Which of the following is not included in the M1 definition of the money supply?
A. Cash and currency
B. Checkable deposits
C. Money market deposit accounts
D. All of these responses are correct.
Answer: C
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Businesses go to credit markets in order to
A) obtain capital. B) obtain financial assets that can be used to buy capital. C) obtain capital so they can earn rents. D) channel their savings into investments.
Information asymmetry is not a problem when:
A. both parties lack the same information. B. the wants of both parties are opposed to one another. C. the wants of both parties are aligned with one another. D. the constraints of both parties are identical.
Which of the following would decrease the supply of airline travel?
A. Reduced number of airline travelers. B. New airline companies beginning operations. C. Higher fuel costs. D. Lower prices for airline tickets.
Firms that are engaging in persistent dumping need to be able to prevent resale between the foreign and domestic markets.
Answer the following statement true (T) or false (F)