If a union negotiated a wage above the market equilibrium wage, we would find
A) a surplus of laborers at the negotiated wage.
B) a shortage of laborers at the negotiated wage.
C) higher efficiency of labor at the negotiated wage.
D) lower worker productivity at the negotiated wage.
Answer: A
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All __________ are required to be insured by the Federal Deposit Insurance Corporation
A) commercial banks B) savings banks C) national banks D) state banks that are not members of the Federal Reserve
The presence of adverse selection in a market causes:
A. some transactions to fail to take place. B. a deadweight loss. C. market failure. D. All of these statements are true.
How is positive economics different from normative economics?
When the required reserve ratio is lowered,
a. the money multiplier increases, and the amount of excess reserves increases in the banking system. b. the money multiplier decreases, and the amount of excess reserves increases in the banking system. c. the money multiplier decreases, and the amount of excess reserves decreases in the banking system. d. the money multiplier increases, and the amount of excess reserves decreases in the banking system. e. there is no change in either the money multiplier or the amount of excess reserves in the banking system.