Which area represents the net gain to society? Should the reduction in output from QC to QE take place? Why or why not?
Use the following graph of the refined petroleum market to answer the questions below.
Area D represents the net gain to society. Yes, the reduction should take place to achieve an efficient allocation of resources. This improvement is evidenced by the fact that the net gain is positive.
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Resources are items that a society uses to create goods and services
Indicate whether the statement is true or false
Some bank regulation limits the types of assets that banks may own. The intent of this regulation is to
a. protect banks from competition. b. provide banks with a minimum level of profits. c. limit the level of bank profits. d. maintain bank safety. e. All of the above are correct.
One reason for the projected increase, over the next several decades, in government spending as a percentage of GDP is the projected increase in the size of the elderly population
a. True b. False Indicate whether the statement is true or false
In international finance, speculation involves: ยท
a. not being able to make a commitment to buy or sell. b. taking a risk by purchasing (or selling) a foreign currency asset,holding it in anticipation of a rate increase (decrease). c. simultaneously buying several currencies to ensure that at least one will rise in value. d. avoiding risk of loss by offsetting an obligation to buy a foreign currency by locking in a contract to sell it at the same time.