The purchase and sale of government bonds by the Fed for the purpose of altering bank reserves is known as
A. Zero coupon bonding.
B. Federal funds operations.
C. Fiscal policy.
D. Open market operations.
Answer: D
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The dividend earned by a domestic resident on a stock owned in a foreign company is an example of a(n) ________
A) import by the domestic resident B) factor payment received from foreigners C) transfer payment received from foreigners D) export by the domestic resident
A mutual fund that charges a sales commission is a
A) load fund. B) no-load fund. C) closed-end fund. D) premium fund.
Exhibit 4-8 Demand and supply curves
In Exhibit 4-8, a movement from A to B is best explained by:
A. an increase in income and in the number of suppliers. B. an increase in the price of other goods. C. an increase in the population. D. a decrease in income if X is a normal good and an improvement in the technology used to produce the good.
A significant increase in the price of basketballs will most likely lead to
A) an increase in the demand for basketball shoes. B) an inward shift in the demand for basketballs. C) a movement along the demand curve for basketball shoes. D) an inward shift in the demand for basketball shoes.