A bank creates money by
A) lending its excess reserves.
B) purchasing currency from the Federal Reserve.
C) buying bonds from the Federal Reserve.
D) printing more checks.
A
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A nation that has done well economically in spite of a lack of natural resources is
a. the United States. b. Japan. c. Canada. d. Australia.
Equal increases in government purchases and in net taxes have equal but opposite effects on the level of real GDP demanded
a. True b. False Indicate whether the statement is true or false
A perfectly competitive firm faces a demand curve that is: a. horizontal and perfectly inelastic. b. horizontal and perfectly elastic. c. vertical and perfectly inelastic
d. vertical and perfectly elastic.
The sequence of events following a contractionary monetary policy would be higher interest rates followed by dollar
A. depreciation, higher exports, and lower imports. B. depreciation, lower exports, and higher imports. C. appreciation, lower exports, and higher imports. D. appreciation, higher exports, and lower imports.