If the Fed wants to maintain current interest rates, it would be buying government bonds in the open market when:
A. The demand for money decreases
B. The demand for money increases
C. Investment demand decreases
D. The discount rate increases
B. The demand for money increases
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Charging a polluter a fee for each unit of pollution released is an example of
a. the market approach to environmental policy b. the polluter-pays principle c. the command-and-control approach to environmental policy d. (a) and (b) only
________ is among the ingredients of "a first-rate financial system."
A) Government-directed credit to key economic sectors B) Greater efficiency of state-owned banks C) Legal reform to strengthen financial contracts D) Saving rates of 20% or more
A company is selling wacky waving inflatable arm guys for very low prices, why is this?
a. there is a shortage b. there is a surplus c. the company cannot meet consumer demand d. equilibrium price has been reached
Which one of the following is an example of a positive statement?
A) Farmers need some type of government aid.
B) State governments should provide economic assistance to farmers.
C) The federal government should provide economic assistance to farmers.
D) The amount of financial assistance given to farmers is higher this year than it was 10 years ago.