Which of the following statements is most correct?
A. Reserves are assets of the central bank and liabilities of the commercial banks.
B. Reserves are assets of the commercial banks and liabilities of the central bank.
C. Reserves are assets of the central bank and liabilities of the U.S. Treasury.
D. Reserves are liabilities of the commercial banks and assets of the U.S. Treasury.
Answer: B
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A __________ in the balance of payments means that we are paying out more money abroad than we are taking in, resulting in a(n) __________ of foreign exchange value relative to the dollar
A) deficit; depreciation B) surplus; appreciation C) surplus; depreciation D) deficit; appreciation
When GDP is measured as the total payments made to households that furnish the resources used to produce the final goods and services, it is known as:
a. the income approach. b. the expenditure approach. c. the depreciation approach. d. the aggregate demand approach. e. net national product.
The table above gives the total cost information for Hank and Helen's cherry farm. They sell their cherries in a perfectly competitive market, where the price is $6.00 per pound. If Hank and Helen produce and sell 6 pounds of cherries, what is their profit?
Select one: a. $6 b. $20 c. $28 d. $8
If price is above the equilibrium, then quantity supplied will be greater than quantity demanded, putting downward pressure on price.
Answer the following statement true (T) or false (F)