If the Fed sells $7.5 billion of U.S. bonds in the open market and the reserve requirement is 15 percent, M1 will eventually
A. Increase by $50 billion.
B. Increase by $1.125 billion.
C. Increase by $7.5 billion.
D. Decrease by $50 billion.
Answer: D
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Using the specific factors model, assume that strawberry production requires the specific factor of land, tractor production requires the specific factor of capital, and labor is variable
If the United States is capital abundant compared to Mexico, and Mexico is land abundant compared to the United States, then in the short run with trade we would expect A) the income of U.S. land owners to increase. B) the income of U.S. workers to increase. C) the income of Mexican workers to increase. D) the income of Mexican land owners to increase.
Which of the following is not prohibited by the Clayton Act, even if it reduces competition?
a. merger accomplished through the acquisition of another firm's stock b. merger accomplished through the acquisition of another firm's assets c. price discrimination that cannot be justified on the basis of cost differences d. exclusive dealing contracts e. interlocking directorates
In the equation for the production function H/L represents
a. natural resources per worker. b. human capital per worker. c. output per worker. d. physical capital per worker.
An example of a public good is:
A. national defense. B. a hamburger. C. a laundromat. D. a personal computer.