A ________ is a complete plan describing how a player will act
A) strategy
B) payoff
C) hypothesis
D) policy
A
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The Fed can change the money supply more quickly by using open market operations as compared to discount policy
Indicate whether the statement is true or false
James took out a fixed-interest-rate loan when the CPI was 200 . He expected the CPI to increase to 206 but it actually increased to 204 . The real interest rate he paid is
a. higher than he had expected, and the real value of the loan is higher than he had expected. b. higher than he had expected, and the real value of the loan is lower than he had expected. c. lower than he had expected, and the real value of the loan is higher than he had expected. d. lower then he had expected, and the real value of the loan is lower than he had expected.
The U.S. Congress instituted a system of deposit insurance for banks in:
A. 1913. B. 1789. C. 1865. D. 1934.
Suppose Diego deposits $4,000 in his bank. If the reserve ratio is 10 percent, this will lead to a maximum increase of ________ in checking account balances throughout all banks.
A. $0 B. $4,000 C. $10,000 D. $40,000