When the Fed buys $100 million of securities from a commercial bank the
A) required reserve ratio decreases.
B) monetary base increases.
C) bank's reserves decrease.
D) bank is risking its depositors' money.
E) money supply decreases.
B
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A justification for general grants is _____
a. the equalization of revenues between government units with different income levels b. higher level governments might have a greater ability to raise revenue c. progressive taxation cannot be done on the local level d. a and b
The conceptual measure of the satisfaction a person obtains by consuming all the units of a good or service during a given time period is:
a. total product. b. total revenue. c. total utility. d. total product.
If the size of a tax doubles, the deadweight loss doubles
a. True b. False Indicate whether the statement is true or false
The price of a stock will rise if
a. the managers of a stock exchange decide the price should be higher. b. the demand for the stock rises. c. the supply of the stock rises. d. None of the above are correct.