Assuming all excess reserves are loaned out, currency holdings by the public are zero, and a reserve ratio of 5 percent, an initial deposit of $10,000 will lead to a total increase in deposits of
A) $500. B) $10,000. C) $50,000. D) $200,000.
D
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In 2009, the official poverty level for a family of four was approximately
a. $1,000 b. $5,193 c. $22,000 d. $24,000 e. $33,062
The aggregate supply curve shows the relationship between the:
a. The Consumer Price Index and the level of output. b. Real risk-free interest rate and expected inflation. c. The nation's average price level (i.e., the implicit price index) and the level of output. d. Nominal exchange rate and level of output. e. None of the above.
If at a given real interest rate desired national saving is $140 billion, domestic investment is $90 billion, and net capital outflow is $60 billion, then at that real interest rate in the loanable funds market there is a
a. surplus. The real interest rate will rise. b. surplus. The real interest rate will fall. c. shortage. The real interest rate will rise. d. shortage. The real interest rate will fall.
If GDP grows at 4.5% rather than 3.5%, over a 25-year, period that would result in ________ than anticipated.
A. 28% more GDP B. 25% more GDP C. nearly 100% more GDP D. 50% more GDP