Additionally, the federal funds rate is
A. Very important for the Fed's monetary policy because individual borrowers pay this interest rate for mortgage loans
B. Very important for the Fed's monetary policy because the Fed uses the federal funds rate as a monetary policy target since it can control the rate through open market operations
C. Very important for the Fed's monetary policy because it is Administratively set by the Fed
B. Very important for the Fed's monetary policy because the Fed uses the federal funds rate as a monetary policy target since it can control the rate through open market operations
You might also like to view...
Long-lived goods used to produce other goods and services are called:
A. human capital. B. inventories. C. financial capital. D. physical capital.
The law of demand implies that, other things remaining the same
A) as the price of a cheeseburger rises, the quantity of cheeseburgers demanded will increase. B) as the price of a cheeseburger rises, the quantity of cheeseburgers demanded will decrease. C) as income increases, the quantity of cheeseburgers demanded will increase. D) as the demand for cheeseburgers increases, the price of a cheeseburger will fall.
Assume that Australia has a comparative advantage in producing surfboards and New Zealand imports surfboards from Australia. We can conclude that
A) Labor costs are higher for surfboard producers in New Zealand than in Australia. B) Australia also has an absolute advantage in producing surfboards relative to New Zealand. C) Australia has a lower opportunity cost of producing surfboards relative to New Zealand. D) New Zealand has an absolute disadvantage in producing surfboards relative to Australia.
Offshoring refers to the the process in which: a. a firm hires laborers from a foreign market
b. a firm purchases service from another firm. c. a firm purchases service from another firm in another country. d. workers of a particular country seek employment in a firm of a foreign country. e. the government of a country works toward providing social security and other rights to migrant workers.