm's profits will be maximized. C) The firm's costs will be minimized. D) The firm starts to arbitrage with consumers.
Suppose the market for autoworkers is initially in equilibrium, but then the demand for automobiles increases and simultaneously the automakers allow autoworkers less flexibility working at the plants. What happens in the market for autoworkers?
A) The equilibrium wage rate will increase and the equilibrium quantity of labor will increase, decrease or stay the same. B) The equilibrium wage rate will increase, decrease or stay the same and the equilibrium quantity of labor will increase. C) The equilibrium wage rate and the equilibrium quantity of labor will both decrease. D) The equilibrium wage rate will decrease and the equilibrium quantity of labor will increase.
What are the inherent disadvantages of a barter system?
Which of the following is designed to measure unemployment in Ireland?
(a) The National Income & Expenditure Accounts. (b) The Quarterly National Household Survey. (c) The Household Budget Survey. (d) Consumer Price Index.